UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                  FORM 10-KSB

Annual Report Under Section 13 OR 15(d)of The Securities Exchange Act of 1934

                                        For the fiscal year ended March 31, 2008

                                               Commission File Number: 333-91190

                            NATCO INTERNATIONAL INC.
                 (Name of Small Business Issuer in its Charter)

       DELAWARE                                     98-0234680
(State of incorporation)              (I.R.S. Employer Identification Number)

                          UNIT 204, 13569 - 76 AVENUE
                   SURREY, BRITISH COLUMBIA, CANADA, V3W 2W3
              (Address of principal executive offices) (Zip code)

                        Telephone Number: (604) 592-0047

Securities registered under Section 12(b) of the Exchange Act: NONE


Securities registered under Section 12(g) of the Exchange Act: COMMON STOCK, PAR
VALUE $.001

Check whether the issuer is not required to file reports pursuant to Section 13
or 15(d) of the exchange act.  [X]

      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, and no disclosure will be contained, to the best of
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]

        Indicate by check mark whether the registrant is a shell company (as
defined in Rule 12b-2 of the exchange Act).          Yes [ ] No [X]

      The issuer's revenues for the fiscal year ended March 31, 2008 were  $0.

      State the aggregate market value of the voting and non-voting Common
equity held by non-affiliates computed by reference tothe price at which the
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.





<PAGE>
THE AGGREGATE MARKET VALUE OF THE COMMON STOCK HELD BY NON-AFFILIATES ON JUNE
30, 2008 WAS $5,079,045.60.

        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 [X] No [ ].

SHARES OF $0.001 PAR VALUE COMMON STOCK OUTSTANDING AT JUNE 30, 2006:
20,447,614

                       DOCUMENTS INCORPORATED BY REFERENCE

None


    Transitional Small Business Disclosure Format (check one): Yes [ ] No [X]



                                     PART I

ITEM 1. DESCRIPTION OF BUSINESS

ORGANIZATIONAL DEVELOPMENT

   Natco International Inc. (the "Company" or "Natco"), a Delaware corporation,
started as  Spectrum Trading Inc., a  British Columbia, Canada company on
November  21, 1990 to import leather products from India and sell them in
Canada. However, the supplier in India did not materialize and the Company
remained dormant until 1997 when the chemical manufacturing  business
was launched by the Company's current President, Raj-Mohinder Gurm. Spectrum
Trading, Inc. domesticated into a Delaware corporation on May 14, 1999 as
Spectrum International Inc. and changed its name to Natco International Inc. on
June 3, 2004.

  Natco International Inc (formerly Spectrum International, Inc.) commenced its
existence as a Delaware Corporation on May 14, 1999 as a result of above
mentioned "Domestication". This procedure was intended to utilize provisions of
the Delaware Corporate Code, Sec. 388, whereby a non-U.S. company may, by filing
a Certificate of Domestication and Certificate of Incorporation under that
section, utilize provisions thereof which provide that upon filing the
Certificates, a corporation becomes subject to Delaware law, except that its
existence shall be deemed to have commenced when it was originally formed in the
foreign jurisdiction, rather than upon filing in Delaware as is the case in a
typical new corporation. Said Section also provides that the obligations and
liabilities prior thereto are not affected by the Domestication. The predecessor
company was incorporated in British Columbia. No opinion is expressed as to what
legal effect that procedure has on the Company, except that the financial
statements assume the financial continuation, and we refer to both the current
company and its predecessor as the "Company". Most of our current shareholders
were shareholders of the original British Columbia Company and "migrated" to the
Delaware company as a consequence of the Domestication.

In June, 2000, Management of the Company determined that a reverse acquisition
by an Ontario, Canada Company would be desirable. The structure of the
transaction was that all of the shareholders of the Delaware company




<PAGE>
would exchange their shares of the company for shares of the Ontario Company,
Bisson Bio-Technologies, Ltd. ("Bisson") pro rata, with each other, but also
including the prior shareholders of Bisson. This resulted in the Company
becoming a wholly owned subsidiary of Bisson, with its business activities
continuing in Spectrum. Bisson had no business activities, and the purpose of
the transaction was to seek a listing on one of the stock exchanges in Canada
which was never effected.

   Consequently, in January, 2001, an agreement was entered into between Bisson,
its subsidiary Spectrum, and certain shareholders of Bisson (those who had been
former Spectrum shareholders) to "reverse" the transaction, and transfer the
Spectrum shares held by Bisson back to the former shareholders of Spectrum. The
agreement provided that the former Spectrum shareholders would submit their
shares of Bisson back to Bisson in exchange for the 6,050,661 shares of Spectrum
which had been originally exchanged. Shareholders were to be put back in their
original position, except that there had been a few transactions, which
Management believes, was of minor impact on the relative shareholder positions.

On May 9, 2005, the company's SB-2 became effective, and on July 29, 2005,
it was approved to start being quoted on the OTCBB.  On August 19, 2005,
shares of the company commenced trading on the OTCBB.

BUSINESS OF THE COMPANY

   Natco manufactured two distinct product lines that had separate customer
bases and manufacturing processes: a jewelry cleaner line and a tire sealant
line. The Company phased out both lines of product in the last 12 months.

The company announced a Letter of Agreement with Photo Violation Technologies
Corp (PVT), a Canadian company engaged in manufacture and sales of parking
Equipment on March 19, 2007.  We could not complete the merger with PVT.
The agreement was cancelled in December 2007.

The company signed a Letter of Agreement with Lassen Energy, Inc., A California
corporation, in February 2008 and In April 2008 definitive binding agreement to
merge the two companies was signed. Following is overview of Lassen business.

OVERVIEW OF LASSEN ENERGY, INC

Lassen is the exclusive manufacturer of a proprietary solar panels and exclusive
licensee of the right to build and operate solar power plants using these
panels. The Company's panels contains components which make use of a patent
pending application of a technology called Multiple Energy Levels or MEL, which
configures photovoltaic cells (PV) as a series of transistors instead of as
diodes. The technology takes wavelength frequency to move a bucket of electrons
through the junctions, which greatly improves photovoltaic efficiency. The
panels use this increased efficiency as catalyst to generate, in current
prototypes, 400 watts per panel, with construction of new panels currently
underway that are designed to produce 3000 watts per panel.

Photovoltaic solar power is one of the most promising renewable energy sources
in the world. Compared to nonrenewable sources such as coal, gas, oil, and
nuclear, the advantages are clear: it's non-polluting, has no moving parts to
break down, and does not require much maintenance. A very important




<PAGE>
characteristic of PV power generation is that it does not require a large-scale
installation to operate, as different from conventional power generation
stations. Power generators can be installed in a distributed fashion, on each
house or business or school, using area that is already developed, and allowing
individual users to generate their own power, quietly and safely.

Rooftop power can be added as more homes or businesses are added to a community,
thereby allowing power generation to keep in step with growing needs without
having to overbuild generation capacity as is often the case with conventional
large scale power systems. As compared with other renewable energy sources such
as wind power, water power, and even solar thermal power, PV power has some
obvious advantages. First, wind and water power rely on turbines to turn
generators to produce electricity. Turbines and generators have moving parts
that can break down, require significant maintenance and are noisy. Even solar
thermal energy needs a turbine or other mechanical device to change the heat
energy of the sun into mechanical energy for a generator to produce electric
power. PV power, by contrast, is generated directly from the sun. PV systems
have no moving parts, require virtually no maintenance and last for decades.

Our panel design makes them cost competitive to purchase as a distributed power
source or as a base load power plant to replace or to be built instead of carbon
burning systems such as coal and natural gas. Lassen has the exclusive right to
manufacture and supply these proprietary solar panels to residential, commercial
and industrial markets. Management currently plans to, initially, manufacture
82,000 panels annually with additional capacity to be added based on demand.
Manufacturing will take place in the United States and is expected to produce
significant gross annual revenues and profits for the Company.

LASSEN ENERGY, INC. PANEL PRODUCTION (PROJECTED)

 WEEKS ANNUAL   DAYS    TOTAL    TOTAL  HOURS  TOTAL
       UNITS  PER WEEK PER WEEK PER DAY       PER HOUR
  52   82,000  1,577      6       263    24      11

Lassen also intends to construct power plants. Permits for the sites and power
purchase agreements for their generated power are currently underway.

Company management includes individuals with extensive experience in
manufacturing and power plant construction and consultants with extensive
experience in the electric utility industry.

PANEL SPECIFICATIONS

The specifications include the embedded or attached DC-AC inverter, which is
physically part of the panel

 PRODUCT NAME AND DESCRIPTION            LASSEN ENERGY PANEL
 Rated Power (Watts)                         Currently 400
                                  Prototype that generates 3000 will
                                  be tested in August 2008
 Series Fusing (Amps)                            15.0
 Current at Max. Power (Amps)                    14.0
 Voltage at Max. Power (DC Volts)               220.0
 Short Circuit Current (Amps)                    N/A
 Length (Inches)                                 62.5
 Width (Inches)                                  32.5
 Depth of Frame (Inches)                          3.5

MARKET OVERVIEW

Increasing Worldwide

Demand Worldwide electric power use is projected to expand over the next twenty
years in both developed and undeveloped countries and regions.

Increasing Prices after Period of Consolidation in the United States

 In the United States, stimulated by de-regulation, the electric power industry
consolidated during 2000-2004 in many areas of the country after extensive over-
building in the merchant account sector in the late nineties and early 2000.
However, by 2005, demand was increasing prices and that trend continued through
2006.

2005 STATISTICAL OVERVIEW
(Energy Information Administration (EIA) Data)

Capacity
o  Total installed generating capacity was 1,067,019 megawatts (MW) as of
   December 31, 2005-a 1.7-percent increase from 2004.

Customers, Sales, and Revenues
o  The average number of ultimate customers served by electric utilities
   totaled 138,367,159-a 1.7-percent increase from 2004.
o  The average electricity use per customer was 26,458 kilowatt-hours
   (kWh).
o  Total electric utility revenues from sales to ultimate customers equaled
   $298 billion-a 10.3-percent increase from 2004.
o  The average revenue received per kWh sold was 8.14 cents.
o  Electricity demand is expected to increase by 2.5 percent in 2006, and
   1.9 percent in 2007.

