| x | QUARTERLY                REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE                ACT OF                1934. |
|---|---------------------------------------------------------------------------------------------------------------------------------------|

|   | For                the quarterly period ended September 30,                2007 |
|--------|---------------------------------------------------------------------------------|

| o | TRANSITION                REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE                ACT OF                1934 |
|---|---------------------------------------------------------------------------------------------------------------------------------------|

|   | For                the transition period from to |
|--------|--------------------------------------------------|

**NORTHEAST      AUTO ACCEPTANCE CORP.**

| **FLORIDA**                                                                                         | **65-0637308**                                                            |
|-----------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------|
| **(State                or Other Jurisdiction of****Incorporation                or Organization)** | **(I.R.S.                Employer Identification                Number)** |

**2174      HEWLETT AVENUE, SUITE 206**

**MERRICK,      NY 11566**

**(Address      of Principal Executive Offices)**

**(Zip      Code)**

**(516)      377-6311**

**Registrant’s      Telephone Number including area code)**

----

| Large                  accelerated filer o | Accelerated                  filer o | Non-accelerated                  filer x |
|--------------------------------------------|--------------------------------------|------------------------------------------|

----

| **NORTHEAST                AUTO ACCEPTANCE CORP.** |
|----------------------------------------------------|
|                                               |   |   |   |   |   |   |   |   |
| **CONSOLIDATED                BALANCE SHEETS**     |

|                                                                                                                               |   | September                30, |       | December                31, |   |
|------------------------------------------------------------------------------------------------------------------------------------|--------|------------------------------|------------|-----------------------------|--------|
| ASSETS                                                                                                                             |   | 2007                         |       | 2006                        |   |
|                                                                                                                               |   | (unaudited)                  |       |                        |   |
| Current                Assets:                                                                                                     |   |                         |       |                        |   |  |   |
| Cash                                                                                                                               |   | $                            | 20,443     |                        | $      | 188,037 |   |
| Inventory                (Note 4)                                                                                                  |   |                         | 5,433,676  |                        |   | 3,656,059 |   |
| Accounts                receivable(Note 3)                                                                                         |   |                         | 1,625,923  |                        |   | 695,181 |   |
|                                                                                                                               |   |                         |       |                        |   |   |   |
| Total                Current Assets                                                                                                |   |                         | 7,080,042  |                        |   | 4,539,277 |   |
|                                                                                                                               |   |                         |       |                        |   |   |   |
| Equipment,                net (Note 5)                                                                                             |   |                         | 7,863      |                        |   | - |   |
| Other                assets (Note 6)                                                                                               |   |                         | 5,332      |                        |   | 39,491 |   |
|                                                                                                                               |   |                         |       |                        |   |   |   |
| TOTAL                ASSETS                                                                                                        |   | $                            | 7,093,237  |                        | $      | 4,578,768 |   |
|                                                                                                                               |   |                         |       |                        |   |   |   |
| LIABILITIES                AND STOCKHOLDERS' EQUITY                                                                                |   |                         |       |                        |   |   |   |
| Current                Liabilities:                                                                                                |   |                         |       |                        |   |   |   |
| Accounts                payable                                                                                                    |   | $                            | 1,170,705  |                        | $      | 263,650 |   |
| Note                payable to bank (Note 7)                                                                                       |   |                         | 100,000    |                        |   | 100,000 |   |
| Credit                line (Note 7)                                                                                                |   |                         | 596,192    |                        |   | 160,480 |   |
| Demand                loans others (Note 7)                                                                                        |   |                         | 210,000    |                        |   | 210,000 |   |
| Demand                loans related parties (Note 7)                                                                               |   |                         | 906,576    |                        |   | 697,331 |   |
| Demand                loans convertible (Note 7)                                                                                   |   |                         | 700,000    |                        |   | 400,000 |   |
| Credit                Card loan payable (Note 7)                                                                                   |   |                         | 151,601    |                        |   | 155,848 |   |
| Due                to stockholders (Note 7)                                                                                        |   |                         | 1,313,671  |                        |   | 1,201,996 |   |
| Accrued                expenses                                                                                                    |   |                         | 911,862    |                        |   | 375,760 |   |
| Payroll                taxes withheld and accrued                                                                                  |   |                         | 1,415      |                        |   | 181,718 |   |
| Total                Current Liabilities                                                                                           |   |                         | 6,062,022  |                        |   | 3,746,783 |   |
|                                                                                                                               |   |                         |       |                        |   |   |   |
| Commitments                and contingencies (Note 10)                                                                             |   |                         | -          |                        |   | - |   |
|                                                                                                                               |   |                         |       |                        |   |   |   |
| Stockholders'                equity                                                                                                |   |                         |       |                        |   |   |   |
| Preferred                stock, no par value , 1,000,000 shares authorized, none issued and                outstanding             |   |                         | -          |                        |   | - |   |
| Common                stock, no par value , 100,000,000 shares authorized, 26,618,586 shares                issued and outstanding |   |                         | 3,457,917  |                        |   | 3,457,917 |   |
| Deficit                                                                                                                            |   |                         | (2,425,526 | )                           |   | (2,624,756 | ) |
|                                                                                                                               |   |                         | 1,032,391  |                        |   | 833,161 |   |
| Less:                Treasury stock (200,000 common shares)                                                                        |   |                         | (1,176     | )                           |   | (1,176 | ) |
| Total                Stockholders' Equity                                                                                          |   |                         | 1,031,215  |                        |   | 831,985 |   |
|                                                                                                                               |   |                         |       |                        |   |   |   |
| TOTAL                LIABILITIES AND STOCKHOLDERS' EQUITY                                                                          |   | $                            | 7,093,237  |                        | $      | 4,578,768 |   |

