U.S. SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                   FORM 10-KSB

             ANNUAL REPORT FILED PURSUANT TO SECTION 13 OR 15(D) OF
                       THE SECURITIES EXCHANGE ACT OF 1934
                   FOR THE FISCAL YEAR ENDED DECEMBER 31, 2006
                         COMMISSION FILE NUMBER 0-29711

                               SUBJEX CORPORATION
                 (Exact name of issuer as specified in charter)

                  MINNESOTA                            41-1596056
       (State or other jurisdiction             (IRS Employer ID Number)
             of incorporation)

Check whether the issuer (1) filed all reports required to be filed by Section
13 or 15(d) of the Securities and Exchange Act of 1934 during the past 12
months, and (2) has been subject to such filing requirements for the past 90
days.     Yes  [X]   No  [ ]

Check if disclosure of delinquent filers in response to Item 405 of Regulation
S-B is not contained in this form, and no disclosure will be contained, to the
best of Issuer's knowledge, in definitive proxy or information statements
incorporated by reference in Part III of this Form 10-KSB or any amendment to
this Form 10-KSB.
Transitional Small Business Disclosure Format  Yes [ ]  No [X]

The aggregate market value of the voting stock held by non-affiliates of the
registrant on April 12, 2007 was approximately $22,570,881 based on the closing
sale price as reported on OTCBB for the registrant's common stock on April 12,
2007

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

68,396,611 shares of registrant's common stock, no par value were outstanding on
April 12, 2007.


                                        1
<PAGE>
<TABLE>
<CAPTION>
                                        SUBJEX CORPORATION
                                           FORM 10-KSB
                                   YEAR ENDED DECEMBER 31, 2006

                                              INDEX

ITEM                                                                                         PAGE
<S>   <C>                                                                                    <C>
                                              PART I

1.    Description of Business                                                                   3
2.    Description of Property                                                                   4
3.    Legal Proceedings                                                                         4
4.    Submission of Matters to a Vote of Security Holders                                       4

                                             PART II

5.    Market for Registrant's Common Equity and Related Stockholder Matters                     5
6.    Management's Discussion & Analysis of Financial Condition and Results of Operations       6
7.    Financial Statements                                                                      6
8.    Changes in and Disagreements with Accountants on Accounting and Financial Disclosure      6

                                             PART III

9.    Directors, Executive Officers, Promoters and Control Persons, Compliance with Section
      16(a) of the Exchange Act.                                                                7

10.   Executive Compensation                                                                    8
11.   Security Ownership of Certain Beneficial Owners and Management and Related to
      Shareholder Matters.                                                                      8
12.   Certain Relationships and Related Transactions                                            9
13.   Exhibits and Reports on Form 8-K                                                          9
14.   Principal Accountant Fees and Services.                                                  16

      Signatures                                                                               16
      Financial Statements                                                                     17
</TABLE>

CAUTIONARY STATEMENT FOR PURPOSES OF THE "SAFE HARBOR" PROVISIONS OF THE PRIVATE
SECURITIES LITIGATION REFORM ACT OF 1995

Statements in this discussion which are not historical facts may be considered
"forward looking statements" within the meaning of Section 21E of the Securities
Act of 1934, as amended. The words "believe", "expect", "anticipate",
"estimate", and similar expressions identify forward looking statements. Any
forward looking statement involves risks and uncertainties that could cause
actual events or results to differ, perhaps materially, from the events
described in the forward looking statements. Readers are cautioned not to place
undue reliance on these forward looking statements. The Company undertakes no
obligation to publicly update or revise any forward looking statement, whether
as a result of new information, future events or otherwise. The risks associated
with the Company's forward looking statements include, but are not limited to,
risks associated with the Company's history of losses and uncertain
profitability, sales and marketing strategies, competition, general economic
conditions, reliance on key management and production people, current and future
capital needs, dilution, effects of outstanding notes and convertible
debentures, limited public market for the Company's capital Stock, low stock
price, and lack of liquidity.

The following discussion and analysis should be read in conjunction with the
Financial Statements, related notes and other information included in this
annual report on Form 10-KSB


                                        2
<PAGE>
ITEM 1.  DESCRIPTION OF BUSINESS

OVERVIEW

Subjex Corporation is an innovative developer of Artificial Intelligence
software products for the Capital Markets and E-commerce. The flagship product,
SubjexFMS is an intelligent software product that forecasts the DJIA, the XAU,
the DJT and the US dollar Index so that subscribers, when "plugged into" the
software, can find capital appreciation with a third party investment account.
The forecasting engines' objective is to provide accurate next day forecasts,
long or short, allowing clients to take market neutral profits via short term
trades. SubjexFMS is not a Mutual Fund or a brokerage service; it is software
that clients subscribe to and use for their trading. SubjexFMS is based upon a
proprietary Artificial Intelligence trade timing engine invented by Andrew Dean
Hyder. The Subjex Corporation license of FMS is to facilitate its mission is to
give value to our client base while providing clear-continuous revenue and
profit growth for our investor base.

TRADEMARKS AND PATENTS

The Company holds trademarks and patent pending protection for most of its
business that management feels are relevant to protect the company interests.

ENVIRONMENTAL COMPLIANCE

The Company believes it is in compliance with all current federal and state
environmental laws.

EMPLOYEES

The Company currently has 3 full-time employees and 3 full-time consultants. The
Company's employees are not represented by any labor unions.   The Company
considers its relations with its employees to be outstanding.