Financial
o  Total energy operating revenues of shareholder-owned electric companies
   were $387.1 billion.
o  Consolidated holding company-level assets of shareholder-owned electric
   companies were $963.6 billion.
o  Of these assets, $520.8 billion were net property in service.
o  Total capitalization of U.S. shareholder-owned electric companies was
   $533.4 billion.

It appears from price increases occurring in 2005 and 2006 that the
consolidation hit its bottom in 2004. In 2006, the average retail price for all
customers rose 8.9 cents per KWh, a sharp increase of three-fourths of a cent
from the 2005 price level. The 9.3 percent increase was the largest since 1981.
Electricity demand increased by 2.5 percent in 2006, and is expected to increase
1.9 percent in 2007. A 1 percent increase in demand based on 2005 capacity is
the equivalent of 10,679 MW (SOURCE: EIA; DATE OF LATEST DATA: 2006; RELEASED:
NOVEMBER 2007)






<PAGE>
Pressure to Change the Fuel Mix is Increasing in the United States

The United States primarily derives electricity from carbon-based fuel sources,
supplemented by nuclear, then hydro, and, finally, a small amount of other
generation, including solar. Fuel Source (SOURCE: EIA; DATE OF LATEST DATA:
2005; RELEASED: NOVEMBER 2006)

       Coal:      2,013,179 GWh
       Nuclear:     781,986 GWh
       Gas:         757,974 GWh
       Hydro:       263,029 GWh
       Fuel Oil:    122,522 GWh
       Biomass:      63,856 GWh
       Other:        52,142 GWh

However, there is growing pressure to change this energy source mix to be more
green and renewable in most of the United States markets in which Lassen's
business activities are focused. Arizona, California, Nevada, New Mexico and the
Northwest all have mandates that require energy source mix change in a specified
time. Political pressure for the mix change derives from a combination of
factors, including the significant impact of the current mix on the environment
and a heightened awareness of the need to be more energy independent.
California, for example, mandates significant mix change by 2020, which is
expected to result in a fuel source mix that is derived from increasing cleaner,
more renewable, and more green sources. The mix change for power generation will
mandate that not less than 20% of California's power requirements be derived
from renewable sources. This means that, by 2020, California will need to derive
approximately 42,000,000 MWh of energy from renewable resources. Current
California total energy production is:

Summer Capability          63,213 MWh
Total Generation     216,798, 688 MWh
Total Retail Sales    262,958,528 MWh
Average Retail Price  12.82 (cents/KWh
(Source: EIA; Date of Latest Data: 2005; Released: November 2006)

Mandates, therefore, create significant opportunity for providers of clean,
renewable, green, and especially solar power to enter or expand their business
activities.

COMPETITION

Lassen's PV solar panel technology enables it to produce relatively lower costs
per KWh compared with the generally available technology. We believe that we can
produce, on a commercial scale, solar panels that will make solar energy power
generation cost competitive with traditional electric power sources. Lower cost,
clean, renewable, and reliable has the potential to be a dominant source of
electric power generation for many years.
Our chief competitor on the industrial side is Stirling Energy Systems, a
systems integration and project management company that is developing equipment
for utility-scale renewable energy power plants and distributed electric
generating systems. Their systems require 3-4 times the land for the equivalent
wattages, as compared with Lassen's technology. Their systems must be mounted in
remote locations due to the height of their tower and reflective mirrors. On the
residential and commercial side, our chief competitors are British Petroleum and
Shell.




<PAGE>


TYPE                 WATTS         EFFICIENCY      RETAIL PRICE PANEL
 Traditional         155-170        17-42%  $500-$1000
 Thin Film           135-170        10-20%   350-$1000
 Solar Concentrator  135-400        15-25% $1000-$5000
 Lassen Energy panel Current  400      70% Up to $6000
                     Prototype 3000

REVENUE MODEL AND GROWTH STRATEGY

Lassen's business strategy is to use the significant lower cost per KWh of
Lassen's panel to enter the market and gain significant market share. It
believes it is positioned, therefore, to take advantage of the current market
opportunity with its increasing demand, increasing prices, and mandated changes
in the fuel mix for power generation. The strategy is threefold:

1. Supply Lassen's panels through the network of national and international
dealers for installation as a distributed or co-generation power source in
residential, commercial and industrial projects;

2. Establish power purchase agreements with existing electric utility companies
to help them meet mandates for the addition of clean, renewable, green, and
solar fuel sources for generating electric power; and

3. Construct and operate solar power plants based on Lassen's panel technology
that will fulfill those power purchase agreements.

The Company also intends to build its industry position and drive strong organic
growth through aggressive marketing and sales. In addition, we have identified
several well-positioned and undercapitalized competitors as potential
acquisition targets. These companies provide what we believe are complementary
software and/or technology platforms, existing customer bases in various niche
or regional marketplaces and trained professional employees. However, at this
time, we have no binding acquisition agreements or commitments.

Projects and Timelines

Lassen's near term priority business objective is to commence fulfilling the
backorder demand for its panels increasingly arising from the national and
international dealer network. The value of current backorders are in the amount
of approximately $2 billion, which we project will take up to four years to
fulfill, given the expected production capacity of Lassen's initial panel
manufacturing facility, to be built in the western United States.

The solar panels will be manufactured in a modern, automated plants located
throughout the United States. It is expected that the first facility will
initially have a production capacity of 82,000 panels per year.

Lassen is currently in negotiations with several cities that have existing
infrastructure that meet the needs of the initial facility, including existing
industrial space and transportation infrastructure. The facility will provide
excellent employment with good salaries for the local economy. Final site
selection, currently expected to be in either Lassen County or a nearby area, is
planned for the spring quarter of 2008.





<PAGE>
Each manufacturing facility will be located in approximately 30,000 sq ft of
existing manufacturing space, equipped with fully automated assembly components
designed for producing the panels at a rate of 11 panels per hour, 24 hours a
day, 6 days a week. The facility sites will have close access to both rail and
freeway transport, and be in close proximity to urban and suburban populations
to which the panels will be shipped for installation by independent dealerships.
The dealerships provide service of the system after delivery.

The estimated build out costs for facility components, shipping and set-up is
projected to be $6 million, with general operating costs estimated to require an
additional $4 million. This capitalization provides a state of the art operating
assembly facility and funds its initial operations. An illustration of an
automated system is shown on the following page:

ITEM 2. DESCRIPTION OF PROPERTY

   On September 1, 2007, the Company entered into a commercial lease for its
premises located at 204, 13569 76th Avenue, Surrey, British Columbia, Canada
V3W 3B2. The Company leased the 750 square foot space from B & A Plaza for
five years at an annual rate of $11,000CDN.

The company wrote off all its assets (inventory, equipment etc) as of March 31,
2007.  Some of the old equipment and outdated inventory was thrown in
the garbage. However, there is some equipment and inventory that the company
believes that can be sold.  It has been put into storage and when this is sold
the proceeds will have to be declared as income.

ITEM 3. LEGAL PROCEEDINGS

In May 2007 the company took a local brokerage house to court on behalf of
itself and its shareholders.  This action was taken because the company
and some shareholders had a reason to believe that this particular
Brokerage house was lending the shares to another broker Dealer for the
purpose of shorting.  When the shareholders demanded that their shares be
converted to share certificates, the brokerage house did not produce the
certificates in a reasonable time period.  The company went to Supreme
Court of British Columbia to force them to a) deliver the share
certificates to shareholders, b) to stop lending out our shares, c) to
stop shorting of the company's shares.  The company managed to accomplish
all three because judge agreed with the company and an order was issued to
deliver the shares to shareholders immediately.

On December 12, 2007, the Company commenced legal proceedings in British
Columbia Supreme Court against Photo Violation Technologies Corp. ("PVT") and
its president, Fred Mitschele (aka Fred Marlatt), claiming punitive, exemplary
and consequential damages and other remedies arising from breach of contract and
wrongful conduct on the part of Mitschele.  In the Action, the Company claimed
PVT has breached the agreement among the Company, PVT and Mitschele entered into
on or about March 16, 2007, which provided for completion reverse merger between
the Company and PVT.   The Company also claimed in Court documents that
Mitschele engaged in a number of wrongful acts, including inducing breach of
contract, attempting to divert prospective investors from Company to PVT,
failing to provide financial statements and other necessary documents. In
February 2008, the company extended the law suit to include, the other two
directors and one employee. In March PVT




<PAGE>
countersued Natco, One director of the company and two associates of the
company, claiming breach of contract.

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

No matter was submitted to a vote of the Registrant's shareholders during the
registrant's  2008 fiscal year.

                                  PART II

ITEM 5. MARKET FOR COMMON EQUITY AND RELATED STOCKHOLDER MATTERS

The company's SB-2 was declared effective on May 9, 2005 and the quotation on
the Over-the-Counter Bulletin Board ("OTCBB") started on July 29, 2005 under
the symbol NCII.

As of June 30, 2008 there are 20,447,614 shares of common stock outstanding.
There are no preferred shares outstanding. Management believes all of said stock
would be eligible for sale under Rule 144. Management believes that any of said
shares held by persons who are considered to be affiliates of the Company would
be subject to the volume limitations of Rule 144, manner of sale, notice and
other requirements of Rule 144, but has not sought an SEC no action letter on
this issue.  Management believes that any of said shares held by persons who are
not considered to be affiliates of the Company are currently eligible for
unlimited public resale under Rule 144 without being subject to any other
restrictions under Rule 144.

As of March 31, 2008, the Company had no share purchase options outstanding.
There have been no cash dividends declared on the Company's common stock
since the Company's inception.

ITEM 6. MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION

BACKGROUND AND OVERVIEW

The following summary should be read in conjunction with the financial
statements and accompanying notes to them included elsewhere in this
report.

We have been in existence as a company (including our predecessor British
Columbia Corporation) since 1990. However, we began to concentrate on our
Chemical Manufacturing business activities in 1997; prior to that time we had
few shareholders and were primarily dormant. We never made a profit on Chemical
Manufacturing operations.

As of March 31, 2008, we had incurred a deficit of $(1,901,168) and
$(1,765,523)as of March 31, 2007, which has continued to increase  This deficit
includes losses incurred by our predecessor over the several years of our
development. Most of our losses have been recent and incurred in the development
of our chemical product lines. As an example, our deficit as of October 31, 1998
was approximately $(130,000). We had sales in both the jewelry cleaner and tire
sealants product lines since 1998 to 2005, but sales did not contribute a
significant amount to offset expense. In the 12 months ended Mar 31, 2008
compared to the 12 months ended Mar 31, 2007, we had net loss of $(135,645) and
$(234,572) respectively. Consequently, we discontinued all manufacturing
activities and signed a reverse merger agreement with photo Violation
Technologies Corp (PVT) of Vancouver, British Columbia, Canada




<PAGE>

The merger agreement with PVT fell through and we have signed a binding
definitive agreement with Lassen Energy, Inc. of California to do a reverse
merger by way of share exchange.


