----

----

| [X] | QUARTERLY                REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF                1934 |
|-----|-----------------------------------------------------------------------------------------------------------------|

| [                ] | TRANSITION                REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF                1934 |
|--------------------|------------------------------------------------------------------------------------------------------------------|

| DELAWARE                                                                    | 23-2442288                                           |
|-----------------------------------------------------------------------------|------------------------------------------------------|
| State                or other jurisdiction of incorporation or organization | I.R.S.                Employer Identification Number |
|                                                                        |                                                 |
| 6467                Zuma View Place, Suite 160, Malibu CA                   | 90265                                                |
| Address                of principal executive offices                       | Zip                Code                              |

| Yes | X | No |   |
|-----|---|----|--------|

| Yes |   | No | X |
|-----|--------|----|---|

| Yes |   | No | X |
|-----|--------|----|---|

----

| **PART                I FINANCIAL STATEMENTS**                                                                                                                                                                                                                     |                                                                            |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                               |                                                                            |   |
| Item                1.                                                                                                                                                                                                                                             | Financial                Statements (Unaudited):                                |   |
|                                                                                                                                                                                                                                                               |                                                                            |   |
| Consolidated                Balance Sheet as of December 31, 2003                                                                                                                                                                                                  | 2                                                                               |
|                                                                                                                                                                                                                                                               |                                                                            |   |
| Consolidated                Statements of Operations for the Three Months Ended December 31,                2003 (As                Restated) and December 31, 2002 and April 1, 1998 (Inception) to                December                31, 2003 (As Restated) | 3                                                                               |
|                                                                                                                                                                                                                                                               |                                                                            |   |
| Consolidated                Statement of Cash Flows for the Three Months Ended December 31,2003                (As                Restated) and December 31, 2002 and April 1, 1998 (Inception) to                December                31, 2003 (As Restated)   | 4                                                                               |
|                                                                                                                                                                                                                                                               |                                                                            |   |
| Notes                to the Consolidated Financial Statements                                                                                                                                                                                                      | 6                                                                               |
|                                                                                                                                                                                                                                                               |                                                                            |   |
| Item                2.                                                                                                                                                                                                                                             | Management’s                Discussion and Analysis or Plan of Operations | 10 |
|                                                                                                                                                                                                                                                               |                                                                            |   |
| Item                3.                                                                                                                                                                                                                                             | Controls                and Procedures                                          |   |
|                                                                                                                                                                                                                                                               |                                                                            |   |
|                                                                                                                                                                                                                                                               |                                                                            |   |
| **PART                II OTHER INFORMATION**                                                                                                                                                                                                                       |                                                                            |
|                                                                                                                                                                                                                                                               |                                                                            |   |
| Item                2                                                                                                                                                                                                                                              | Unregistered                sales of equity securities                          | 12 |
|                                                                                                                                                                                                                                                               |                                                                            |   |
| Item                4                                                                                                                                                                                                                                              | Submission                of Matters to a Vote of Security Holders              | 12 |
|                                                                                                                                                                                                                                                               |                                                                            |   |
| Item                6.                                                                                                                                                                                                                                             | Exhibits                                                                        | 13 |
|                                                                                                                                                                                                                                                               |                                                                            |   |
| Signature                Page                                                                                                                                                                                                                                      | 14                                                                              |