COMPETITION

The Company is aware of other companies selling solutions that appear to be
similar to Subjex; however management is not aware of any companies that are
selling the same solutions as we have designed. In addition management continues
to market it products to small businesses, small qualified investors and
institutions. The Company believes that its solutions are more effective than
its competition. Management believes that while some companies may have greater
resources than Subjex, we have superior products which continue to grow in power
and client usage.

RECENT DEVELOPMENTS

In mid 2006, Subjex Corporation recognized what it considered to be breach of
contract by "FarSuperior" and its management. Because Subjex Corporation
management did not receive domain names, usable code, or trademarks as promised,
the Company could not execute its plan as made public in 2005 and 2006.
Therefore according to necessary contractual procedure the Company canceled its
contract with the "FarSuperior" party.  SubjexCSR sales made to clients in early
2006 by "FarSuperior" management were refunded to those clients as a result of
the Subjex Corporation's inability to deliver what was promised by "FarSuperior"
management.

In October 2006 Subjex Corporation announced that it has begun to license a
significant new software technology. The software called SubjexFMS ("Forecast
Market Software") is an Artificial Intelligence trade-timing and index
forecasting engine built on a similar Neural Network structure as Subjex's
dialogue technology. The timing and early release of this technology was
necessary for the Company's survival efforts due to a lack of revenue and damage
in reputation it sustained from failed business with


                                        3
<PAGE>
"FarSuperior" management.  Currently the Company is involved in the mediation
process outlined in its agreement with "FarSuperior" management to seek
compensation for damages.

SubjexFMS has proven to be successful in terms of meeting its objectives for its
clients. The company has recently contracted with Individual investors and
clients to use SubjexFMS and to introduce the FMS software to other prospective
customers. While the performance of SubjexFMS has been exceptional in terms of
percentage return for clients, new client growth has been slow due to marketing
financial constraints. These constraints are due to management's unwillingness
to dilute the Company with the sale of stock. Instead, management has elected to
grow the business model with revenues.  The Company has completely stopped its
reliance on the sale of its stock to raise money for operations. With many cost
saving measures in place since 2002, and our increase in revenues in 2007,
management feels that the Company will stay profitable on an ongoing basis.
Management believes it has enough funds on hand along with revenues for not only
operations, but for continued growth of the Subjex Corporation business model.

The Company continues to seek strategic partners for its other software
properties such as SubjexCSR.

ITEM 2:  DESCRIPTION OF PROPERTY

The Company's principal office is located at 3245 Hennepin Ave S Suite 1
Minneapolis, MN 55408, occupying approximately 1,000 square feet and utilized
entirely for office space. The lease is month to month. The space is not rented
under a written lease.  Management believes that comparable office space is
readily available however the idea of buying a property is being entertained at
present.

ITEM 3:  LEGAL PROCEEDINGS

There were no other legal proceedings pending or, to the Company's knowledge,
that would be material to the financial position of the Company.

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

In 2006 the Company brought to the Shareholders several items to vote .This
meeting was open to All Shareholders of Record and Shareholder Proxy Holders
qualified to vote on matters brought forth at the meeting.  The following agenda
was presented and approved.

1. To set the number of directors at three (3) members and elect each director
to a term of three years from the date of the annual meeting.  a. Andrew D
Hyder, b. Brian K Ahern and c. Sharon R Hyder.

2. To authorize the Board of Directors to update and revise the Company's Stock
Option and Grant program, originally adopted on August 17, 1999.

3. To authorize the Board of Directors to file with the Minnesota Secretary of
State for an increase in the number of Authorized Shares from the current
50,000,000 to 100,000,000.

4. To transact such other business as may properly come before the Annual
Meeting and any adjournments or postponements thereof.
All items passed and were adopted as outlined.

                                     PART II

ITEM 5:   MARKET FOR COMMON EQUITY AND RELATED STOCKHOLDER MATTERS
          (a)  MARKET INFORMATION

The Company's Common Stock is traded on the Over the Counter Bulletin Board
since January 2000 under the symbol "PGBN".   The Company changed it ticker
symbol in 2003 to "SBJX". Its high and low sales prices of common stock in 2006
were $0.11 and $0.02, respectively. Since the Company is not NASDAQ qualified,
these prices are inter-dealer prices and may not reflect actual value or
transactions.


                                        4
<PAGE>
Price per Share - Calendar Year 2006

<TABLE>
<CAPTION>
-----------------------------------
Quarter             High      Low
---------------  ---------  -------
<S>              <C>        <C>
First            $     .11      .03
---------------  ---------  -------
Second           $     .07      .02
---------------  ---------  -------
Third            $     .04      .02
---------------  ---------  -------
Fourth           $     .08      .03
-----------------------------------
</TABLE>

Price per Share - Calendar Year 2005

<TABLE>
<CAPTION>
-----------------------------------
Quarter             High      Low
---------------  ---------  -------
<S>              <C>        <C>
First            $    0.16     0.10
---------------  ---------  -------
Second           $    0.13     0.05
---------------  ---------  -------
Third            $    0.08     0.03
---------------  ---------  -------
Fourth           $    0.05     0.03
-----------------------------------
</TABLE>

On December 31, 2006 there were 280 holders of the Company's outstanding
64,051,737 shares of common stock.

     (a)  DIVIDENDS

The Company has not paid dividends on its common stock and may not do so in 2007
although it is the company's intention to pay dividends, there is no assurance
that any dividends will be paid in the future.  Any earnings in 2007 may be
utilized to invest in projects intended to build the Company's sales base, to
buy back its own stock, for paying dividends or to reinvest into FMS.