RESULTS OF OPERATIONS

Twelve month period ended March 31, 2008

The company has no business at this time and the assets consist of Loan to PVT
in the amount of $1,485,000 and the share exchange agreement with Lassen Energy
and stored equipment and inventory from previous business.

Consequently we had no sales in the fiscal year  ended March 31, 2008.
Therefore, it is not meaningful to compare our results of operations to our
prior year since our prior year's operations have been discontinued.

The company cancelled all issued and outstanding Options owned by
its four directors.  The Agreement with PVT stipulated that all Options be
either cancelled or exercised.  All directors chose to cancel their
Options. No new options have been issued.

LIQUIDITY AND CAPITAL RESOURCES

Natco has financed its operations through equity investment from investors,
shareholder loans, and credit facilities from Canadian chartered banks and
increases in payables and share subscriptions. Most of the financing has been
debt financing from related and un-related parties.


As of March 31, 2008, the company has a debit of $1,420,503.  Most of the debit
is to parties related to current management of Natco. By the time the merger
between Lassen and Natco is completed, the current management will pay out all
debits to non-related parties. As a result all debits will be owed to current
management group.  The amount of debit will be roughly same as the money owed to
Natco by PVT. If Natco is successful in recovering this money from PVT, the
debits will be paid out but if unsuccessful all debits will be written off.
Current management will indemnify the post merger company and its management.
Post merger company will raise 10 to 20 million dollars to execute their
business plan.  Non of this money will be used to retire current debit.


Our estimated fixed costs at this time are approximately $5400 per month, not
including the legal expense of law suit against PVT, but does includes $900 for
lease payments, $500 for utilities, $3,000 for loan interest and principle
payments, and $1,000 for miscellaneous expenses. We will have to raise
approximately $5400 per month until additional funding is in place.  The Legal
court action will be financed separately as the money is needed.  The principles
of the company are committed to financing the legal action.

We are currently suing PVT for the money it owes us ($1,485,000) plus Interest
and damages. If this money is paid back we will not need any financing.  All
debits could be paid and we will have enough working capital to sustain us for
the next 12 months.





<PAGE>
If we are unable to finance the company by debt or equity financing, or
combination of the two, we will have to look for other sources of funding to
meet our requirements.  That source has not been identified as yet but most
likely will be debt financing using the management's trading shares as
collateral. However there is no guarantee that we will be successful in raising
any additional capital.

Our financial statements have been prepared on the going concern basis
under which an entity is considered to be able to realize its assets and satisfy
its liabilities in the ordinary course of business. Operations to date have been
primarily financed by long-term debt and equity transactions as well as
increases in payables and related party loans. Our future operations are
dependent upon the identification and successful completion of additional long-
term or permanent equity financing, the continued support of creditors and
shareholders, and, ultimately, the achievement of profitable operations. There
can be no assurance that we will be successful. If we are not, we will be
required to reduce operations or liquidate assets. We will continue to evaluate
our projected expenditures relative to our available cash and to seek additional
means of financing in order to satisfy working capital and other cash
requirements. Our auditors' report on the March 31, 2007 financial statements
includes an explanatory paragraph that states that as we have suffered recurring
losses from operations, substantial doubt exists about our ability to continue
as a going concern. The consolidated financial statements do not include any
adjustments relating to the recoverability of assets and classification of
assets and liabilities that might be necessary should we be unable to continue
as a going concern.

ITEM 7. FINANCIAL STATEMENTS

                       NATCO INTERNATIONAL INC.
                (formerly Spectrum International Inc.)
                         Developmental Company

                         FINANCIAL STATEMENTS

                        MARCH 31, 2008 and 2007

                       (Expressed in US Dollars)


MOORE & ASSOCIATES, CHARTERED
ACCOUNTANTS AND ADVISORS
PCAOB REGISTERED

            REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

TO THE BOARD OF DIRECTORS
NATCO INTERNATIONAL INC.
(FORMERLY SPECTRUM INTERNATIONAL INC.)
(A DEVELOPMENT STAGE COMPANY)

We  have  audited  the accompanying balance sheet of Natco International Inc. (A
Development Stage Company)  as  of  March  31,  2008 and March 31, 2007, and the
related statements of operations, stockholders' equity  and  cash  flows for the
years  ended  March 31, 2008 and March 31, 2007. These financial statements  are
the responsibility  of  the  Company's  management.   Our  responsibility  is to
express an opinion on these financial statements based on our audits.




<PAGE>

We  conduct  our  audits  in  accordance  with  standards  of the Public Company
Accounting  Oversight Board (United States).  Those standards  require  that  we
plan and perform  the  audits  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
audits provide 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 Natco  International  Inc.  (A
Development  Stage  Company)  as  of  March 31, 2008 and March 31, 2007, and the
related statements of operations, stockholders'  equity  and  cash flows for the
years  ended  March  31, 2008 and March 31, 2007, in conformity with  accounting
principles generally accepted in the United States of America.

The accompanying financial  statements  have  been  prepared  assuming  that the
Company  will  continue  as  a  going  concern.   As  discussed in Note 1 to the
financial  statements,  the Company has incurred significant  operating  losses,
which raises substantial doubt about its ability to continue as a going concern.
Management's plans concerning  these  matters are also described in Note 1.  The
financial statements do not include any  adjustments  that might result from the
outcome of this uncertainty.

/s/ Moore & Associates, Chartered
Moore & Associates Chartered
Las Vegas, Nevada
August 6, 2008

              2675 S. Jones Blvd. Suite 109, Las Vegas, NV 89146
                       (702) 253-7499 Fax (702) 253-7501


<TABLE>
<CAPTION>

<S> <C>                                                             <C>           <C> <C>
 NATCO INTERNATIONAL INC.
 (formerley Spectrum International Inc.)
 Development Stage Company
 Balance Sheets at March 31st
 Expressed in U.S Dollars
                                                                          2008          2007
 ASSETS                                                              (Audited)     (Audited)

 CURRENT ASSETS
 Cash                                                                       $-            $-
 Accounts Receivable                                                         -             -
 Inventory                                                                   -             -
 Prepaid Assets                                                          4,234        15,646
 Assets held in discontinued operations                                      -         2,765
 Total Current Assets                                                    4,234        18,411

  LONG TERM ASSETS
 Loan to PVT                                                        $1,485,000            $-
 Interest Receivable on Loan to PVT                                     95,099
 Product Rights (Note 5)                                                     1             1

 Total Assets                                                       $1,584,334       $18,412


 LIABILITIES AND STOCKHOLDERS' EQUITY

 CURRENT LIABILITIES
 Bank Indebtedness (Note 6)                                            $20,171       $19,132
 Accounts Payable                                                       93,210        80,460
 Accrued Liabilities                                                    92,344        12,214
 Loan Payable                                                          403,490             -
 Due to related Parties (Note 7)                                       811,288       753,273

 Total Current Liabilities                                           1,420,503       865,079

 Total Liabilities                                                   1,420,503       865,079

 Continued Operations (Note 1)
 Discontinued Operations (Note 12)
 Subsequent events (Note 13)


 STOCKHOLDERS' EQUITY
 Authorised:
  50,000,000 Common Shares,
 with a par value $0.001,
 5,000,000 preferred shares
 with a par value $0.001,
 Issued:None
 Common shares - 20,447,614
 (2007 - 15,097,614) respectively
 Paid in Cpital -Statement 3                                            20,447        15,047

 Additional Paid-in Capital -Statement 3                             1,092,740     1,072,687

 Share Subscriptions                                                 1,384,277        70,853

 Other Comprehensive Income - Statement 3                            (432,465)     (239,731)

 Deficit Accomulated during Development
      Stage -Statement 3                                           (1,901,168)   (1,765,523)

 Total Stockholders' Equity                                            163,831     (846,667)

 Total Liabilities and Stockholders' Equity                         $1,584,334       $18,412
                                                                     $       -


 The accompanying notes are an integral part of these statements
</TABLE>

<TABLE>
<CAPTION>
NATCO INTERNATIONAL INC.
<S>                                                     <C>         <C> <C>         <C> <C>         <C> <C>         <C> <C>
(formerley Spectrum International Inc.)
Development Stage Company
Statements of Operations
Expressed in U.S Dollars
                                                          TWELVE          TWELVE           THREE           THREE           SINCE
                                                          MONTHS          MONTHS          MONTHS          MONTHS         INCEPTION
                                                          ENDING          ENDING          ENDING          ENDING          TO MARCH
                                                         MARCH 31        MARCH 31        MARCH 31        MARCH 31           31ST
                                                           2008            2007            2008            2007             2008
                                                         (Audited)       (Audited)       (Audited)       (Audited)      (Unaudited)
INCOME
Sales                                                            $-              $-              $-              $-         $392,635

Cost of Sales                                                                     -               -
                                                                  -                                               -          239,602

Gross Profit                                                     $-              $-              $-              $-         $153,033

OPERATING EXPENSES
Advertising and Promotion                                    18,843             790           1,229             790           86,996
Amortisation                                                                      -                               -           46,985
Automotive                                                                                                                    37,035
Bad Debts                                                                                                                      8,474
Bank Charges                                                  1,116           3,093             498             887           15,769
Commissions                                                                                                                    3,509
Consulting Fees                                                                                                               17,980
Insurance                                                                                                                     17,481
Legal and Accounting                                         67,899          43,404          18,431           2,071          386,429
Office and other                                              9,500           1,571             918             466           62,989
Rent                                                         10,244          11,080           2,928           (108)          212,148
Research and Develoment                                                                                                      105,537
Salaries and benefits                                        54,398         115,709           1,135          15,955          720,937
Telephone and Utilities                                       4,865           2,225             755             318           57,498
Travel and trade shows                                        1,649           6,712              34               -           46,386
Currency Exchange Loss (Gain)                                 (408)                           (408)               -              554

Total Expenses                                              168,106         184,584          25,520          20,379        1,826,707

Net Loss from Operations                                  (168,106)       (184,584)        (25,520)        (20,379)      (1,673,674)