| **The                accompanying notes are an integral part of these financial                statements.** |
|--------------------------------------------------------------------------------------------------------------|

----

| **NORTHEAST                AUTO ACCEPTANCE CORP.**       |
|----------------------------------------------------------|
|                                                     |   |   |   |   |   |   |   |   |   |   |
| **CONSOLIDATED                STATEMENTS OF OPERATIONS** |

|                                                         |   |  Three                        |       | Three                        |   | Nine                         |   | Nine                         |       |
|--------------------------------------------------------------|--------|------------------------------------|------------|------------------------------|--------|------------------------------|--------|------------------------------|------------|
|                                                         |   |  Months                       |       | Months                       |   | Months                       |   | Months                       |       |
|                                                         |   |  Ended                        |       | Ended                        |   | Ended                        |   | Ended                        |       |
|                                                         |   |  September                30, |       | September                30, |   | September                30, |   | September                30, |       |
|                                                         |   |  2007                         |       | 2006                         |   | 2007                         |   | 2006                         |       |
|                                                         |   |  (unaudited)                  |       | (unaudited)                  |   | (unaudited)                  |   | (unaudited)                  |       |
|                                                         |   |                          |       |                         |   |                         |   |                         |       |
| Net                sales                                     |   | $                                  | 18,708,643 |                         | $      | 20,817,683                   |   | $                            | 58,281,751 |   | $ | 57,519,622 |   |
|                                                         |   |                               |       |                         |   |                         |   |                         |       |   |   |   |   |
| Cost                of sales                                 |   |                               | 18,146,355 |                         |   | 20,081,018                   |   |                         | 56,778,435 |   |   | 55,585,030 |   |
|                                                         |   |                               |       |                         |   |                         |   |                         |       |   |   |   |   |
| Gross                profit                                  |   |                               | 562,288    |                         |   | 736,665                      |   |                         | 1,503,316  |   |   | 1,934,592 |   |
|                                                         |   |                               |       |                         |   |                         |   |                         |       |   |   |   |   |
| Operating                expenses:                           |   |                               |       |                         |   |                         |   |                         |       |   |   |   |   |
| Officers                salaries                             |   |                               | 144,755    |                         |   | 179,755                      |   |                         | 437,334    |   |   | 482,334 |   |
| Consulting                fees                               |   |                               | -          |                         |   | 49,000                       |   |                         | -          |   |   | 147,000 |   |
| Stock                based consulting fees                   |   |                               | -          |                         |   | -                            |   |                         | -          |   |   |   |   |
| Interest                expense                              |   |                               | 84,970     |                         |   | 75,498                       |   |                         | 239,007    |   |   | 213,415 |   |
| Selling,                general and administrative           |   |                               | 216,381    |                         |   | 257,608                      |   |                         | 606,945    |   |   | 611,572 |   |
| Total                operating expenses                      |   |                               | 446,106    |                         |   | 561,861                      |   |                         | 1,283,286  |   |   | 1,454,321 |   |
|                                                         |   |                               |       |                         |   |                         |   |                         |       |   |   |   |   |
| Profit                (Loss) from operations                 |   |                               | 116,182    |                         |   | 174,804                      |   |                         | 220,030    |   |   | 480,271 |   |
|                                                         |   |                               |       |                         |   |                         |   |                         |       |   |   |   |   |
| Interest                Income                               |   |                               | -          |                         |   | -                            |   |                         | 1,848      |   |   | - |   |
|                                                         |   |                               |       |                         |   |                         |   |                         |       |   |   |   |   |
| Income                taxes (Note 11)                        |   |                               | 13,219     |                         |   | (55,183                      | )      |                         | 22,646     |   |   | 67,506 |   |
|                                                         |   |                               |       |                         |   |                         |   |                         |       |   |   |   |   |
| Net                profit (loss)                             |   | $                                  | 102,963    |                         | $      | 229,987                      |   | $                            | 199,232    |   | $ | 412,765 |   |
|                                                         |   |                               |       |                         |   |                         |   |                         |       |   |   |   |   |
| Net                income per share basic and diluted        |   | $                                  | 0.00       |                         | $      | 0.01                         |   | $                            | 0.01       |   | $ | 0.02 |   |
|                                                         |   |                               |       |                         |   |                         |   |                         |       |   |   |   |   |
| Weighted                average number of shares outstanding |   |                               | 26,618,586 |                         |   | 26,618,586                   |   |                         | 26,618,586 |   |   | 26,618,586 |   |