     (b)  RECENT SALES OF UNREGISTERED SECURITIES

The following discussion describes all securities sold by the Company during the
past year without registration.  In 2006 the Company sold common stock in the
amount of 13,076,089 shares to fund basic operations. The Company also issued
common stock in the amount of 1,500,000 shares to employees and consultants as
compensation. The Company did not use underwriters, and all securities were sold
by the Company. The Company did not make any public offerings of any securities;
all sales were private, to accredited individuals only. The securities were sold
for cash at 0.01 to 0.055 cents per share with a no par value. There were no
underwriting discounts or commissions paid on these securities.

The Company has relied on section 4(2) of the section of the Securities Act of
1933 under which the Company claimed exemption from registration. The Company
did not solicit for funds publicly, and had acquired signed subscription
agreements from the accredited participants of the securities sold. The
securities sold by the Company are not convertible warrants or options and
therefore there are no terms of conversion or exercise of the securities sold.

The net offering proceeds to the Company was $474,425 which the Company used for
the payment of employees' salaries, office rent, purchase of equipment,
repayment of indebtedness, and working capital. There were no indirect payments
to directors, officers, or their associates; to persons owning ten (10) percent
or more of any class of equity securities of the issuer; and to affiliates of
the issuer; or direct or indirect payments to others for monies raised.

ITEM 6:  MANAGEMENT'S DISCUSSION & ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS

The Company decreased its operating expenses to $456,267 in 2006 compared to
$527,990 in 2005. The Company decreased its spending in 2006 slightly due to its
new marketing approach.

The Company generated revenues of $114,752 and $72,958 in 2006 and 2005,
respectively.  Most of the revenue in 2006 was generated from SubjexCSR revenue.
Revenue levels by themselves were not


                                        5
<PAGE>
sufficient to sustain the Company's operations in 2006; therefore funds were
raised from the sale of common stock to the Company's investor base to meet its
financial needs.  The Company used a "just-in-time" funding method, in an effort
to hold off dilution of its stock, by not raising more funds than necessary
while its stock price was low.

The Company does not expect to raise additional capital from the issuance of
common stock for operations. However the Company is currently considering the
sale of common stock for its direct usage in SubjexFMS for the direct benefit of
Subjex Corporation. This funding is expected to bring the Company sizeable
revenue gains and is the only stock sale dilution being considered at this time.

Factors that may affect the Company's operating results include the continued
success of marketing efforts and potential mergers or acquisitions.

LIQUIDITY AND CAPITAL RESOURCES

The accumulated deficit from inception to December 31, 2006 was $5,280,776. To
date, most of the operations of the Company have depended on monies raised
through the issuance of common stock. However management believes it has enough
funds on hand along with revenues to sustain operations on a going forward
basis.

The Company is now focused on its use of capital resources which support
enhancement of sales growthManagement is also developing further plans with its
Finders network and systems to increase the growth curve in the Company's profit
margin. It is managements desire to hold expenditures to a minimum by means of
the Company's reliance on it own software solutions. The Company will use its
profits to further grow its market share, start its dividend program, and
additionally buy back its stock. This stock buy back program is intended to
support the public stock price and build a stock reserve for future use in
possible acquisitions or as security in debt financing. Any proceeds from debt
financing will be used in the Company's own FMS implementation to further build
its revenues.

ITEM 7: FINANCIAL STATEMENTS

The financial statements of the Company are included herein following the
signatures.

ITEM 8:  CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND
FINANCIAL DISCLOSURE
None

(a)  CONTROLS AND PROCEDURES.

The Company has in place two staff members that daily review all accounts and
figures (accounting systems) that pertain to accounting and the financial
condition of the company. This includes banking, accounts payable, stocks etc.
One additional employee handles the accounts receivable only. These are then
forwarded to an out of house accounting firm who does all our accounting on
Quick Books. Our staff and the accounting firm are in contact on a daily basis.
The accounting firm is owned by Sharon Hyder, a member of our board of directors
and the mother of the CEO, Andrew Hyder. Management believes that the fees paid
to the accounting firm are equivalent to those that would be paid for similar
services in an arm's length transaction.

Since the Company does not have an audit committee, its Board of Directors
oversees the responsibilities of the audit committee. The Board is fully aware
that there is not a clear segregation of duties due to the small number of
employees dealing with general administrative and financial matters. However,
the board has determined that considering the employees involved the control
procedures in place, risks associated with such lack of segregation are
insignificant and the potential benefits of adding employees to clearly
segregate duties does not justify the expenses associated with such increases at
this time.  As the Company further grows it operations, management expects to
modify its Controls and Procedures as necessary to maintain compliance with
applicable law.


                                        6
<PAGE>
                                    PART III

ITEM 9.  DIRECTORS, EXECUTIVE OFFICERS, PROMOTERS AND CONTROL PERSONS,
COMPLIANCE WITH SECTION 16(A) OF THE EXCHANGE ACT

                                   MANAGEMENT

     The executive officers and Directors of the Company are as follows:

<TABLE>
<CAPTION>
--------------------------------------------------------
Name                  Age              Position
------------------  -------  ---------------------------
<S>                 <C>      <C>
Andrew D Hyder         40    Chief Executive Officer
                             President
                             Chairman of the Board
--------------------------------------------------------
</TABLE>

Andrew D. Hyder has been the President and Chief Executive Officer and a
Director since October 1999. He is the founder of the Company and has served as
President and Chief Executive Officer since its inception in 1998. He brings
extensive marketing, software development, and artificial intelligence skills to
the Company. Andrew served as President of Interactive Host, a successful web
development, hosting and search engine positioning company. Andrew developed a
search engine ranking and positioning expert system that was later sold and
netted over one-half million dollars.