OTHER ITEMS
Interest on PVT Loan                                         94,555                          28,098                           94,555
Other Income                                                                    184               -                           25,389
Cancellation of Options                                      49,950                               -                           49,950
Interest Expense                                          (109,064)        (28,602)        (33,316)         (1,932)        (364,545)
                                                            $35,441       $(28,418)        $(5,218)        $(1,932)       $(194,651)

Loss from Contiued operations                             (132,665)       (213,002)        (30,738)        (22,311)      (1,868,325)

Net Income (loss) from
discontinued operations (Note 12)                           (2,980)        (21,570)               -        (21,570)         (32,843)

Net  Loss                                                 (135,645)       (234,572)        (30,738)        (43,881)      (1,901,168)

Other comprehensive income                                (192,734)        (34,078)          26,259        (32,202)        (432,384)


Net Loss and Comprehensive loss                          $(328,379)      $(268,650)        $(4,479)       $(76,083)
                                                                                                                        $(2,333,552)


Basic and Diluted
(Loss) per Share                                            $(0.02)         $(0.02)         $(0.00)         $(0.00)          $(0.15)

Weighted Average
 Number of Shares                                        20,447,614      15,047,614      16,088,812      16,045,334       16,045,334



The accompanying notes are an integral part of these
statements
</TABLE>

<TABLE>
<CAPTION>
Natco International Inc.
(formerly Spectrum
International Inc.)
Development Stage Company
Stockholders' Equity
Expressed in US Dollars
<S>                            <C>        <C> <C>      <C> <C>        <C> <C>        <C> <C>           <C> <C>         <C> <C>

                                   COMMON       COMMON     ADDITIONAL         SHARES             OTHER
                                   SHARES       SHARES        PAID-IN     SUBSCRIBED     COMPREHENSIVE
                                 (NUMBER)     (AMOUNT)        CAPITAL                    INCOME (LOSS)         DEFICIT         TOTAL
Balance (deficiency)            8,393,928   $    8,394   $    417,516   $     33,549   $        19,886   $   (822,300)   $
  March 31, 2002                                                                                                           (342,955)
Issuance of shares at CDN$0.07    430,714          431         18,207       (18,638)                 -               -             -
per share (Note 9b)
Issuance of shares at CDN$0.15    160,000          160         14,751       (14,911)                 -               -             -
per share (Note 9b)
Issuance of shares at CDN$0.07     85,714           85          3,732              -                 -               -         3,817
per share (Note 9b)
Issuance of shares at CDN$0.08    307,008          307         14,966              -                 -               -        15,273
per share plus warrant
(Note 9b)
Share subscription (Note 9c)            -            -              -         20,000                 -               -        20,000
Change in foreign currency              -            -              -              -          (33,224)               -      (33,224)
translation adjustment
Net loss                                -            -              -              -                 -       (186,247)
                                                                                                                           (186,247)

Balance (deficiency)            9,377,364        9,377        469,172         20,000          (13,338)
  March 31, 2003                                                                                           (1,008,547)     (523,336)
Change in foreign currency              -            -              -              -          (73,045)               -      (73,045)
translation adjustment
Net loss                                -            -              -              -                 -       (153,084)
                                                                                                                           (153,084)

Balance (deficiency)            9,377,364   $    9,377   $    469,172   $     20,000   $      (86,383)   $               $
  March 31, 2004                                                                                           (1,161,631)     (749,465)
Share subscription (Note 9c)            -            -              -          5,000                 -               -         5,000
Change in foreign currency              -            -              -              -          (75,092)               -      (75,092)
translation adjustment
Net loss                                -            -              -              -                 -       (167,822)
                                                                                                                           (167,822)

Balance (deficiency)            9,377,364   $    9,377   $    469,172   $     25,000   $     (161,475)   $               $
  March 31, 2005                                                                                           (1,329,453)     (987,379)
Share subscription (Note 9c)            -            -              -          8,063                 -               -         8,063
Change in foreign currency              -            -              -              -          (44,178)               -      (44,178)
translation adjustment
Net loss                                -            -              -              -                 -       (201,498)
                                                                                                                           (201,498)

Balance (deficiency)            9,377,364   $    9,377   $    469,172   $     33,063   $     (205,653)   $               $         -
  March 31, 2006                                                                                           (1,530,951)     1,224,992
Share subscription (Note 9c)            -            -              -         50,000                 -               -        50,000
Issuance of shares                100,000          100          4,047                                -               -             -
At CDN$0.06/share
(Note 9b)                                                                    (4,147)
Issuance of shares                100,000          100          7,963                                -               -             -
At CDN$0.10/share
(Note 9b)                                                                    (8,063)
Issuance of shares              5,470,250        5,470        541,555              -                 -               -       547,025
At CDN $0.10 per share(Note
9b)
Issuance of Stock Options               -            -         49,950              -                 -               -        49,950
Change in foreign currency              -            -              -              -          (34,078)               -      (34,078)
translation adjustment
Net loss                                -            -              -              -                 -       (234,572)
                                                                                                                           (234,572)

Balance (deficiency)           15,047,614   $   15,047   $  1,072,687   $     70,853   $     (239,731)   $               $
 March 31, 2007                                                                                            (1,765,523)     (846,667)
Issuance of shares
at CDN$0.10/share
(Note 9b)
Issuance of shares                850,000          850         70,003       (70,853)                 -               -             -
at CDN$0.10/share
(Note 9b)
Issuance of shares(Note 9b vi)  4,550,000        4,550              -              -                 -               -         4,550
Cancellation of Stock Options           -            -       (49,950)              -                 -               -      (49,950)
Share subscription (Note 9c)            -            -              -      1,384,277                 -               -     1,384,277
Change in foreign currency                                                                   (192,734)
translation adjustment                                                                                                     (192,734)
Net loss                                                                                                     (135,645)
                                                                                                                           (135,645)

Balance (deficiency)    March  20,447,614   $   20,447   $  1,092,740   $  1,384,277   $     (432,465)   $               $   163,831
31, 2008                                                                                                   (1,901,168)
</TABLE>





<PAGE>



<TABLE>
<CAPTION>
Natco International Inc.
(formerly Spectrum International Inc.)
Development Stage Company
Statements of Cash Flow
Expressed in US Dollars
<S>                                           <C>           <C> <C>           <C> <C>           <C> <C>           <C> <C>
                                              TWELVE MONTHS     TWELVE MONTHS     THREE MONTHS      THREE MONTHS          SINCE
                                                                                                                        INCEPTION
                                              ENDING MARCH      ENDING MARCH      ENDING MARCH      ENDING MARCH      TO MARCH 31ST
                                                   31                31                31                31
                                                  2008              2007              2008              2007              2008
OPERATING ACTIVITIES
Net (Loss)                                       $(135,645)        $(234,572)         $(30,738)         $(43,881)      $(1,901,168)
Adjustments to reconcile Net (Loss)
   Common Stock issued for Services                       -                 -                 -                 -
   Depreciation                                           -                 -                 -                 -            46,985
Write off of assets fom discontinued                  2,980            21,570                 -                 -            32,843
operations
Interest due to related parties                      64,451            24,034             8,100             3,741           180,795
Wages accrued to director                            54,398            65,579             1,135            15,779           520,899
Cancelled stock based compensation                 (49,950)            49,950                 -                 -                 -
Changes in Operating Assets and Liabilities
   (Increase)/Decrease in Accounts Receivable                                                 -                                   -
Interest receivable                                (95,099)                 -          (24,412)                            (95,099)
Inventory                                                                   -                 -           (8,643)                 -
Prepaid expense                                      11,412          (15,646)           (4,405)          (15,016)           (4,234)
   Increase/(Decrease) in Accounts Payable           12,750           (5,414)           (6,656)             2,936            93,210
   Increase/(Decrease) in Accrued Liabilities        80,130          (17,318)            10,050               113            92,344

Net Cash Provided by Operating Activities          (54,573)         (111,817)          (46,926)          (44,971)       (1,033,425)

Net cash provided by (used in )                       (216)           (8,718)                 -           (8,718)          (31,984)
 Discontinued operations

                                                   (54,789)   -     (120,535)          (46,926)   -      (53,689)   -   (1,065,409)

INVESTMENT ACTIVITIES
Purchase of Equipment                                     -                 -                 -                 -          (62,642)
Loan to PVC                                     (1,485,000)                 -                 -                 -       (1,485,000)

Net Cash (Used) by Investment Activities        (1,485,000)                 -                 -                 -       (1,547,642)

FINANCING ACTIVITIES
Bank Indebtedness                                     1,039          (43,853)           (3,097)          (39,136)            20,171
Due to Related party                               (60,834)         (398,559)          (11,941)           125,027           195,244
Loans Payable                                       403,490                         (1,348,491)                             403,490
Proceeds from Subscriptions Receivable            1,313,424            37,790         1,384,277          (12,210)         1,313,424
Proceeds from sale of Common Stock                   75,404           559,235                 -            12,210         1,113,187

Net Cash Provided by Financing Activities         1,732,523   -       154,613            20,748   -        85,891   -     3,045,516

Foreign Exchange                                  (192,734)   -      (34,078)   -        26,178   -      (32,202)   -     (432,465)

Change in cash and cash equivalents                       -   -             -                 -   -             -   -             -

Cash, Beginning of Period                                 -                 -                 -                 -                 -

Cash, End of Period                                      $-                $-                $-                $-                $-

SUPPLEMENTAL INFORMATION:
Interest Paid                                          1705            $4,568              $373              $322          $140,003
Income Taxes Paid                                    $4,386                $-                $-                $-                $-
</TABLE>






<PAGE>
Natco International Inc.
Development Stage Company
Notes to Financial Statements
March 31, 2008 and 2007
Expressed in US Dollars
===============================================================================

1.    Nature of Operations and Going Concern

The Company was incorporated as Spectrum Trading Inc. under the laws of
the Province of British Columbia, Canada, on November 21, 1990. On May 14, 1999,
the Company was discontinued in British Columbia and was reincorporated as
Spectrum International Inc. in the State of Delaware, U.S.A.  Effective
September 3, 2004, the Company changed its name from Spectrum International Inc.
to Natco International Inc.