----

| ASSETS                                                                                                                                                    |   |   |        |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|-------------|
| Current                Assets:                                                                                                                            |   |   |        |
| Cash                and cash equivalents                                                                                                                  |   | $      | 66,685      |   |
| Prepaid                financing costs                                                                                                                    |   |   | 54,205      |   |
| Total                Current Assets                                                                                                                       |   |   | 120,890     |   |
|                                                                                                                                                      |   |   |        |   |
| Total                Assets                                                                                                                               |   | $      | 120,890     |   |
|                                                                                                                                                      |   |   |        |   |
|                                                                                                                                                      |   |   |        |   |
| LIABILITIES                & NET CAPITAL DEFICIENCY                                                                                                   |   |   |        |   |
| Current                Liabilities:                                                                                                                       |   |   |        |   |
| Accounts                payable and accrued expenses                                                                                                      |   | $      | 23,100      |   |
| Accrued                salaries                                                                                                                           |   |   | 128,206     |   |
| Accrued                interest                                                                                                                           |   |   | 65,006      |   |
| Settlements                payable                                                                                                                        |   |   | 164,730     |   |
| Promissory                notes                                                                                                                           |   |   | 219,000     |   |
| Total                Current Liabilities                                                                                                                  |   |   | 600,042     |   |
|                                                                                                                                                      |   |   |        |   |
| Net                Capital Deficiency                                                                                                                     |   |   |        |   |
| Common                stock, par value $.0015 per share; authorized 100,000,000 shares,                50,687,738 shares issued and outstanding           |   |   | 76,032      |   |
| Convertible                preferred stock, authorized 1,000,000 shares, par value $10.00; no                shares                issued and outstanding |   |   | --          |   |
| Additional                paid in capital                                                                                                                 |   |   | 13,130,991  |   |
| Prepaid                consulting fees                                                                                                                    |   |   | (17,484     | ) |
| Deferred                compensation                                                                                                                      |   |   | (172,083    | ) |
| Deficit                accumulated during development stage                                                                                               |   |   | (13,496,608 | ) |
| Total                Net Capital Deficiency                                                                                                               |   |   | (479,152    | ) |
|                                                                                                                                                      |   |   |        |   |
| Total                Liabilities and Net Capital Deficiency                                                                                               |   | $      | 120,890     |   |

----

|                                                                                                     |   | Three                Months EndedDecember                31, |       | FromApril                1, 1998(Inception)ToDecember                31, |   |
|----------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------|------------|--------------------------------------------------------------------------|--------|
|                                                                                                     |   | 2003                                                         |       | 2002                                                                     |   | 2003 |   |
|                                                                                                     |   | (As                Restated)                                 |       |                                                                     |   | (As                Restated) |   |
|                                                                                                     |   |                                                         |       |                                                                     |   |   |   |
| Net                revenues                                                                              |   |                                                         | --         |                                                                     |   | -- |   |   | -- |   |
|                                                                                                     |   |                                                         |       |                                                                     |   |   |   |   |   |   |
| Direct                Costs and Expenses:                                                                |   |                                                         |       |                                                                     |   |   |   |   |   |   |
| Production                costs                                                                          |   |                                                         | --         |                                                                     |   | 23,880 |   |   | 2,353,396 |   |