Andrew has founded and managed several technology and advertising companies. He
has expertise in general areas of business, including several specialized areas
such as, finance, direct mail marketing, and corporate branding. Andrew knows
seven different computer programming languages such as C++, Java, Cobol, the
Visual languages (Basic, C, Java), JavaScript, HTML and Perl; his technical
experiences span just about every type of PC platform in use today, from
Unix/Linux, Mac to Win/NT. He began computer programming flight simulators in
1978 at age 12.

Andrew has a firm grasp of modern technologies as applied to corporate
infrastructure and what it takes to build a successful public technology
organization. At Subjex, he is responsible for the vision and direction of the
corporation and supervision and leadership of the Company's Artificial
Intelligence research and development. As is apparent in Mr. Hyder's actual
historical salary noted below along with his relatively small stock ownership
position in the company he has made extensive personal sacrifice to insure the
success of the company.

Section (a) Beneficial Ownership Reporting Compliance

Section 16(a) of the Securities Exchange Act of 1934 requires executive officers
and directors and persons who beneficially own more than 10% of the Company's
Common Stock to file initial reports of ownership and reports of changes in
ownership with the Securities and Exchange Commission ("SEC").  Executive
officers, directors, and greater than 10% beneficial owners are required by SEC
regulations to furnish the Company with copies of all Section 16(a) forms they
file.

Based solely on a review of the copies of such forms furnished to the Company
and written representations from the executive officers, directors and holders
of 10% or more of the Company's Common Stock, the Company believes that its
executive officers, directors and 10% shareholders complied with all Section
16(a) filing requirements applicable to them.


                                        7
<PAGE>
ITEM 10:  EXECUTIVE COMPENSATION
SUMMARY COMPENSATION TABLE

The following table sets forth the compensation earned in certain fiscal years
by the Company's Chief Executive Officer.

<TABLE>
<CAPTION>
                                            Other
Name                     Year  Salary   Compensation
-----------------------  ----  -------  -------------
<S>                      <C>   <C>      <C>
Andrew D Hyder           2006  $40,008
-----------------------  ----  -------  -------------
Director, President      2005  $32,418
-----------------------  ----  -------  -------------
Chief Executive Officer  2004           $      38,292
-----------------------  ----  -------  -------------
                         2003  $17,083
-----------------------------------------------------
</TABLE>

ITEM 11. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT

The following table sets forth certain information with respect to beneficial
ownership of the Company's Common Stock as of December 31, 2006 by: (i) each
Director of the Company, (ii) each Named Executive Officer (iii) all Directors
and executive officers of the Company as a group and (iv) each person or entity
known by the Company to own beneficially more than five percent of the Company's
Common Stock. The address of each of the following shareholders is the same as
the Company.

<TABLE>
<CAPTION>
                            Amount and Nature  Percent of
Name of Beneficial Owner        of Owner          Class
--------------------------  -----------------  -----------
<S>                         <C>                <C>
Andrew D Hyder                      3,724,643         5.5%
--------------------------  -----------------  -----------
All Directors and Officers          1,148,783         1.7%
----------------------------------------------------------
</TABLE>

     (1)  Beneficial ownership is determined in accordance with rules of
          the Securities and Exchange Commission and includes generally voting
          power and/or investment power with respect to securities. Shares of
          Common Stock subject to options or warrants currently exercisable or
          exercisable within 60 days of December 31, 2006 ("Currently
          Exercisable Options") are deemed outstanding for computing the
          beneficial ownership percentage of the person holding such options but
          are not deemed outstanding for computing the beneficial ownership
          percentage of any other person. Except as indicated by footnote, the
          persons named in the table above have the sole voting and investment
          power with respect to all shares of Common Stock shown as beneficially
          owned by them.

     (2)  Includes 25,000 shares held by Mr. Hyder's daughter, and includes
          2,500 shares issuable pursuant to Currently Exercisable Options.

Securities Authorized Under Equity Compensation Plans

The following table lists the securities authorized for issuance under any
equity compensation plans approved by our shareholders and any equity
compensation plans not approved by our shareholders. This chart also includes
individual compensation arrangements. Descriptions of these plans are provided
below.

<TABLE>
<CAPTION>
Equity Compensation Plan Information
----------------------------------------------------------------------------------------------
Plan Category           Number of Securities to  Weighted average      Number of securities
                        be issued upon exercise  exercise price of     remaining available for
                        of outstanding options,  outstanding options,  future issuance under
                        warrants and rights      warrants and rights   equity compensation
                                                                       plans
----------------------  -----------------------  --------------------  -----------------------
<S>                     <C>                      <C>                   <C>
Equity compensation     1,393,500                .17                   1,106,500
plans not approved by
security holders (1)
----------------------------------------------------------------------------------------------
</TABLE>

     (1)  Represents options to buy 12,500 shares and warrants to buy
          1,381,000 shares

During 1999, the Company adopted the Pagelab Network, Inc. Stock Option and
Stock Award Plan (the Plan).  The Plan permits the granting of incentive stock
options meeting the requirements of Section 422 of the Internal Revenue Code of
1986, as amended, and nonqualified options, which do not meet the requirements
of Section 422.  A total of 2,500,000 shares have been reserved under the Plan
through the


                                        8
<PAGE>
period ending December 31, 2005.  All options will be granted at an exercise
price not less than the fair market value of the common stock on the grant date
according to the plan provisions.  The options granted to participants owning
more than 10 percent of the Company's outstanding voting stock must be granted
at an exercise price not less than 110 percent of fair market value of the
common stock on that date.  The options shall expire on the date determined by
the Board of Directors, but not greater than 10 years from the grant date.