The company had two products, a jewelry cleaner and a tire sealant. During the
fiscal year ended March 31 2007, the Company discontinued its production of both
lines. The company had signed a binding letter of agreement with Photo Violation
Technologies Corp. (PVT), which would have lead PVT to take over the Company in
a reverse merger. However, this agreement was cancelled
in December 2007.  The company signed another letter of agreement in February
2008 with Lassen Energy, Inc to do a share exchange merger.

These financial statements have been prepared on the basis of accounting
principles applicable to a going concern which assumes that the company will
continue in operation for the foreseeable future and will be able to realize its
assets and discharge its liabilities in the normal course of operations. The
Company has incurred significant operating losses over the past three years and
has a substantial stockholders' deficiency and a working capital deficiency. The
company's continued existence is dependent upon its ability to raise additional
capital and to achieve profitable operations through the proposed reverse merger
with Lassen Energy, Inc.

If the going concern assumption were not appropriate for these financial
statements, then adjustments would be necessary in the carrying values of assets
and liabilities, the reported revenues and expenses and the balance sheet
classifications used.
=============================================================================

2.    Summary of Significant Accounting Policies

a)   Fiscal Period

     The Company's fiscal year ends on March 31.

b)    Cash and Cash Equivalents

Cash and cash equivalents include cash on hand, term deposits and short term
highly liquid investments with a term to maturity of less than one year from
inception which are readily convertible to known amounts of cash and which, in
the opinion of management, are subject to an insignificant risk of changes in
value.

c)    Use of Estimates





<PAGE>
In conformity with accounting principles generally accepted in the United States
of America, management is required to make estimates and assumptions that could
affect the reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the financial statements, and
the reported amounts of revenues and expenses during the year. Actual results
could vary materially from those reported.

Natco International Inc.
(formerly Spectrum International Inc.)
Development Stage Company
Notes to Financial Statements
March 31, 2008 and 2007
Expressed in US Dollars
===============================================================================

2.    Summary of Significant Accounting Policies - Continued

d)    Foreign Currency Transactions

The Company's functional currency is the Canadian dollar and the reporting
currency is the U.S. dollar.  Assets and liabilities are translated
from the functional to the reporting currency at the exchange rate in effect
at the balance sheet date and equity at the historical exchange rates. Revenue
and expenses are translated at rates in effect at the time of the transactions.
Resulting translation gains and losses are accumulated in a separate component
of stockholders' equity - other comprehensive income (loss).  Realized foreign
currency transaction gains and losses are credited or charged directly to
operations.


e)    Inventory

Inventory is stated at the lower of cost and net realizable value.  Cost
includes all costs of purchase, cost of conversion and other costs incurred in
bringing the inventory to its present location and conditions, and is calculated
using the first-in first-out method.  Net realizable value is determined by
reference to sales proceeds of items sold in the ordinary course of business
after the balance sheet date or by management estimates based on prevailing
market conditions.

f)    Property, Plant and Equipment

Property, plant and equipment is recorded at cost.  Depreciation is provided
annually on the diminishing balance method to write-off the assets over their
estimated useful lives as follows:

      Computer and office equipment - 5 years
      Manufacturing equipment - 10 years

g)  Income Taxes

Income taxes are accounted for using the asset and liability method. Deferred
tax assets and liabilities are recognized for the future tax consequences
attributable to differences between the financial statement carrying amounts of
existing assets and liabilities and their respective tax bases and




<PAGE>
operating loss and tax credit carry-forwards.  Deferred tax assets and
liabilities are measured using enacted tax rates expected to apply to taxable
income in the years in which those temporary differences are expected to be
recovered or settled.  The effect on deferred tax assets and liabilities of a
change in tax rates is recognized in income in the period that includes the
enactment date.  A valuation allowance is provided for significant deferred tax
assets when it is more likely than not those such assets will not be recovered.

h)    Fair value of Financial Instruments

The company's financial instruments consist of accounts receivable, bank
indebtedness, accounts payable and amounts due to related parties.  Unless
otherwise noted, it is management's opinion that this Company is not exposed
to significant interest or credit risks arising from these financial
instruments. The fair values of these financial instruments approximate their
carrying values unless otherwise noted.

Natco International Inc.
(formerly Spectrum International Inc.)
Development Stage Company
Notes to Financial Statements
March 31, 2008 and 2007
Expressed in US Dollars
===============================================================================

2.  Summary of Significant Accounting Policies - Continued

i)    Stock-Based Compensation

Effective January 1, 2006, the Company adopted the provisions of Statement of
Financial Accounting Standards ("SFAS") No. 123(R), "Share-Based Payment",
which establishes accounting for equity instruments exchanged for employee
services. Under the provisions of SFAS 123(R), stock-based compensation cost
is measured at the grant date, based on the calculated fair value of the
award, and is recognized as an expense over the employees' requisite service
period (generally the vesting period of the equity grant). Before January 1,
2006, the Company accounted for stock-based compensation to employees in
accordance with Accounting Principles Board Opinion No. 25, "Accounting for
Stock Issued to Employees," and complied with the disclosure requirements of
SFAS No. 123, "Accounting for Stock-Based Compensation".  The Company adopted
SFAS 123(R) using the modified prospective method, which requires the Company
to record compensation expense over the vesting period for all awards granted
after the date of adoption, and for the unvested portion of previously
granted awards that remain outstanding at the date of adoption.  Accordingly,
financial statements for the periods prior to January 1, 2006 have not been
restated to reflect the fair value method of expensing share-based
compensation.  Adoption of SFAS No. 123(R) does not change the way the
Company accounts for share-based payments to non-employees, with guidance
provided by SFAS 123 (as originally issued) and Emerging Issues Task Force
Issue No. 96-18, "Accounting for Equity Instruments That Are Issued to Other
Than Employees for Acquiring, or in Conjunction with Selling, Goods or
Services".


j)    Revenue Recognition




<PAGE>

Revenues are recognized when all of the following criteria have been met:
persuasive evidence for an arrangement exists; delivery has occurred; the fee
is fixed or determinable; and collection is reasonably assured


k)    Advertising Policy

The Company expenses the cost of advertising when incurred.

l)    Research and Development

Research and development is expensed as incurred.

m)    Shipping and Handling

The company includes the cost of shipping and handling as a component of cost
of sales in accordance with Emerging Issues Task Force ("EITF") Issue No. 00-10,
"Accounting for Shipping and Handling Fees and Costs."
<PAGE>
Page 16


Natco International Inc.
(formerly Spectrum International Inc.)
Development Stage Company
Notes to Financial Statements
March 31, 2008 and 2007
Expressed in US Dollars
===============================================================================

2.    Summary of Significant Accounting Policies - Continued


n)    Long-Lived Assets

The company monitors the recoverability of long-lived assets, including
property, plant and equipment and product rights, based on estimates using
factors such as current market value, future asset utilization, business climate
and future undiscounted cash flows expected to result from the use of the
related assets. The company policy is to record any impairment loss in the
period when it is determined that the carrying amount of the asset may not be
recoverable equal to the excess of the asset's carrying value over its fair
value.

o)    Loss Per Share

The company computes net loss per common share using SFAS No. 128
"Earnings Per Share."  Basic loss per common share is computed based on the
weighted average number of shares outstanding for the period. Diluted loss per
share is computed by dividing net loss by the weighted average shares
outstanding assuming all dilutive potential common shares were issued. There
were no dilutive potential common shares at March 31, 2007 and 2006.  Because
the company has incurred net losses and has no potentially dilutive common
shares, basic and diluted loss per share are the same.  Additionally, for the




<PAGE>
purposes of calculating diluted loss per share, there were no adjustments to net
loss.

p)   Obligations Under Capital Leases

Leases are classified as either capital or operating.  Leases that transfer
substantially all of the benefits and risks of ownership of property to the
company are accounted for as capital leases.  At the time a capital lease is
entered into, an asset is recorded with its related long-term financing.
Payments under operating leases are expensed as incurred.

q)   Segmented Reporting

SFAS No. 131, "Disclosures about Segments of an Enterprise and Related
Information", changed the way public companies report information about segments
of their business in their quarterly reports issued to stockholders. It also
requires entity-wide disclosures about the products and services an entity
provides, the material countries in which it holds assets and reports revenues
and its major customers.  The company's sales are generated in one geographical
area, Canada. All revenues consists of interest earned on investment.

r)   Comprehensive Income

SFAS No. 130, "Reporting Comprehensive Income", establishes standards for
reporting and display of comprehensive income and its components in a full set
of general-purpose financial statements.

s)    Derivative Financial Instruments

The company was not a party to any derivative financial instruments during any
of the reported fiscal periods.

Natco International Inc.
(formerly Spectrum International Inc.)
Development Stage Company
Notes to Financial Statements
March 31, 2008 and 2007
Expressed in US Dollars
===============================================================================

2.    Summary of Significant Accounting Policies - Continued

t)  Product Warranty

The company's policy was to replace tire sealant and jewelry cleaner products if
faulty.  Products will be replaced within a reasonable time from the date of
sale. The company stopped manufacturing all products January 2007, therefore,
there are no warranty issues anymore and no carryover liabilities.

u)   Variable Interest Entities

In January 2003, the FASB issued FIN 46, "Consolidation of Variable Interest
Entities, an Interpretation of ARB No. 51."   FIN 46 requires certain variable
interest entities to be consolidated by the primary beneficiary of the entity if
the equity investors in the entity do not have the




<PAGE>
characteristics of a controlling financial interest or do not have sufficient
equity at risk for the entity to finance its activities without additional
subordinated financial support from other parties.  FIN 46 is effective for all
new variable interest entities created or acquired after January 31, 2003.  For
variable interest entities created or acquired prior to February 1, 2003, the
provisions of FIN 46 must be applied for the first interim or annual period
beginning after June 15, 2003. However, in December 2003, the FASB published a
revision to FIN 46 to clarify some of the provisions of FIN 46, and to exempt
certain entities from its requirements.  Under the new guidance, there are new
effective dates for companies that have interests in structures that are
commonly referred to as special-purpose entities.  The rules are effective in
financial statements for periods ending after March 15, 2004. The adoption did
not have any impact on the company's financial statements.

v)    Recent Accounting Pronouncements

    i)   SFAS No. 151

In November 2004, the FASB also issued SFAS No.151, "Inventory Costs, an
amendment of ARB No.43, Chapter 4".  This standard is effective for the
fiscal years beginning after June 15, 2005, therefore the Company adopted
it on April 1, 2006.  This standard clarifies that abnormal amounts of idle
facility expense, freight, handling costs and wasted material should be
expensed as incurred and not included in overhead.  In addition, this
standard requires that the allocation of fixed production overhead costs to
inventory be based on the normal capacity of the production facilities.  The
adoption of this standard is not expected to have a material effect on the
Company's results of operations or financial position.

    ii)   SFAS No. 153

In December 2004, the FASB issued SFAS 153 - Exchanges of Non-Monetary Assets
- An amendment of APB 29.  This statement amends APB 29, which is based on
the principle that exchanges of non-monetary assets should be measured at the
fair value of the assets exchanged with certain exceptions.  SFAS 153
eliminates the exception for non-monetary exchanges of similar productive
assets and replaces it with a general exception for exchanges of non-monetary
assets that do not have commercial substance. A non-monetary exchange has
commercial substance if the future cash flows of the entity are expected to
change significantly as a result of the exchange.  This statement is
effective for non-monetary asset exchanges occurring in fiscal periods
beginning on or after June 15, 2005.