| General                and administrative                                                                |   |                                                         | 249,931    |                                                                     |   | 64,200 |   |   | 10,291,492 |   |
| Depreciation                and amortization                                                             |   |                                                         | --         |                                                                     |   | 13,699 |   |   | 132,923 |   |
|                                                                                                     |   |                                                         |       |                                                                     |   |   |   |   |   |   |
| Total                Costs and Expenses                                                                  |   |                                                         | 249,931    |                                                                     |   | 101,779 |   |   | 12,777,811 |   |
|                                                                                                     |   |                                                         |       |                                                                     |   |   |   |   |   |   |
| Loss                from operations before other expenses and provisions for income                taxes |   |                                                         | (249,931   | )                                                                        |   | (101,779 | ) |   | (12,777,811 | ) |
|                                                                                                     |   |                                                         |       |                                                                     |   |   |   |   |   |   |
| Other                Operating Income (Expense):                                                         |   |                                                         |       |                                                                     |   |   |   |   |   |   |
| Interest                income                                                                           |   |                                                         | --         |                                                                     |   | -- |   |   | 1,666 |   |
| Settlement                income                                                                         |   |                                                         | --         |                                                                     |   | -- |   |   | 1,345,490 |   |
| Interest                expense                                                                          |   |                                                         | (20,568    | )                                                                        |   | (2,500 | ) |   | (131,204 | ) |
| Equity                in earnings of unconsolidated subsidiary                                           |   |                                                         | --         |                                                                     |   | -- |   |   | 96,774 |   |
| Loss                from termination of interest in unconsolidated subsidiary                            |   |                                                         | --         |                                                                     |   | -- |   |   | (1,985,901 | ) |
| Loss                on disposal of assets                                                                |   |                                                         | --         |                                                                     |   | -- |   |   | (45,622 | ) |
|                                                                                                     |   |                                                         |       |                                                                     |   |   |   |   |   |   |
| Total                Other Operating Income (Expense)                                                    |   |                                                         | (20,568    | )                                                                        |   | (2,500 | ) |   | (718,797 | ) |
|                                                                                                     |   |                                                         |       |                                                                     |   |   |   |   |   |   |
| Operating                Loss Before Income Taxes                                                        |   |                                                         | (270,499   | )                                                                        |   | (104,279 | ) |   | (13,496,608 | ) |
|                                                                                                     |   |                                                         |       |                                                                     |   |   |   |   |   |   |
| Provision                for income taxes                                                                |   |                                                         | --         |                                                                     |   | -- |   |   | -- |   |
|                                                                                                     |   |                                                         |       |                                                                     |   |   |   |   |   |   |
| Net                Loss                                                                                  |   | $                                                            | (270,499   | )                                                                        | $      | (104,279 | ) | $ | (13,496,608 | ) |
|                                                                                                     |   |                                                         |       |                                                                     |   |   |   |   |   |   |
| Weighted                average common shares outstanding, basic and diluted                             |   |                                                         | 48,639,803 |                                                                     |   | 29,311,697 |   |   |   |   |
|                                                                                                     |   |                                                         |       |                                                                     |   |   |   |   |   |   |
| Loss                per common share, basic and diluted                                                  |   | $                                                            | (.01       | )                                                                        | $      | (.00 | ) |   |   |   |