ITEM 12. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

None.

ITEM 13. EXHIBITS AND REPORTS ON FORM 8-K
EXHIBITS.
                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                    FORM 8-K

                                 CURRENT REPORT
     PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934

                                January 18, 2006
                 Date of Report (Date of earliest event reported

                               Subjex Corporation
             (Exact name of registrant as specified in its charter)

             Minnesota                  0-29711             41-1596056
    (State or other jurisdiction      (Commission         (IRS Employer
         of Incorporation)            File Number)      Identification No)

5720 Smetana Drive, Suite 325 Minnetonka, MN                  55343
(Address of principal executive offices)                   (Zip Code)

                                 (952) 931-0501
              (Registrant's telephone number, including area code)
         (Former name or former address, if changed since last report.)

Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant
under any of the following provisions (see General Instruction A.2. below):
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange
Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange
Act (17 CFR 240.13e-4(c))

A. REPORT.

ITEM 2.01 COMPLETION OF ACQUISITION OR DISPOSITION OF ASSETS.

On January 12, 2006 a material definitive agreement was made which was not made
in the ordinary course of Subjex Corporation business thus prompting an 8k
filing with the SEC. This agreement was signed by Andrew Hyder of Subjex
Corporation and Howard Walsh of Farsuperior Management LLC. A sales and
management agreement were also agreed to; signed by Andrew Hyder of Subjex
Corporation and Wayne Warrington of Farsuperior Management LLC. These agreements
complete Subjex corporation obligations


                                        9
<PAGE>
for the closing of the acquisition with Farsuperior management on its stated
acquisition announced in December of 2005. As a result of all parties completing
their obligations under such agreement, the date of the closing of this
agreement was January 12th 2006 and is being executed as follows.

Operational requirements of the two parties will include working together to
continue to execute on the Fartsuperior.com business model and SubjexCSR/ME
sales systems.  Subjex Corporation will gradually take over technical operations
of the Farsuperior web properties and integrate them with its other operations.
The material terms of the closing and acquisition agreement are performance
based. Farsuperior management will receive a declining percentage of revenue
generated from its sales that it generates over 4 years and warrant options
based upon performance. Revenue percentages do not include sales Subjex
Corporation earns out side of the Farsuperior business model. In year one this
percentage will be 25% of revenues generated from Farsuperior; year 2 will be
20%; year 3 will be 10% and year 4 will be 5%. Subsequent years will pay nothing
to Farsuperior management LLC as Subjex Corporations obligations relating to
cash pay outs will be fulfilled. This filing completes Subjex Corporations
obligations as it relates to the filing requirements of an 8K filing as defined
by the SEC.

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

Subjex Corporation
 (Registrant)
By /s/ Andrew Hyder

(Signature)

Andrew Hyder, CEO (acting CFO)
January 18th 2006

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

                                    FORM 8-K

                                 CURRENT REPORT
     PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934

                                February 20, 2006
                 Date of Report (Date of earliest event reported

                               Subjex Corporation
             (Exact name of registrant as specified in its charter)

             Minnesota                   0-29711            41-1596056
    (State or other jurisdiction      (Commission         (IRS Employer
         of Incorporation)            File Number)      Identification No)

5720 Smetana Drive, Suite 325 Minnetonka, MN                  55343
(Address of principal executive offices)                   (Zip Code)

                                 (952) 931-0501
              (Registrant's telephone number, including area code)
         (Former name or former address, if changed since last report.)

Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions (see General Instruction A.2. below):
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange
Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange
Act (17 CFR 240.13e-4(c))


                                       10
<PAGE>
A. REPORT.

ITEM 5.02 DEPARTURE OF DIRECTORS OR PRINCIPAL OFFICERS; ELECTION OF DIRECTORS;
APPOINTMENT OF PRINCIPAL OFFICERS.

On February 20, 2006 a material event occurred which was not made in the
ordinary course of Subjex Corporation's business thus prompting an 8k filing
with the SEC. Subjex Corporation's board of directors had made two additions to
the board of directors. The addition to the board of directors was Brian K.
Ahern, and Sharon R. Hyder. Both Mrs. Hyder and Mr. Ahern have been long time
consultants with Subjex Corporation.

In addition to being the CEO's mother, Sharon R. Hyder holds a Bachelor of Arts
in Business and Accounting, and an MBA in Business and Finance. Her extensive
industry certifications and IRS/tax/audit training make her well suited for
board membership with an impressive background in public private and academic
work.

Brain K. Ahern brings a BA in international business degree to Subjex
Corporation. As a senior financial consultant with American Express Financial
Brian advised on 15 to 20 million dollar budgets; designed and spearheaded
marketing pilot programs that are still in use today. Brian also developed
international distribution relationships with global conglomerates to bring
products to the Middle East. The diversity and depth of his experience with
Fortune 500 and international companies offers Subjex Corporation the
opportunity to become a global competitor. Brian also holds a series 6 & 7
securities license.

This filing completes Subjex Corporations obligations as it relates to the
filing requirements of an 8K filing as defined by the SEC.