Natco International Inc.
(formerly Spectrum International Inc.)
Development Stage Company
Notes to Financial Statements
March 31, 2008 and 2007
Expressed in US Dollars
===============================================================================

2.    Summary of Significant Accounting Policies - Continued

v) Recent Accounting Pronouncements - Continued




<PAGE>

    iii)   SFAS No. 154

In May 2005, the FASB issued SFAS 154, "Accounting Changes and Error
Corrections," which replaces APB Opinion No. 20, "Accounting Changes," and
supersedes FASB Statement No. 3, "Reporting Accounting Changes in Interim
Financial Statements - an amendment of APB Opinion No. 28." SFAS 154 requires
retrospective application to prior periods' financial statements of changes
in accounting principle, unless it is impracticable to determine either the
period-specific effects or the cumulative effect of the change.  When it is
impracticable to determine the period-specific effects of an accounting
change on one or more individual prior periods presented, SFAS 154 requires
that the new accounting principle be applied to the balances of assets and
liabilities as of the beginning of the earliest period for which
retrospective application is practicable and that a corresponding adjustment
be made to the opening balance of retained earnings for that period rather
than being reported in an income statement.  When it is impracticable to
determine the cumulative effect of applying a change in accounting principle
to all prior periods, SFAS 154 requires that the new accounting principle be
applied as if it were adopted prospectively from the earliest date
practicable.  SFAS 154 shall be effective for accounting changes and
corrections of errors made in fiscal years beginning after December 15, 2005.
The Company does not expect the provisions of SFAS 154 will have a
significant impact on its results of operations.

    iv)  SFAS No. 155

In February 2006, the FASB issued SFAS No. 155, "Accounting for Certain
Hybrid Financial Instruments, an amendment of FASB Statements No. 133 and
140."  This statement permits fair value re-measurement for any hybrid
financial instrument that contains an embedded derivative that otherwise
would require bifurcation.  It establishes a requirement to evaluate
interests in securitized financial assets to identify interests that are
freestanding derivatives or that are hybrid financial instruments that
contain an embedded derivative requiring bifurcation.  In addition, SFAS 155
clarifies which interest-only strips and principal-only strips are not
subject to the requirements of Statement 133.  It also clarifies that
concentrations of credit risk in the form of subordination are not embedded
derivatives.  SFAS 155 amends Statement 140 to eliminate the prohibition on a
qualifying special-purpose entity from holding a derivative financial
instrument that pertains to a beneficial interest other than another
derivative financial instrument.  This Statement is effective for all
financial instruments acquired or issued after the beginning of an entity's
first fiscal year that begins after September 15, 2006.  The adoption of this
standard is not expected to have a significant effect on the Company's
results of operations or financial position.


Natco International Inc.
(formerly Spectrum International Inc.)
Development Stage Company
Notes to Financial Statements
March 31, 2008 and 2007
Expressed in US Dollars
===============================================================================





<PAGE>
2.    Summary of Significant Accounting Policies - Continued

v) Recent Accounting Pronouncements - Continued

             v)    SFAS No. 156
In March 2006, the FASB issued SFAS 156, "Accounting for Servicing of
Financial Assets-an amendment of FASB Statement No. 140".  This statement
amends FASB Statement No. 140, "Accounting for Transfers and Servicing of
Financial Assets and Extinguishments of Liabilities", with respect to the
accounting for separately recognized servicing assets and servicing
liabilities. This statement:  (1) requires an entity to recognize a servicing
asset or servicing liability each time it undertakes an obligation to service
a financial asset by entering into a servicing contract in any of the
following situations: (a) a transfer of the servicer's financial assets that
meets the requirements for sale accounting, (b) a transfer of the servicer's
financial assets to a qualifying special-purpose entity in a guaranteed
mortgage securitization in which the transferor retains all of the resulting
securities and classifies them as either available-for-sale securities or
trading securities in accordance with FASB Statement No. 115, "Accounting for
Certain Investments in Debt and Equity Securities", (c) an acquisition or
assumption of an obligation to service a financial asset that does not relate
to financial assets of the servicer or its consolidated affiliates; (2)
requires all separately recognized servicing assets and servicing liabilities
to be initially measured at fair value, if practicable; (3) permits an entity
to choose either of the following subsequent measurement methods for each
class of separately recognized servicing assets and servicing liabilities:
(a) Amortization method-Amortize servicing assets or servicing liabilities in
proportion to and over the period of estimated net servicing income or net
servicing loss and assess servicing assets or servicing liabilities for
impairment or increased obligation based on fair value at each reporting
date, or (b) Fair value measurement method-Measure servicing assets or
servicing liabilities at fair value at each reporting date and report changes
in fair value in earnings in the period in which the changes occur; (4) at
its initial adoption, permits a one-time reclassification of available-for-
sale securities to trading securities by entities with recognized servicing
rights, without calling into question the treatment of other available-for-
sale securities under Statement 115, provided that the available-for-sale
securities are identified in some manner as offsetting the entity's exposure
to changes in fair value of servicing assets or servicing liabilities that a
servicer elects to subsequently measure at fair value; and (5) requires
separate presentation of servicing assets and servicing liabilities
subsequently measured at fair value in the statement of financial position
and additional disclosures for all separately recognized servicing assets and
servicing liabilities.  An entity should adopt this statement as of the
beginning of its first fiscal year that begins after September 15, 2006.
Earlier adoption is permitted as of the beginning of an entity's fiscal year,
provided the entity has not yet issued financial statements, including
interim financial statements, for any period of that fiscal year. The
effective date of this Statement is the date an entity adopts the
requirements of this statement.

Natco International Inc.
(formerly Spectrum International Inc.)
Development Stage Company
Notes to Financial Statements
March 31, 2008 and 2007
Expressed in US Dollars




<PAGE>
===============================================================================


3.    Inventory

All inventory was written off as of March 31, 2007

4.    Property, Plant and Equipment

      Details are as follows:
All plant equipment has been written off as of March 31, 2007

=======================================================================

5.    Product Rights

The company has the exclusive and continuing rights to the product
formulations and distribution of a tire sealant product. These rights were
acquired from a related party and have been recorded at $1, representing the
carrying value to the related party.
=============================================================================

Natco International Inc.
(formerly Spectrum International Inc.)
Development Stage Company
Notes to Financial Statements
March 31, 2008 and 2007
Expressed in US Dollars
===============================================================================

6.    Bank Indebtedness

      Details are as follows:
                                                      2008            2007
                                                 --------------------------
Checks written in excess of funds on deposit     $     -         $       -

HSBC demand revolving loan for a maximum
amount of CDN$20,000 (US$20,226), secured by
a General Security Agreement on all assets
of the company (first charge) and by personal
guarantees made by a director and officer
of the company, interest at bank prime plus
2%.                                              US$  20,171           19,132


                                                -----------------------------
                                                    20,171           19,132
Less: Current Portion                              (20,171)         (19,132)
                                                -----------------------------
Long-term portion                               $       -         $       -
                                                -----------------------------

=============================================================================





<PAGE>


Natco International Inc.
(formerly Spectrum International Inc.)
Development Stage Company
Notes to Financial Statements
March 31, 2008 and 2007
Expressed in US Dollars
===============================================================================

7.    Related Party Transactions

Other than as disclosed elsewhere in these financial statements, the following
amounts have been recorded as transactions with related parties:

a)    Amounts due to related parties are as follows:
                                                     2008         2007
                                              -------------------------
Loans payable to relatives of a director
and officer of the company.  The loans
are unsecured, are due on demand, and
bear interest at bank prime plus 0.5%
(2006 - 0.5%).                                  $  14,763     $  13,125

Loans payable to a director and officer
of the company.  The loans are unsecured,
do not have fixed terms of repayment, and
bear interest at 8.33% to 11%
(2006 - 8.33% to 11%).  It is expected
that these loans will be repaid within the
next 12 months.                                    202,428       260,605

Wages and bonus payable to a director and
officer of the company.  This liability
is unsecured, due on demand and non-interest
bearing (2006 - nil%).                             587,818       473,961

Loan payable to a relative of a director
and officer of the company. The loan is
unsecured, due on demand, bears an interest
at 7% per annum and requires monthly payments
of interest only.                                    6,279         5,582
                                              -------------------------
                                               $   811,288    $  753,273
Less: Current portion                             (811,288)     (753,273)
                                               -------------------------
Long-term portion                              $        -          -
                                               -------------------------

b)    Interest expense on amounts due to directors and an officer was
     $6,446.21 (2007 - $24,034).

c)    Salaries and benefits include $62,774(2006 - $62,774) paid to a
    director and officer of the Company.





<PAGE>
d)    As at March 31, 2008, a director and officer of the Company held
      approximately 38.8% of the issued and outstanding shares of the
      Company.

e)  The Company's director and officer owns approximately 38.8% of the
    Company's outstanding shares.

=============================================================================
8.    Capital Stock

a)    Authorized Stock

The company has authorized 50,000,000 common shares with a par value of $0.001
per share. Each common share shall entitle the holder to one vote, in person or
proxy on any matter on which action of the stockholder of the corporation is
sought. The company has authorized 5,000,000 shares of preferred stock with a
par value of $0.001 per share. The holders of preferred stock have no rights
except as determined by the Board of Directors of the company and/or provided by
Delaware General Corporate Law.