----

|                                                                                                                           |   | Three                Months EndedDecember                31, |     | FromApril                1, 1998(Inception)ToDecember                31, |   |
|--------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------|----------|--------------------------------------------------------------------------|--------|
|                                                                                                                           |   | 2003                                                         |     | 2002                                                                     |   | 2003 |   |
|                                                                                                                           |   | (As                Restated)                                 |     |                                                                     |   | (As                Restated) |   |
|                                                                                                                           |   |                                                         |     |                                                                     |   |   |   |
| Cash                flows from operating activities:                                                                           |   |                                                         |     |                                                                     |   |   |   |
| Net                Loss                                                                                                        |   | $                                                            | (270,499 | )                                                                        | $      | (104,279 | ) | $ | (13,496,608 | ) |
| Adjustments                to reconcile net loss to net cash and cash equivalents used in operating                activities: |   |                                                         |     |                                                                     |   |   |   |   |   |   |
| Depreciation                and amortization                                                                                   |   |                                                         | --       |                                                                     |   | 13,699 |   |   | 132,922 |   |
| Amortization                of prepaid consulting fees paid with equity                                                        |   |                                                         | 6,589    |                                                                     |   | -- |   |   | 1,589 |   |
| Amortization                of deferred compensation paid with equity                                                          |   |                                                         | 17,500   |                                                                     |   | -- |   |   | 35,000 |   |
| Amortization                of prepaid financing costs                                                                         |   |                                                         | 18,068   |                                                                     |   | -- |   |   | 18,068 |   |
| Loan                fees                                                                                                       |   |                                                         | --       |                                                                     |   | -- |   |   | 25,000 |   |
| Loss                on abandonment of equipment                                                                                |   |                                                         | --       |                                                                     |   | -- |   |   | 45,622 |   |
| Stock                based compensation and expenses paid with equity                                                          |   |                                                         | --       |                                                                     |   | 41,200 |   |   | 8,103,401 |   |
| Equity                in earnings of unconsolidated subsidiary                                                                 |   |                                                         | --       |                                                                     |   | -- |   |   | (96,774 | ) |
| Settlement                income relating to stock                                                                             |   |                                                         | --       |                                                                     |   | -- |   |   | (1,504,150 | ) |
| Loss                on termination of interest in unconsolidated subsidiary                                                    |   |                                                         | --       |                                                                     |   | -- |   |   | 1,985,909 |   |
| Changes                in assets and liabilities:                                                                              |   |                                                         |     |                                                                     |   |   |   |   |   |   |
| Deferred                charges and other current assets                                                                       |   |                                                         | --       |                                                                     |   | 5,886 |   |   | 523,667 |   |
| Accounts                payable and accrued expenses                                                                           |   |                                                         | (76,155  | )                                                                        |   | 13,000 |   |   | 618,154 |   |
| Other                liabilities                                                                                               |   |                                                         | 181,866  |                                                                     |   | 20,500 |   |   | 598,879 |   |
| Net                cash and cash equivalents used in operating activities                                                      |   |                                                         | (122,631 | )                                                                        |   | (9,994 | ) |   | (3,009,321 | ) |
|                                                                                                                           |   |                                                         |     |                                                                     |   |   |   |   |   |   |
| Cash                flows from investing activities:                                                                           |   |                                                         |     |                                                                     |   |   |   |   |   |   |
| Investment                in intangible assets                                                                                 |   |                                                         | --       |                                                                     |   | -- |   |   | (90,481 | ) |
| Investment                in property and equipment                                                                            |   |                                                         | --       |                                                                     |   | -- |   |   | (67,378 | ) |
| Advance                on production rights                                                                                    |   |                                                         | --       |                                                                     |   | -- |   |   | (337,500 | ) |
| Investment                in subsidiary paid through warrants                                                                  |   |                                                         | --       |                                                                     |   | -- |   |   | (1,850,000 | ) |
| Net                cash and cash equivalents used in investing activities                                                      |   |                                                         | --       |                                                                     |   | -- |   |   | (2,345,359 | ) |
|                                                                                                                           |   |                                                         |     |                                                                     |   |   |   |   |   |   |
| Cash                flows from financing activities:                                                                           |   |                                                         |     |                                                                     |   |   |   |   |   |   |
| Net                proceeds from issuance of common stock                                                                      |   |                                                         | 103,000  |                                                                     |   | -- |   |   | 4,728,911 |   |
| Proceeds                from loans                                                                                             |   |                                                         | --       |                                                                     |   | 10,000 |   |   | 590,213 |   |
| Advances                from officers and stockholders                                                                         |   |                                                         | --       |                                                                     |   | -- |   |   | 400,954 |   |
| Repayment                of loans                                                                                              |   |                                                         | --       |                                                                     |   | -- |   |   | (298,713 | ) |
| Net                cash and cash equivalents provided by financing activities                                                  |   |                                                         | 103,000  |                                                                     |   | 10,000 |   |   | 5,421,365 |   |
|                                                                                                                           |   |                                                         |     |                                                                     |   |   |   |   |   |   |
| Net                increase (decrease) in cash and cash equivalents                                                            |   |                                                         | (19,631  | )                                                                        |   | 6 |   |   | 66,685 |   |
|                                                                                                                           |   |                                                         |     |                                                                     |   |   |   |   |   |   |
| Cash                and cash equivalents, Beginning of Period                                                                  |   |                                                         | 86,316   |                                                                     |   | 4 |   |   | -- |   |
|                                                                                                                           |   |                                                         |     |                                                                     |   |   |   |   |   |   |
| Cash                and cash equivalents, End of Period                                                                        |   | $                                                            | 66,685   |                                                                     | $      | 10 |   | $ | 66,685 |   |