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

----

**NORTHEAST      AUTO ACCEPTANCE CORP.**

**CONSOLIDATED      STATEMENTS OF CASH FLOWS**

|                                                                                                      |   |                         |       |                         |   |
|-----------------------------------------------------------------------------------------------------------|--------|------------------------------|------------|------------------------------|--------|
|                                                                                                      |   | Nine                         |       | Nine                         |   |
|                                                                                                      |   | Months                       |       | Months                       |   |
|                                                                                                      |   | Ended                        |       | Ended                        |   |
|                                                                                                      |   | September                30, |       | September                30, |   |
|                                                                                                      |   | 2007                         |       | 2006                         |   |
|                                                                                                      |   | (unaudited)                  |       | (unaudited)                  |   |
| CASH                FLOWS FROM OPERATING ACTIVITIES:                                                      |   |                         |       |                         |   |
| Net                profit (loss)                                                                          |   | $                            | 199,232    |                         | $      | 412,765 |   |
| Adjustments                to reconcile net loss to net cash used by operating                activities: |   |                         |       |                         |   |   |   |
| Depreciation                and amortization                                                              |   |                         | 637        |                         |   | 147,000 |   |
| Stock                issued for consulting fees                                                           |   |                         | -          |                         |   | - |   |
| Stock                issued for interest                                                                  |   |                         | -          |                         |   | - |   |
| Beneficial                conversion feature on interest                                                  |   |                         | -          |                         |   | - |   |
| Changes                in operating assets and liabilities:                                               |   |                         |       |                         |   |   |   |
| (Increase)                decrease in accounts receivable                                                 |   |                         | (930,742   | )                            |   | (1,359,645 | ) |
| (Increase)                decrease in inventory                                                           |   |                         | (1,777,617 | )                            |   | (1,511,713 | ) |
| (Increase)                decrease in other assets                                                        |   |                         | 34,157     |                         |   | 28,803 |   |
| Increase                (decrease) in accounts payable                                                    |   |                         | 907,055    |                         |   | 1,282,846 |   |
| Increase                (decrease) in accrued expenses                                                    |   |                         | 536,102    |                         |   |   |   |
| Increase                (decrease) in payroll taxes                                                       |   |                         | (180,303   | )                            |   | (111,033 | ) |
| Total                adjustments                                                                          |   |                         | (1,410,711 | )                            |   | (1,523,742 | ) |
| CASH                USED BY OPERATING ACTIVITIES                                                          |   |                         | (1,211,479 | )                            |   | (1,110,977 | ) |
|                                                                                                      |   |                         |       |                         |   |   |   |
| CASH                FLOWS FROM INVESTING ACTIVITIES:                                                      |   |                         |       |                         |   |   |   |
| Purchase                of fixed assets                                                                   |   |                         | (8,500     | )                            |   | (2,309 | ) |
| CASH                USED BY INVESTING ACTIVITIES                                                          |   |                         | (8,500     | )                            |   | (2,309 | ) |
|                                                                                                      |   |                         |       |                         |   |   |   |
| CASH                FLOWS FROM FINANCING ACTIVITIES:                                                      |   |                         |       |                         |   |   |   |
| Proceeds                of line of credit                                                                 |   |                         | 7,418,378  |                         |   | 5,296,318 |   |
| Repayment                of line of credit                                                                |   |                         | (6,982,666 | )                            |   | (4,790,502 | ) |
| Proceeds                of stockholders loans                                                             |   |                         | 170,931    |                         |   | 142,178 |   |
| Repayment                of stockholders loan                                                             |   |                         | (59,256    | )                            |   | (112,603 | ) |
| Proceeds                of demand loans                                                                   |   |                         | 517,245    |                         |   | 491,030 |   |
| Repayment                of demand loans                                                                  |   |                         | (8,000     | )                            |   | (239,469 | ) |
| Proceeds/(Repayments)                on credit card loan                                                  |   |                         | (4,247     | )                            |   | 39,800 |   |
| CASH                PROVIDED BY FINANCING ACTIVITIES                                                      |   |                         | 1,052,385  |                         |   | 826,752 |   |
|                                                                                                      |   |                         |       |                         |   |   |   |
| NET                INCREASE (DECREASE) IN CASH                                                            |   |                         | (167,594   | )                            |   | (286,534 | ) |
|                                                                                                      |   |                         |       |                         |   |   |   |
| CASH                                                                                                      |   |                         |       |                         |   |   |   |
| Beginning                of year                                                                          |   |                         | 188,037    |                         |   | 536,534 |   |
|                                                                                                      |   |                         |       |                         |   |   |   |
| End                of year                                                                                |   | $                            | 20,443     |                         | $      | 250,000 |   |
|                                                                                                      |   |                         |       |                         |   |   |   |
| SUPPLEMENTAL                CASH FLOW INFORMATION                                                         |   |                         |       |                         |   |   |   |
| Cash                paid for:                                                                             |   |                         |       |                         |   |   |   |
| Income                tax payments                                                                        |   | $                            | -          |                         | $      | 6,825 |   |
| Interest                payments                                                                          |   | $                            | 239,007    |                         | $      | 213,415 |   |