Natco International Inc.
(formerly Spectrum International Inc.)
Development Stage Company
Notes to Financial Statements
March 31, 2008 and 2007
Expressed in US Dollars
===============================================================================

8.    Capital Stock - Continued

b)    Share Issuances

i)    During fiscal 2002, the Company agreed to issue 430,714 common
         shares to settle debt in the amount of $18,638 to a director
         and officer of the Company and two directors.  These shares
         were issued in fiscal 2003.

ii)   During fiscal 2002, the Company agreed to issue 160,000 common
         shares to settle debt in the amount of $14,911 to non-related
         parties.  These shares were issued in fiscal 2003.

iii)     During fiscal 2003, the Company issued 85,714 common shares for
         proceeds of $3,817 to a Company owned by a director of the
         company.

iv)   During fiscal 2003, the Company issued 307,008 common shares
         for proceeds of $15,273.  Of these shares, 281,424 were issued
         to a company owned by a director of the Company.

v)    During fiscal 2007, the Company issued 5,670,250 common shares
         for Debit and subscriptions from previous years.  Of these
         shares, 250,000 were issued to a director of the company,
         another 45,450 was issued to a company owned by a director
         of the Company and 2,504,920 were issued to a director, CEO of the
         company.





<PAGE>
   vi)      During the current period, the company issued 850,000 common shares
          for subscriptions from prior years to three non-affiliate individuals.

          The company has appointed Capital Group Communications as the Investor
          relations firm. The Company has issued 1,500,000 of restricted Common
          Shares to Capital Group Communications.

          The company also hired Barry Davis and his group to do some Investor
          Relation work. They were issued 1,800,000 restricted common shares to
          seven different individuals.

1697:   The company issued 1,250, 000 restricted common shares to DC Consulting
          additional investor relations work

c)    Share Subscriptions

      At March 31,2008 there were 6,300,000 million shares to be issued from
share subscriptions received from investors holding convertible notes.

d)    Warrants

      During fiscal 2003, the Company issued 307,008 units, consisting of
      307,008 shares and 307,008 share purchase warrants.  These warrants
were convertible to shares at a price of $0.25 per share. These
warrants expired on September 6, 2004.  There are no outstanding
warrants at this time

e)    Stock Options

      All outstanding option were cancelled on June 20, 2007.  There are no
outstanding option at this time

Natco International Inc.
(formerly Spectrum International Inc.)
Development Stage Company
Notes to Financial Statements
March 31, 2008 and 2007
Expressed in US Dollars
===============================================================================

8.    Capital Stock - Continued

e) Stock Options - Continued

The Company has also committed to issue to the Chief Executive Officer 67,000
share purchase options every April.  These options will be exercisable at
$0.10 per share and will expire five years after the date of grant.  Further
bonus options are available to the Chief Executive Officer.  These bonus
options entitle the Chief Executive Officer to purchase shares at 20% below
the market price up to a value determined by 5% of the amount of annual
profits from sales in excess of $2,500,000 up to $3,999,999 and 8% of the
amount of annual profits from sales in excess of $4,000,000.  To date, sales
have not exceeded $2,500,000 and thus no bonus options have been issued.  Also,
CEO has agreed not to take any annual option to facilitate the reverse merger
with Lassen Energy, Inc.





<PAGE>
Until December 31, 2005, the Company accounted for its stock option plan in
accordance with the provisions of APB Opinion No. 25, Accounting for Stock
Issued to Employees.  Effective January 1, 2006, the Company is accounting
for stock based compensation using SFAS 123(R) Share Based Payment.  Had
compensation cost for the stock option plan been determined for the entire
fiscal year based on the fair value at the grant date consistent with the
method of SFAS No. 123, Accounting for Stock-Based Compensation, the total
pro forma value of stock options expense granted to directors and officers
for the year ended March 31, 2008 would be $Nil (2007 - $Nil) Because no options
are outstanding at this time.
=============================================================================

Natco International Inc.
(formerly Spectrum International Inc.)
Development Stage Company
Notes to Financial Statements
March 31, 2008 and 2007
Expressed in US Dollars
===============================================================================

9.    Income Taxes

The Company has accumulated net operating losses for federal income tax purposes
of approximately $917,000, which may be carried forward and used to reduce
taxable income of future years.  These losses expire as follows:

      2020                   $        180,000
      2021                            117,000
      2022                            135,000
      2023                            141,000
      2024                             97,000
      2025                            109,000
      2026                            138,000
                                       -------
                        $             917,000
                                       -------


The potential future tax benefits of these losses have not been recognized in
these financial statements due to uncertainty of their realization.  When the
future utilization of some portion of the carry forwards is determined not to be
"more likely than not," a valuation allowance is provided to reduce the recorded
tax benefits from such assets.

10.   Commitments

As of September 1, 2007 the company has leased offices at #204, 13569 - 76th
Avenue, Surrey, BC, Canada.  Total space is 750 square feet for total rent
of $900.00 per month.  This lease will expire on August 31, 2012.

=============================================================================

Natco International Inc.
(formerly Spectrum International Inc.)
Notes to Financial Statements
March 31, 2007 and 2006




<PAGE>
Expressed in US Dollars
===============================================================================
11.  Discontinued Operations

The Company discontinued operations of its jewelry cleaners and accessories
line due to lack of demand for the product in March 2006. The tire sealant
operations were also discontinued in February 2007  There were no property,
 plant and equipment remaining to produce these operations. As at March 2007 and
2006, accounts receivable relating to the jewelry cleaners and Tire sealant
lines were $2,765 and $3,199 respectively. As of March 31, 2007 and 2006,
inventory relating to the discontinued line of business were $Nil  and accounts
payable were $nil and $5,613, respectively. Net loss from discontinued
operations is as follows:


                                                      2008               2007
                                              ---------------------------------
Sales                                           $      -          $      800
Cost of Sales                                                             -
                                              ---------------------------------
Gross Profits                                          -                 800

Write down of inventory                                -             (10,585)
Disposal of Fixed assets                                -             (11,618)
                                              ---------------------------------
Net loss from Discontinued Operations           $      -        $    (21,403)
                                            ---------------------------------


12.  Reverse Merger Agreement(s)

On March 19, 2007 Company signed a binding Letter of agreement with Photo
Violation Technologies Corp (PVT), a Canadian company that manufactures Parking
Meters.

On July 15, 2007 Natco and Photo Violation Technologies extended the letter of
Agreement from July 16, 2007 to October 31, 2007

On October 31, 2007 Natco and Photo Violation Technologies extended the letter
of Agreement from October 31, 2007 to December 31, 2007

On December 12, 2007, Natco cancelled the agreement and filed a law suit against
PVT.

On Feb 19, 2008 Company signed a binding Letter of agreement with Lassen Energy,
Inc (LEI), a US company that manufactures Solar Panels.



13. Subsequent Events





<PAGE>
 On April 18, 2008 Natco and LEI entered into a binding definitive agreement
 to merge by way of share exchange.



ITEM 8. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND
        FINANCIAL DISCLOSURES

Since the Company's incorporation on May 17, 1999, the Company has retained
four auditors. The Company's initial auditors were Thorne Little in Surrey,
British Columbia, Canada, which were originally retained by Spectrum Trading
Inc., a British Columbia corporation. Since the Company was incorporated
pursuant to the laws of the State of Delaware, the Company determined it was in
the corporation's best interests to retain an auditing firm based in the
United States. On October 31, 1999, the Company retained Grant Thornton LLP as
its Auditors (Vancouver BC Office). Due to disagreement regarding fees and
delays in completion of work Grant Thornton LLP was asked by the company to
resign in July 2003. Since then we have been able to settle the fees issue.
On March 12, 2004 we retained Staley, Okada and Partners to be our auditors.
In September 2006 they ceased to Exist.  Therefore, we switched to Moore and
Associate of Las Vegas.

We discussed the need to use the generally accepted accounting principles
of United States (USGAAP)with them and their qualifications regarding the
USGAAP.  No discussion took place as to what type of audit opinion will be
rendered and no written or oral advice was provided.

ITEM 8A. CONTROLS AND PROCEDURES

As of the end of the period covered by this report, we carried out an
evaluation, under the supervision and with the participation of our chief
executive officer and chief financial officer, of the effectiveness of the
design and operation of our disclosure controls and procedures.  BASED ON THIS
EVALUATION, OUR CHIEF EXECUTIVE OFFICER AND CHIEF FINANCIAL OFFICER CONCLUDED
THAT OUR DISCLOSURE CONTROLS AND PROCEDURES ARE DESIGNED TO PROVIDE REASONABLE
ASSURANCE OF ACHIEVING THE OBJECTIVES OF TIMELY ALERTING THEM TO MATERIAL
INFORMATION REQUIRED TO BE INCLUDED IN OUR PERIODIC SEC REPORTS AND OF ENSURING
THAT SUCH INFORMATION IS RECORDED, PROCESSED, SUMMARIZED AND REPORTED WITH THE
TIME PERIODS SPECIFIED.  Our chief executive officer and chief financial officer
also concluded that our disclosure controls and procedures were effective as of
the end of the period covered by this report to provide reasonable assurance of
the achievement of these objectives.

ITEM 8B. OTHER INFORMATION

NOT APPLICABLE.

                                           PART III

ITEM 9. DIRECTORS AND EXECUTIVE OFFICERS OF THE REGISTRANT

The directors and principal executive officers of the Company are as follows:


                                Executive Officers of the Company:
---------------------------------------------------
|Name                 |Age|Office(s)              |
---------------------------------------------------
|Raj-Mohinder Gurm    |48 |President, CEO, and CFO|
---------------------------------------------------
|Gerry Podersky-Cannon|61 |Secretary              |
---------------------------------------------------

                                Board of Directors of the Company:
----------------------------------------------------------------
|Name                 |Age|        |Term Expires|Director Since|
----------------------------------------------------------------
|Raj-Mohinder Gurm    |48 |Director|Next AGM    |Nov. 1990     |
----------------------------------------------------------------
|Gerry Podersky-Cannon|61 |Director|Next AGM    |June 2000     |
----------------------------------------------------------------

-------------------------------------------------------------
(1) Directors Terms are staggered over a three year period. Directors may only
be removed for cause and by a 75% majority vote of the shareholders.

ITEM 10. EXECUTIVE COMPENSATION

Any compensation received by officers, directors and management personnel
of the Company will be determined from time to time by the Board of Directors of
the Company. Officers, directors and management personnel of the Company will be
reimbursed for any out-of-pocket expenses incurred on behalf of the Company.