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

Subjex Corporation
 (Registrant)
By /s/ Andrew Hyder

(Signature)
Andrew Hyder, CEO (acting CFO)
February 22th 2006


                                       11
<PAGE>
                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                    FORM 8-K

                                 CURRENT REPORT
     PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934

                                  June 28, 2006
                 Date of Report (Date of earliest event reported

                               Subjex Corporation
             (Exact name of registrant as specified in its charter)

             Minnesota                   0-29711            41-1596056
    (State or other jurisdiction      (Commission         (IRS Employer
         of Incorporation)            File Number)      Identification No)

3010 Hennepin Ave S Suite 297, Minneapolis MN                 55408
(Address of principal executive offices)                   (Zip Code)

                                 (952) 931-0501
              (Registrant's telephone number, including area code)

                  5720 Smetana Dr Suite 325 Minnetonka MN 55343
         (Former name or former address, if changed since last report.)

Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions (see General Instruction A.2. below):
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange
Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange
Act (17 CFR 240.13e-4(c))

A. REPORT.

ITEM 4.01 CHANGES IN REGISTRANT'S CERTIFYING ACCOUNTANT

On June 23rd, 2006 a material event occurred which was not made in the ordinary
course of Subjex Corporation business thus prompting an 8k filing with the SEC.
Carver Moquist & O'Connor, LLC,  1550 American Boulevard East Suite 680
Bloomington, MN  55425-3108 announced their resignation as its accountants.

This filing completes Subjex Corporations obligations as it relates to the
filing requirements of an 8K filing as defined by the SEC.

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

Subjex Corporation
 (Registrant)

By /s/ Andrew Hyder
(Signature)


                                       12
<PAGE>
                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                    FORM 8-K

                                 CURRENT REPORT
     PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934

                                September 5, 2006
                Date of Report (Date of earliest event reported)

                               Subjex Corporation
             (Exact name of registrant as specified in its charter)

             Minnesota                   0-29711            41-1596056
    (State or other jurisdiction      (Commission         (IRS Employer
         of Incorporation)            File Number)      Identification No)

3010 Hennepin Ave S Suite 297, Minneapolis MN                 55408
(Address of principal executive offices)                   (Zip Code)

                                 (952) 931-0501
              (Registrant's telephone number, including area code)
         (Former name or former address, if changed since last report.)

Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions (see General Instruction A.2. below):
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange
Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange
Act (17 CFR 240.13e-4(c))

A. REPORT.

ITEM 4.01 CHANGES IN REGISTRANT'S CERTIFYING ACCOUNTANT

On Sept 1, 2006 a material event occurred which was not made in the ordinary
course of Subjex Corporation business thus prompting an 8k filing with the SEC.
It was announced that Ronald N. Silberstein, CPA, PLLC. 30201 Orchard Lake Road,
Suite 150, Farmington Hills, Michigan 48334
became Subjex Corporation's new independent auditor and certifying accountant.

This filing completes Subjex Corporations obligations as it relates to the
filing requirements of an 8K filing as defined by the SEC.

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

Subjex Corporation
 (Registrant)

By /s/ Andrew Hyder
(Signature)


                                       13
<PAGE>
                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                    FORM 8-K

                                 CURRENT REPORT
     PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934

                                October 11, 2006
                 Date of Report (Date of earliest event reported

                               Subjex Corporation
             (Exact name of registrant as specified in its charter)

             Minnesota                   0-29711            41-1596056
    (State or other jurisdiction      (Commission         (IRS Employer
         of Incorporation)            File Number)      Identification No)

3010 Hennepin Ave S Suite 297, Minneapolis MN                 55408
(Address of principal executive offices)                   (Zip Code)

                                 (952) 931-0501
              (Registrant's telephone number, including area code)
         (Former name or former address, if changed since last report.)

Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions (see General Instruction A.2. below):
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange
Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange
Act (17 CFR 240.13e-4(c))

A. REPORT.

ITEM 8.01 OTHER EVENTS

On October 10, 2006 an event occurred which was not made in the ordinary course
of Subjex Corporation business thus prompting an 8k filing with the SEC. An
Annual Meeting of Shareholders was scheduled for 7:00 P.M. (Central Time) in
Savage MN. This meeting was open to All Shareholders of Record and Shareholder
Proxy Holders qualified to vote on matters brought forth at the meeting.  The
meeting was not able to be held because a Quorum did not exist. The actual
voting shares counted was 21,804,569 and the amount needed to hold the Annual
Meeting of Shareholders was 24,952,824 therefore the meeting was adjourned.

This filing completes Subjex Corporations obligations as it relates to the
filing requirements of an 8K filing as defined by the SEC.

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

Subjex Corporation
 (Registrant)
By /s/ Andrew Hyder
(Signature)
Andrew Hyder, CEO (acting CFO)
October 11th 2006


                                       14
<PAGE>
                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                    FORM 8-K

                                 CURRENT REPORT
     PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934

                                October 23, 2006
                 Date of Report (Date of earliest event reported

                               Subjex Corporation
             (Exact name of registrant as specified in its charter)

             Minnesota                   0-29711            41-1596056
    (State or other jurisdiction      (Commission         (IRS Employer
         of Incorporation)            File Number)      Identification No)

3010 Hennepin Ave S Suite 297, Minneapolis MN                 55408
(Address of principal executive offices)                   (Zip Code)

                                 (952) 931-0501
              (Registrant's telephone number, including area code)
         (Former name or former address, if changed since last report.)

Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions (see General Instruction A.2. below):
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange
Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange
Act (17 CFR 240.13e-4(c))

A. REPORT.

ITEM 8.01 OTHER EVENTS

On October 18, 2006 an event occurred which was not made in the ordinary course
of Subjex Corporation business thus prompting an 8k filing with the SEC. An
Annual Meeting of Shareholders was rescheduled for 7:00 P.M. (Central Time)
October 18, 2006 in Savage MN. This meeting was open to All Shareholders of
Record and Shareholder Proxy Holders qualified to vote on matters brought forth
at the meeting.  The meeting was able to be held because a Quorum did exist. The
actual voting shares counted were 29,101,353 and the amount needed to hold the
Annual Meeting of Shareholders was 24,952,825 therefore the meeting went
forward.  All of management's proposals were approved by well over 95%.  The
following agenda was presented and approved.

1. To set the number of directors at three (3) members and elect each director
to a term of three years from the date of the annual meeting.  a. Andrew D
Hyder, b. Brian K Ahern and c. Sharon R Hyder.
The motion was passed with 28,059,753 votes.

2. To authorize the Board of Directors to update and revise the Company's Stock
Option and Grant program, originally adopted on August 17, 1999.
The motion was passed with 27,342,753 votes.

3. To authorize the Board of Directors to file with the Minnesota Secretary of
State for an increase in the number of Authorized Shares from the current
50,000,000 to 100,000,000.
The motion was passed with 28,072,753 votes.

4. To transact such other business as may properly come before the Annual
Meeting and any adjournments or postponements thereof.
The motion was passed with 28,692,753 votes.

This filing completes Subjex Corporations obligations as it relates to the
filing requirements of an 8K filing as defined by the SEC.

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

Subjex Corporation
 (Registrant)
By /s/ Andrew Hyder
(Signature)
Andrew Hyder, CEO (acting CFO)
October 23rd  2006


                                       15
<PAGE>
ITEM 14. PRINCIPAL ACCOUNTANT FEES AND SERVICES

The Board of Directors of the Company selected Ronald N. Silberstein, CPA, PLLC,
with offices in Farmington Hills, Michigan and Las Vegas, Nevada, to audit the
Company's financial statements for the year ended December 31, 2006.   Carver
Moquist & O'Connor, LLC (formerly known as Carver Moquist & Associates, LLC),
certified public accountants with offices in Minneapolis, Minnesota, audited the
Company's financial statements for the years ended December 31, 2005 and 2004.
The following table details the fees billed by the independent auditors in the
years ended December 31, 2006 and 2005.

<TABLE>
<CAPTION>
------------------------------------------
                       2006        2005
------------------  ----------  ----------
<S>                 <C>         <C>
Audit fees              29,127      17,600
------------------------------------------
</TABLE>

No  services  in  connection  with  appraisal  or  valuation  services, fairness
opinions or contribution-in-kind reports were rendered by Ronald N. Silberstein,
CPA,  PLLC  or Carver Moquist & O'Connor, LLC. Furthermore, no work of Ronald N.
Silberstein,  CPA,  PLLC  or  Carver Moquist & O'Connor, LLC with respect to its
services  rendered  to  the Company was performed by anyone other than Ronald N.
Silberstein,  CPA,  PLLC  or  Carver  Moquist  &  O'Connor,  LLC.

We do not have an audit committee and as a result our entire board of directors
performs the duties of an audit committee. Our board of directors evaluates the
scope and cost of the engagement of an auditor before the auditor renders audit
and non-audit services. As a result, we do not rely on established pre-approval
policies and procedures.

SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities and
Exchange Act of 1934, the Issuer has duly caused this report to be signed on its
behalf by the undersigned officers and/or Directors, there unto duly authorized.

SUBJEX CORPORATION
Date:  April 17, 2007

NAME                                    TITLE
/s/ Andrew D. Hyder                     President and Chief Executive Officer,

Exhibit Index
Exhibit 31.1   Certificate pursuant to Section 302 of the Sarbanes-Oxley Act of
               2002
Exhibit 32.1   Certificate pursuant to Section 906 of the Sarbanes-Oxley Act of
               2002

ITEM 7.  FINANCIAL STATEMENTS


                                       16
<PAGE>
                               SUBJEX CORPORATION
                              FINANCIAL STATEMENTS
                     YEARS ENDED DECEMBER 31, 2006 AND 2005

                                TABLE OF CONTENTS
                                -----------------


Report of Independent Registered Public Accounting Firm
Financial Statements:

Balance Sheets

Statements of Operations

Statements of Shareholders' Equity (Deficit)

Statements of Cash Flows

Notes to Financial Statements


                     RONALD N. SILBERSTEIN, C.P.A., P.L.L.C.
                       30201 ORCHARD LAKE ROAD, SUITE 150
                        FARMINGTON HILLS, MICHIGAN 48334
                  TEL:  (248) 330-6226  -  FAX:  (248) 479-0578
                                 www.ronscpa.com
                  ____________________________________________

             REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

Board of Directors
Subjex Corporation
Minneapolis, Minnesota

We  have  audited  the  accompanying  balance  sheet of Subjex Corporation as of
December  31,  2006  and  the  related  statements  of  operations,  changes  in
stockholders'  equity  and  cash  flows for the year then ended. These financial
statements  are  the  responsibility  of  the  Company's  management.  Our
responsibility  is  to express an opinion on these financial statements based on
our  audit.