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

----

**NORTHEAST      AUTO ACCEPTANCE CORP.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS**

**(Amounts      and Disclosures at and for the Three and Nine Months Ended September 30, 2007      and restated 2006 Are Unaudited)**

**NOTE      1- ORGANIZATION AND NATURE OF BUSINESS**

**NOTE      2- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES**

**Accounting      Estimates**

**Principles      of Consolidation**

----

**Revenue      Recognition**

**Income      Taxes**

**Recently      Issued Accounting Standards**

**NOTE      3- ACCOUNTS RECEIVABLE TRADE**

|                               |   |  September                30, |      | December                31, |   |
|------------------------------------|--------|------------------------------------|-----------|-----------------------------|--------|
|                               |   |  2007                         |      | 2006                        |   |
|                               |   |                          |      |                        |   |
| Accounts                receivable |   | $                                  | 1,625,923 |                        | $      | 695,181 |   |

**NOTE      4- INVENTORIES**

|                                            |   |  September                30, |      | December                31, |   |
|-------------------------------------------------|--------|------------------------------------|-----------|-----------------------------|--------|
|                                            |   |  2007                         |      | 2006                        |   |
|                                            |   |                          |      |                        |   |
| Automobiles                purchased for resale |   | $                                  | 5,433,676 |                        | $      | 3,656,059 |   |

----

**NOTE      5- EQUIPMENT**

| The                following is a summary of equipment at December 31, 2006: |   |
|------------------------------------------------------------------------------|--------|
|                                                                         |   | September                30, |   | December                31, |   |
|                                                                         |   | 2007 |   | 2006 |   |
|                                                                         |   |   |   |   |   |
| Equipment                                                                    |   | $ | 4,243 |   |   | 4,243 |   |
| Office                equipment                                              |   |   | 4,327 |   |   | 4,327 |   |
| Office                furniture                                              |   |   | 9,758 |   |   | 1,258 |   |
| Leasehold                improvements                                        |   |   | 2,700 |   |   | 2,700 |   |
| Total                                                                        |   |   | 21,028 |   |   | 12,528 |   |
| Less:                accumulated depreciation                                |   |   | (13,165 | ) |   | (12,528 | ) |
|                                                                         |   | $ | 7,863 |   | $ | - |   |
|                                                                         |   |   |   |   |   |   |   |