   Summary Compensation Table. The table set forth below summarizes the annual
and long-term compensation for services in all capacities to the Company payable
to the Chief Executive Officer of the Company and the other executive officers
of the Company whose total annual salary and bonus exceeded
$50,000 during the years ending March 31. The Board of Directors of the
Company may adopt an incentive stock option plan for its Directors and executive
officers which would result in additional compensation.

<TABLE>
<CAPTION>
----------------------------------------------------------------------------------------------------------------------------
SUMMARY COMPENSATION TABLE
----------------------------------------------------------------------------------------------------------------------------
                                                                 Long Term Compensation
----------------------------------------------------------------------------------------------------------------------------
                                    Annual Compensation                   Awards                    Payouts
----------------------------------------------------------------------------------------------------------------------------
      (a)           (b)           (c)           (d)           (e)           (f)           (g)           (h)           (i)
----------------------------------------------------------------------------------------------------------------------------
     Name                                                    Other       Restricted    Securities
      And                                                    Annual        Stock       Underlying      LTIP        All Other
   Principle                     Salary        Bonus      Compensation    Award(s)    Options/SARs    Payouts     Compensation
   Position        Year            ($)          ($)            ($)          ($)           (#)           ($)           ($)
----------------------------------------------------------------------------------------------------------------------------
<S>               <C>            <C>             <C>         <C>             <C>          <C>            <C>           <C>
CEO                2008(6)        $62,774(3)      0.00        0.00            0.00              0(2)      0.00          0.00
Raj-Mohinder Gurm
                   2007(4)         62,774(1)      0.00        0.00            0.00          67,000(2)     0.00          0.00

                   2006(5)         62,774(1)      0.00        0.00            0.00          67,000(2)     0.00          0.00
----------------------------------------------------------------------------------------------------------------------------
</TABLE>

(1)   In April 1999 the board approved an employment contract
     with Mr. Gurm, which allowed for an annual salary of
     $62,774(72,000CDN), a signing bonus of $10,000 and an
     option to purchase 134,000 shares of the Company's common
     stock  for $0.10 per share.  The employment contract
     called for an additional option to purchase  67,000
     shares of the Company's common stock for
      $0.10 per share to be issued to Mr. Gurm on an annual
     basis.  All options expire five years after the issue
     date. The salary due Mr. Gurm since April 1999 has been
     accrued by the Company, except for $63,650  which was
     forgiven by Mr. Gurm in March of 2001.  The salary amount
     accrued  includes
      vacation pay.  The contract is automatically renewed at the same
     terms
     every year on April 30, unless cancelled or opened for
renegotiating
      by either Mr. Gurm or the board of directors of the
Company.  The
      Company has no other Employment contracts with any other
party.
(2)   These stock purchase options were issued pursuant to Mr.
     Gurm's  employment   contract dated April, 30 1999.
     These options vest immediately, and can be exercised at
     $0.10 per share within 5 years from the date of grant.
(3)   Salary accrued from April 1, 2005 to March 31, 2008
includes vacation
      pay.
(4)   Year ended on March 31, 2007
(5)   Year ended on March 31, 2006





<PAGE>
(6)   Year ended on March 31, 2008


ITEM 11. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND
         RELATED STOCKHOLDER MATTERS

The following table sets forth certain information regarding the beneficial
ownership of the Company's common stock as of the date of this report by
(i) each person or entity known by the Company to be the beneficial owner of
more than 5 % of the outstanding shares of common stock, (ii) each of the
Company's directors and named executive officers, and (iii) all directors
and executive officers of the Company as a group.

<TABLE>
<CAPTION>
----------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------
                           Name and Address of       Amount and Nature of
     Title of Class         Beneficial Owner           Beneficial Owner         Percent of Class(1)
----------------------------------------------------------------------------------------------------
     <S>                     <C>                       <C>                                 <C>
     $.001 Par               Raj-Mohinder S. Gurm
       Value                   13718 91st Avenue        Officer & Director                  35.2%
     Common Stock             Surrey, BC, Canada        7,200,000 Common
                                    V3V 7X1
----------------------------------------------------------------------------------------------------
     $.001 Par               Gerry Podersky-Cannon.
       Value                 126-1628 W 1st, Avenue      Officer & Director                 3.6%
     Common Stock            Vancouver, BC, Canada       738,736 Common (2)
                                   V6J 1G1
----------------------------------------------------------------------------------------------------
    $.001 Par
     Value                 All officers and directors
Common Stock               as a group (2 Persons)        7,938,736(2)                      38.8%
----------------------------------------------------------------------------------------------------

</TABLE>

   (1)Percentages are calculated based on 20,447,614 shares outstanding as of
     June 30,2008 already subscribed for.  Pursuant to Rule 13d-3(d)(1), the
      percentage of shares owned for each person includes shares deemed to
be outstanding upon exercise of options by such person within 60 days of
     the reported date, but are not deemed to be outstanding for the purpose of
     computing the percentage of the class by any other person.
 (2)   Includes 713,152 shares held of record by Canafra Financial Ltd., a
      British Columbian corporation owned by
      Mr. Podersky-Cannon and his spouse, Donna Y. Maroz.

   Beneficial ownership is determined in accordance with the rules of the
Commission and generally includes voting or investment power with respect to
securities. Shares of the Company's common stock which may be acquired upon
exercise of stock options which are currently exercisable or which become
exercisable within 60 days of the date of the table are deemed beneficially
owned by the optionees. Subject to community property laws, where applicable,
the persons or entities named in the table above have sole voting and investment
power with respect to all shares of the Company's common stock indicated as
beneficially owned by them.

ITEM 12. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

As at March 31, 2008, the company owed $811,288 to related parties.  Included in
this amount is $790,246 owing to a Raj-Mohinder Gurm, a director and officer of
the company, and $21,042 owing to various relatives of the director and officer
of the company.  During the current year, $6,446 of interest expense has been
accrued as owing to a director and officer of the company..





<PAGE>
As at March 31, 2008, Raj-Mohinder Gurm, a director and officer of the company,
owned approximately 35.2% of the issued and outstanding share of the company,
and all directors and officers of the company owned approximately 38.8% of the
company's shares.

On June 20, 2007, all options held by directors and others were cancelled. No
new options have been granted to anyone.

ITEM 13. EXHIBITS

Exhibit No.      Description

3.1              Restated Certificate of Incorporation. (1)
3.2              Bylaws. (1)
10.4             Employment contract between Spectrum International Inc and
                 Raj-Mohinder Gurm dated April 12, 1999. (1)
10.5             Indenture between Raj-Mohinder S. Grum and Spectrum Trading
                 Inc. dated April 30, 1999. (2)
10.9             Agreement between Natco and Lassen dated February 19, 2008
10 10            Agreement between Natco and Lassen dated April 18, 2008
23.1             Consent of Auditors
31.1             Certificate of Chief Executive Officer pursuant to Section 302
                 of the Sarbanes-Oxley Act of 2002.
31.2             Certificate of Chief Financial Officer pursuant to Section 302
                 of the Sarbanes-Oxley Act of 2002.
32.1             Certificate of Chief Financial Officer and Chief Executive
                 Officer pursuant to Section 906 of the Sarbanes-Oxley Act of
                 2002.


   (1)   Incorporated herein by reference to Form SB-2A filed with the U.S.
         filed with the U.S. Securities and Exchange Commission on May 14, 2003.
   (2)   Incorporated herein by reference to Form SB-2 filed with the U.S. filed
         with the U.S. Securities and Exchange Commission on June 26, 2002.


ITEM 14. PRINCIPAL ACCOUNTANT FEES AND SERVICES

The following table sets forth fees billed to us by our auditors during the
fiscal years ended March 31, 2008 and March 31, 2007 for: (i) services rendered
for the audit of our annual financial statements and the review of our quarterly
financial statements, (ii) services by our auditor that are reasonably related
to the performance of the audit or review of our financial statements and that
are not reported as Audit Fees, (iii) services rendered in connection with tax
compliance, tax advice and tax planning, and (iv) all other fees for services
rendered.
                           March 31,      March 31,
                             2008             2007
                         -----------------------------

Audit Fees              $    9400      $   12,500
Audit Related Fees              -               -
Tax Fees                        -               -
All Other Fees                  -               -




<PAGE>
                         -----------------------------
     Totals                 9,400          12,500
                         =============================

Audit Fees. These fees consist of fees billed for professional services rendered
for the audit of the Company's financial statements and review of the interim
financial statements included in the Company's periodic reports, statutory and
regulatory filings or engagements.

Audit-Related Fees. These fees consist of fees billed for assurance and related
services that are reasonably related to the performance of the audit or review
of the Company's financial statements and are not reported under "Audit Fees."
There were no Audit-Related services provided in fiscal 2006 or 2005.

Tax Fees. These fees consist of fees billed for professional services for tax
compliance, tax advice and tax planning in fiscal 2006 or 2005.

All Other Fees. These fees consist of fees for products and services other than
the services reported above. There were no management consulting services
provided in fiscal years 2006 or 2005.

Pre-Approval Policies and Procedures. The Company currently does not have a
designated Audit Committee, and accordingly, the Company's Board of Directors'
policy is to pre-approve all audit and permissible non-audit services provided
by the independent auditors. These services may include audit services, audit-
related services, and tax services and other services. Pre-approval is generally
provided for up to one year and any pre-approval is detailed as to the
particular service or category of services and is generally subject to a
specific budget. The independent auditors and management are required to
periodically report to the Company's Board of Directors regarding the extent of
services provided by the independent auditors in accordance with this pre-
approval, and the fees for the services performed to date. The Board of
Directors may also pre-approve particular services on a case-by-case basis.


                                 SIGNATURES

   In accordance with Section 13 of the exchange act, the registrant has duly
caused this report to be signed on its behalf by the undersigned, thereunto
duly authorized.


                                            Natco International, Inc.
                                            By: /s/ Raj-Mohinder S. Gurm
                                            --------------------------------
                                            Name: Raj-Mohinder S. Gurm
 Date: August 12, 2008                   Title Chief Executive Officer & CFO



   Pursuant to the Securities Act of 1934, this report has been signed below by
the following persons on behalf of the Company and in the capacities and on the
dates indicated.





<PAGE>
/s/Raj-Mohinder S. Gurm
-----------------------
Director, CEO and CFO      August 12, 2008

/s/Gerry Podersky-Cannon
------------------------
Director, Secretary        August 12, 2008