----

| SUPPLEMENTAL                CASH FLOW INFORMATION:                                                                                                                        |   |   |   |   |   |    |   |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|--------|--------|--------|---------|--------|
| Interest                paid                                                                                                                                              |   | $      | --     |   | $      | --      |   | $ | -- |   |
|                                                                                                                                                                      |   |   |   |   |   |    |   |   |   |   |
| Income                taxes paid                                                                                                                                          |   | $      | --     |   | $      | --      |   | $ | -- |   |
|                                                                                                                                                                      |   |   |   |   |   |    |   |   |   |   |
|                                                                                                                                                                      |   |   |   |   |   |    |   |   |   |   |
| SCHEDULE                OF NONCASH INVESTING AND FINANCING ACTIVITIES:                                                                                                    |   |   |   |   |   |    |   |   |   |   |
|                                                                                                                                                                      |   |   |   |   |   |    |   |   |   |   |
| During                the three months ended December 31, 2003, the Company had the following                non-cash investing and financing activity:                   |
|                                                                                                                                                                      |   |   |   |   |   |    |   |   |   |   |
| Issuance                of 900,000 shares of common stock to two officers and one former                officer                to settle unpaid expenses and compensation |   |   |   |   | $      | 200,000 |   |   |   |   |
|                                                                                                                                                                      |   |   |   |   |   |    |   |   |   |   |
| Issuance                of 288,000 warrants in payment for offering costs                                                                                                 |   |   |   |   | $      | 72,273  |   |   |   |   |
|                                                                                                                                                                      |   |   |   |   |   |    |   |   |   |   |
| Issuance                of 100,000 warrants and 25,000 shares of common stock for prepaid                consulting                                                       |   |   |   |   | $      | 24,073  |   |   |   |   |
|                                                                                                                                                                      |   |   |   |   |   |    |   |   |   |   |
| Issuance                of 200,000 shares of common stock in settlement of advances and accrued                interest                                                   |   |   |   |   | $      | 40,000  |   |   |   |   |
|                                                                                                                                                                      |   |   |   |   |   |    |   |   |   |   |
|                                                                                                                                                                      |   |   |   |   |   |    |   |   |   |   |
| During                the three months ended December 31, 2002, the Company had the following                non-cash investing and financing activities:                 |
|                                                                                                                                                                      |   |   |   |   |   |    |   |   |   |   |
| Issuance                of 800,000 shares of common stock to settle unpaid salary                                                                                         |   |   |   |   | $      | 32,000  |   |   |   |   |
|                                                                                                                                                                      |   |   |   |   |   |    |   |   |   |   |
| Issuance                of 65,000 shares of common stock for prepaid consulting                                                                                           |   |   |   |   | $      | 3,200   |   |   |   |   |

----

**NOTE      1 BASIS OF PRESENTATION:**

**NOTE      2 GOING CONCERN**

----

**NOTE      2 GOING CONCERN (CONTINUED)**

**NOTE      3 RESTATEMENT OF PRIOR YEAR FINANCIAL STATEMENTS**

|                               |   | Three                Months Ended |        |
|------------------------------------|--------|-----------------------------------|-------------|
|                               |   | December                31, 2003  |        |
|                               |   | As                Reported        |        | As                Restated |   |
|                               |   |                              |        |   |   |
| Net                Revenues        |   | $                                 | --          |   | $ | -- |   |
| Accumulated                Deficit |   | $                                 | (13,954,672 | ) | $ | (13,496,608 | ) |
| Net                Loss            |   | $                                 | (253,265    | ) | $ | (270,499 | ) |
| Loss                Per Share      |   | $                                 | (.01        | ) | $ | (.01 | ) |
| Total                Assets        |   | $                                 | 2,110,281   |   | $ | 120,890 |   |

**NOTE      4 PREPAID FINANCING COSTS**

----

**NOTE      5 LOSS PER COMMON SHARE, BASIC AND DILUTED**

|                          |   | December                31, |      | December                31, |   |
|-------------------------------|--------|-----------------------------|-----------|-----------------------------|--------|
|                          |   | 2003                        |      | 2002                        |   |
|                          |   |                        |      |                        |   |
| Stock                Options  |   |                        | 550,000   |                        |   | 250,000 |   |
| Stock                Warrants |   |                        | 5,053,022 |                        |   | 4,153,772 |   |
|                          |   |                        |      |                        |   |   |   |
| Total                         |   |                        | 5,603,022 |                        |   | 4,403,772 |   |