**NOTE      6 - OTHER ASSETS**

|                                                   |   |  September                30, |   | December                31, |   |
|--------------------------------------------------------|--------|------------------------------------|--------|-----------------------------|--------|
| Other                assets consists of the following: |   |  2007                         |   | 2006                        |   |
|                                                   |   |                          |   |                        |   |
| Prepaid                federal corporate taxes         |   | $                                  | -      |                        | $      | 29,980 |   |
| Prepaid                state corporate taxes           |   |                               | -      |                        |   | 7,711 |   |
| Prepaid                state withholding taxes         |   |                               | 3,532  |                        |   | - |   |
| Prepaid                consulting fees                 |   |                               | -      |                        |   | - |   |
| Security                deposit                        |   |                               | 1,800  |                        |   | 1,800 |   |
|                                                   |   | $                                  | 5,332  |                        | $      | 39,491 |   |

**NOTE      7- NOTES AND LOANS PAYABLE**

| Notes              and loans payable consist of the following:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   | September                30, |    | December                31, |   |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|------------------------------|---------|-----------------------------|--------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   | 2007                         |    | 2006                        |   |
| Line                of credit                On                October 4, 2004, the Company was approved for a line of credit of                $975,000, as an inventory financing ("Floor Plan") loan with interest                set                at 2% above the Wall Street Journal Prime rate. The agreement requires                any                advances to be repaid for a vehicle on the earliest of forty eight                (48)                hours from the time of sale or within twenty four (24) hours from                the time                the Company receives payment by or on behalf of the purchase of such                vehicle or demand. The agreement is personally guaranteed by the                officers                and their respective spouses. The collateral for the loan is any                vehicle                owned by the Company) |   | $                            | 596,192 |                        | $      | 160,480 |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |                         |    |                        |   |   |   |

| Note                payable bank                -                note payable to bank due February 2008 is an open line of credit                interest                payable monthly at 1% over the prime rate, secured by a lien on all                of the                Company's assets and personally guaranteed by the officers. Interest                is                paid monthly on account. |   |   | 100,000 |   |   | 100,000 |   |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|---------|--------|--------|---------|--------|

----

| 9%                convertible demand notes -The 9% convertible demand notes in the                amount                sof $150,000, $250,000 and $300,000, issued September 15, 2004, December                19, 2005 and June 15, 2007 respectivly, are convertible at $0.25                per                share. Interest is payable monthly. |   |   | 700,000   |   |   | 400,000   |   |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|-----------|--------|--------|-----------|--------|
|                                                                                                                                                                                                                                                                                                                                                   |   |   |      |   |   |      |   |
| 9%                unsecured demand notes payable, other and related parties. Interest                is                payable monthly.                                                                                                                                                                                                                |   |   | 1,116,576 |   |   | 907,331   |   |
|                                                                                                                                                                                                                                                                                                                                                   |   |   |      |   |   |      |   |
| Credit                cards payable - Credit cards payable are unsecured, pay interest                from                4.99% to 13.25% per annum and are payable in monthly installments.                The                average rate is 9.36%.                                                                                                  |   |   | 151,601   |   |   | 155,848   |   |
|                                                                                                                                                                                                                                                                                                                                                   |   |   |      |   |   |      |   |
| Due                to stockholders - The stockholder loans are unsecured, pay interest                at 9%                per annum, are subordinated to the bank loan and have no specific                terms of                repayment.                                                                                                         |   |   | 1,313,671 |   |   | 1,201,996 |   |
|                                                                                                                                                                                                                                                                                                                                                   |   |   |      |   |   |      |   |
| Total                notes and loans payable                                                                                                                                                                                                                                                                                                           |   | $      | 3,978,040 |   | $      | 2,925,655 |   |

**NOTE      8- RELATED PARTY TRANSACTIONS**

**Note      9- EARNINGS PER COMMON SHARE**

**NOTE      10- OFF BALANCE SHEET RISK**

----

**Overview**

**For      the Three Months Ended September 30, 2007 and September 30,      2006**

** **
** **

----

|                                                      |   | Three                Months ended September** **30, |   |
|-----------------------------------------------------------|--------|----------------------------------------------------------|--------|
|                                                      |   | 2007                                                     |   | 2006 |   |
| Percentage                of net revenues:                |   |                                                     |   |   |   |
| Net                revenues                               |   |                                                     | 100%   |   |   | 100% |   |
| Cost                of revenues                           |   |                                                     | 97.0%  |   |   | 96.5% |   |
| Gross                profit                               |   |                                                     | 3.0%   |   |   | 3.5% |   |
|                                                      |   |                                                     |   |   |   |   |   |
| Sales,                general and administrative expenses |   |                                                     | 1.2%   |   |   | 1.2% |   |
| Other                operating expenses                   |   |                                                     | 1.2%   |   |   | 1.5% |   |
| Total                operating expenses                   |   |                                                     | 2.4%   |   |   | 2.6% |   |
| Profit                Loss from operations                |   |                                                     | 0.6%   |   |   | 1.1% |   |