**NOTE      6 STOCK OPTIONS**

|                                            |   | NUMBER                OFOPTIONS |    | WEIGHTEDAVERAGEEXERCISEPRICE |   |
|-------------------------------------------------|--------|---------------------------------|---------|------------------------------|--------|
|                                            |   |                            |    |                         |   |
| Outstanding                at October 1, 2002   |   |                            | 250,000 |                         | $      | .250 |   |
| Granted                                         |   |                            | --      |                         |   | -- |   |
| Exercised                                       |   |                            | --      |                         |   | -- |   |
| Canceled                                        |   |                            | --      |                         |   | -- |   |
| Outstanding                at December 31, 2002 |   |                            | 250,000 |                         | $      | .250 |   |
|                                            |   |                            |    |                         |   |   |   |
| Outstanding                at October 1, 2003   |   |                            | 950,000 |                         | $      | .250 |   |
| Granted                                         |   |                            | --      |                         |   | -- |   |
| Exercised                                       |   |                            | --      |                         |   | -- |   |
| Canceled                                        |   |                            | --      |                         |   | -- |   |
| Outstanding                at December 31, 2003 |   |                            | 950,000 |                         | $      | .250 |   |
|                                            |   |                            |    |                         |   |   |   |
| Exercisable                at December 31, 2003 |   |                            | 550,000 |                         | $      | .250 |   |

----

**NOTE        6 STOCK OPTIONS (CONTINUED)**

|                                 |   | December                  31, |     | December                  31, |   |
|--------------------------------------|--------|-------------------------------|----------|-------------------------------|--------|
|                                 |   | 2003                          |     | 2002                          |   |
|                                 |   |                          |     |                          |   |
| Net                  loss:           |   |                          |     |                          |   |
| As                  reported         |   | $                             | (270,499 | )                             | $      | (104,279 | ) |
| Proforma                             |   | $                             | (273,059 | )                             | $      | (104,279 | ) |
|                                 |   |                          |     |                          |   |   |   |
| Earnings                  Per Share: |   |                          |     |                          |   |   |   |
| As                  reported         |   | $                             | (.01     | )                             | $      | (.00 | ) |
| Proforma                             |   | $                             | (.01     | )                             | $      | (.00 | ) |

**NOTE      7 COMMON STOCK WARRANTS**

|                                            |   | NUMBER                OFWARRANTS |      | WEIGHTEDAVERAGEEXERCISEPRICE |   |
|-------------------------------------------------|--------|----------------------------------|-----------|------------------------------|--------|
|                                            |   |                             |      |                         |   |
| Outstanding                at October 1, 2002   |   |                             | 4,153,772 |                         | $      | 1.26 |   |
| Granted                                         |   |                             | --        |                         |   | -- |   |
| Exercised                                       |   |                             | --        |                         |   | -- |   |
| Canceled                or Expired              |   |                             | --        |                         |   | -- |   |
| Outstanding                at December 31, 2002 |   |                             | 4,153,772 |                         | $      | 1.26 |   |
|                                            |   |                             |      |                         |   |   |   |
| Outstanding                at October 1, 2003   |   |                             | 4,153,772 |                         | $      | 1.26 |   |
| Granted                                         |   |                             | 919,250   |                         |   | .20 |   |
| Exercised                                       |   |                             | (20,000   | )                            |   | .15 |   |
| Canceled                or Expired              |   |                             | --        |                         |   | -- |   |
| Outstanding                at December 31, 2003 |   |                             | 5,053,022 |                         | $      | 1.07 |   |

**NOTE      8 SUBSEQUENT EVENTS**

----

**ITEM      2. MANAGEMENT’S DISCUSSION AND ANALYSIS OR PLAN OF      OPERATIONS**

***OVERVIEW***

***FORWARD-LOOKING      STATEMENTS***

| A.   | Earthworks                lacks the capital necessary to expand its                operations. |
|----------------|------------------------------------------------------------------------------------------------|

| B.   | Earthworks                has only one marketing relationship to date that assures it of                revenue. |
|----------------|------------------------------------------------------------------------------------------------------------------|

| C.   | Earthworks                is dependent on the efforts of the current management team to develop                revenue-generating business relationships for the Company. If the                team is                unsuccessful in its efforts, the business could                fail. |
|----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| D.   | The                entertainment industry is highly competitive, and it is dominated                by a                small number of multinational corporations. We will be able to compete                successfully only if we establish our brand in a niche of the                market. |
|----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

***RESULTS      OF OPERATIONS***

***THREE      MONTHS ENDED DECEMBER 31, 2003 VS. THREE MONTHS ENDED DECEMBER 31,      2002***

***PLAN      OF OPERATIONS***

----

***LIQUIDITY      AND CAPITAL RESOURCES***

***OFF-BALANCE      SHEET ARRANGEMENTS***

**ITEM      3. CONTROLS AND PROCEDURES**

----

**PART      II OTHER INFORMATION**

**ITEM      2. UNREGISTERED SALES OF EQUITY SECURITIES**

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

***1.  ***
***INCREASE      THE NUMBER OF AUTHORIZED COMMON SHARES:***

|  | A. | The                  Company is actively looking to acquire ownership positions in                  entertainment properties and to be successful will need additional                  shares                  to complete such transactions, as called for in such agreements,                  on a case                  by case basis. |
|--|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | B. | To                  attract and keep key executives. Shares made available for incentives                  and                  employment agreements. |
|--|----|--------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | C. | Shares                  made available for Employee Stock Ownership Plans                  (ESOP) |
|--|----|---------------------------------------------------------------------------------------------------|

|  | D. | The                  Company's success depends in large part on its ability to raise                  capital.                  In order for the Company to raise capital, additional shares must                  be made                  available for offerings including common stock, equity, convertible                  preferred, or convertible                  debt. |
|--|----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

***2.  ***
***PAR      VALUE CHANGE - COMMON STOCK***

***3.  ***
***CHANGE      THE NAME OF THE COMPANY TO EARTHWORKS ENTERTAINMENT,      INC.***

| For     | 25,211,662 |
|---------|------------|
| Against | 860,888    |
| Abstain | 2,580      |

----

| For     | 24,792,327 |
|---------|------------|
| Against | 461,457    |
| Abstain | 821,346    |

| For     | 25,937,500 |
|---------|------------|
| Against | 26,480     |
| Abstain | 111,150    |

**ITEM      6. EXHIBITS**

| EXHIBIT                NUMBERREFERENCE | DESCRIPTION                                                                          |
|----------------------------------------|--------------------------------------------------------------------------------------|
| 31a                                    | Rule                13a-14(a) Certification - Chief Executive Officer                |
|                                   |                                                                                 |
| 31b                                    | Rule                13a-14(b) Certification - Chief Financial Officer                |
|                                   |                                                                                 |
| 32b                                    | Rule                13a-14(b) Certification - Chief Executive Officer                |
|                                   |                                                                                 |
| 32b                                    | Rule                13a-14(b) Certification - Chief Financial                Officer |

----

**SIGNATURES**

|                                    | Earthworks                Entertainment, Inc.                                                                                                                                                                                                                                                                                 |
|-----------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                    |                                                                                                                                                                                                                                                                                                                          |
| Dated:                February 13, 2006 |                                                                              /s/ Peter Keefe |
|                                    | Peter                Keefe, Chief Executive Officer                                                                                                                                                                                                                                                                           |
|                                    |                                                                                                                                                                                                                                                                                                                          |
|                                    |                                                                                                                                                                                                                                                                                                                          |
|                                    |                                                                                                                                                                                                                                                                                                                          |
| Dated:                February 13, 2006 |                                                  /s/                William H. Campbell                                                                       |
|                                    | William                H. Campbell, Chief Financial                Officer                                                                                                                                                                                                                                                    |

----