**Revenues**

**Cost      of Sales and Gross Profit Margin**

** **
** **
** **

*Operating      Ex*

*Sales,      General and Administrative*

** **

----

*Other      Expenses*

** **

|                             |   | Three                Month Period EndedSeptember** **30,                2007 |    | Three                Month Period EndedSeptember** **30,                2006 |   |  Change |   |  Percent                Change |     |
|----------------------------------|--------|-----------------------------------------------------------------------------------|---------|-----------------------------------------------------------------------------------|--------|--------------|--------|-------------------------------------|----------|
| Officers                Salaries |   | $                                                                                 | 144,755 |                                                                              | $      | 179,755      |   |                                | ($35,000 | ) |   | -19.4% |   |
| Consulting                Fees   |   |                                                                              | -       |                                                                              | $      | 49,000       |   |                                | ($49,000 | ) |   | 100% |   |
| Interest                Expense  |   | $                                                                                 | 84,970  |                                                                              | $      | 75,498       |   | $                                   | 9,472    |   |   | 12.5% |   |

**Operating      Gain (Loss)**

** **

**For      the Nine Months Ended September 30, 2007 and September 30,      2006**

** **
** **

|                                                      |   | Nine                Months Ended September 30, |   |
|-----------------------------------------------------------|--------|------------------------------------------------|--------|
|                                                      |   | 2007                                           |   | 2006 |   |
| Percentage                of net revenues:                |   |                                           |   |   |   |
| Net                revenues                               |   |                                           | 100%   |   |   | 100% |   |
| Cost                of revenues                           |   |                                           | 97.4%  |   |   | 96.6% |   |
| Gross                profit                               |   |                                           | 2.6%   |   |   | 3.4% |   |
|                                                      |   |                                           |   |   |   |   |   |
| Sales,                general and administrative expenses |   |                                           | 1.0%   |   |   | 1.0% |   |
| Other                operating expenses                   |   |                                           | 1.2%   |   |   | 1.5% |   |
| Total                operating expenses                   |   |                                           | 2.2%   |   |   | 2.5% |   |
| Profit                Loss from operations                |   |                                           | 0.4%   |   |   | 0.8% |   |

**Revenues**

** **
** **

----

**Cost      of Revenues and Gross Profit Margin**

** **
** **
** **

*Operating      Expenses*

*Sales,      General and Administrative*

** **

*Other      Expenses*

** **

|                             |   | Nine                Month Period EndedSeptember** **30,                2007 |    | Nine                Month Period EndedSeptember** **30,                2006 |   |  Change |   |  Percent                Change |      |
|----------------------------------|--------|----------------------------------------------------------------------------------|---------|----------------------------------------------------------------------------------|--------|--------------|--------|-------------------------------------|-----------|
| Officers                Salaries |   | $                                                                                | 437,334 |                                                                             | $      | 482,334      |   |                                | ($45,000  | ) |   | -9.3% |   |
| Consulting                Fees   |   |                                                                             | -       |                                                                             | $      | 147,000      |   |                                | ($147,000 | ) |   | -100% |   |
| Interest                Expense  |   | $                                                                                | 239,007 |                                                                             | $      | 213,415      |   | $                                   | 25,592    |   |   | 11.9% |   |

**Operating      Gain (Loss)**

** **

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** **
** **

** **

**Limitations      on the Effectiveness of Internal Controls **

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**Economic      Conditions and Gasoline Prices May Affect Sales**

**Our      Business is Highly Competitive**

**Retail      and Wholesale Prices May Vary Depending Upon Factors Beyond the Company’s      Control. **

**There      are Risks Associated with Purchasing Inventory.**

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**We      are Highly Dependant Upon Our Management and Workforce. **

**We      are Dependant Upon Our Information Systems. **

**Our      Availability to Capital May Vary. **

**Our      Purchases and Sales are Geographically Concentrated. **

**We      Currently Have Just One Director**

**Control      of the Company by Our Majority Stockholder**

**Our      Costs Are Partially Dependant Upon Fuel Costs. **

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| Date:                November 14, 2007 | By:                /s/ William Solko               |
|----------------------------------------|----------------------------------------------------|
|                                   | William                Solko, Chief Executive      |
|                                   | Officer                and Chief Financial Officer |

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