We  conducted  our  audit in accordance with the standards of the Public Company
Accounting Oversight Board (United States). Those standards require that we plan
and perform the audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. The Company has determined that it
is  not  required  to  have,  nor  were  we  engaged to perform, an audit of its
internal  control  over financial reporting. Our audit included consideration of
internal  control  over  financial  reporting  as  a  basis  for designing audit
procedures that are appropriate in the circumstances, but not for the purpose of
expressing  an  opinion  on  the effectiveness of the Company's internal control
over  financial  reporting.  Accordingly,  we  express no such opinion. An audit
includes  examining  on  a  test  basis,  evidence


                                       17
<PAGE>
supporting  the  amounts  and  disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made  by  management,  as  well  as  evaluating  the overall financial statement
presentation.  We  believe  that  our  audit provides a reasonable basis for our
opinion.

In  our  opinion,  the financial statements referred to above present fairly, in
all  material  respects,  the  financial  position  of  Subjex Corporation as of
December 31, 2006, and the results of its operations and cash flows for the year
then  ended  in  conformity  with U.S. generally accepted accounting principles.


Ronald N. Silberstein, CPA, PLLC
Farmington Hills, Michigan
March 30, 2007

                         CARVER MOQUIST & O'CONNOR, LLC
                  CERTIFIED PUBLIC ACCOUNTANTS AND CONSULTANTS

             REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To  the  Board  of  Directors  and  Stockholders  of
Subjex  Corporation


We  have  audited  the  accompanying  balance sheets of Subjex Corporation as of
December  31,  2005  and  2004,  and  the  related  statements  of  operations,
stockholders'  deficit  and cash flows for the years then ended. These financial
statements  are  the  responsibility  of  the  Company's  management.  Our
responsibility  is  to express an opinion on these financial statements based on
our  audits.

We  conducted  our audits in accordance with the standards of the Public Company
Accounting Oversight Board (United States). Those standards require that we plan
and perform the audit to obtain reasonable assurance about whether the financial
statements  are  free  of  material misstatement. The company is not required to
have,  nor  were  we  engaged  to perform, an audit of its internal control over
financial  reporting.  Our audit included consideration of internal control over
financial  reporting  as  a  basis  for  designing  audit  procedures  that  are
appropriate  in  the  circumstances,  but  not  for the purpose of expressing an
opinion  on  the  effectiveness of the company's internal control over financial
reporting.  Accordingly,  we  express  no  such opinion.  An audit also includes
examining,  on  a test basis, evidence supporting the amounts and disclosures in
the  financial  statements,  assessing  the  accounting  principles  used  and
significant  estimates  made  by  management,  as well as evaluating the overall
financial  statement  presentation.  We  believe  that  our  audit  provides  a
reasonable  basis  for  our  opinion.

In  our  opinion,  the financial statements referred to above present fairly, in
all  material  respects,  the  financial  position  of  Subjex Corporation as of
December 31, 2005 and 2004, and the results of its operations and its cash flows
for  the  years  then  ended, in conformity with accounting principles generally
accepted  in  the  United  States  of  America.

The  accompanying  financial  statements have been prepared assuming that Subjex
Corporation  will  continue  as  a going concern.  As discussed in Note 2 to the
financial  statements,  the  Company had net losses for the years ended December
31,  2005  and  2004  and had an accumulated deficit at December 31, 2005. These
conditions  raise  substantial  doubt  about  its ability to continue as a going
concern.  Management's  plans regarding these matters are also described in Note
2.  The  financial  statements  do not include any adjustments that might result
from  the  outcome  of  this  uncertainty.


/s/ Carver Moquist & O'Connor, LLC

Bloomington, Minnesota
April 17, 2006


                                       18
<PAGE>
<TABLE>
<CAPTION>
                                    SUBJEX CORPORATION
                                      BALANCE SHEETS


                                                            December 31,    December 31,
                                                                2006            2005
                                                           --------------  --------------
<S>                                                        <C>             <C>
               ASSETS
               ------
Current Assets:
  Cash                                                     $      96,835   $       2,215
  Accounts receivable                                                  -             150
  Prepaid expenses                                                 8,395          19,045
                                                           --------------  --------------

    Total current assets                                         105,230          21,410

Property and Equipment, net                                       13,676          17,370
  Other Assets, net                                                8,101               -

    Total assets                                           $     127,007   $      38,780
                                                           ==============  ==============


LIABILITIES AND STOCKHOLDERS' DEFICIT
-------------------------------------

Current Liabilities:
  Short-term notes payable                                 $      58,634   $      32,150
  Subordinated convertible notes payable                          23,000          23,000
  Current portion of long -term debt                                   -           1,873
  Accounts payable                                                77,985          92,281
  Accrued expenses:
    Payroll and payroll taxes                                     11,226         129,373
    Interest                                                      20,783          17,909
                                                           --------------  --------------

    Total current liabilities                                    191,628         296,586

Long-term Debt:
  Long-term debt, less current portion                                 -          20,611
                                                           --------------  --------------

    Total liabilities                                            191,628         317,197
                                                           --------------  --------------

Stockholders' Deficit:
  Common stock, no par or stated value;
    100,000,000 shares authorized: 64,051,737 and
    49,105,648 shares issued and outstanding at
    December 31, 2006 and December 31, 2005, respectively      5,216,155       4,624,730
  Subscription received                                                           29,000
  Accumulated deficit                                         (5,280,776)     (4,932,147)
                                                           --------------  --------------

Total stockholders' Deficit                                      (64,621)       (278,417)
                                                           --------------  --------------

    Total liabilities and stockholders' deficit            $     127,007   $      38,780
                                                           ==============  ==============
</TABLE>

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


                                       19
<PAGE>
<TABLE>
<CAPTION>
                                SUBJEX CORPORTION
                            STATEMENTS OF OPERATIONS

                                                Years Ended December 31,
                                                  2006            2005
                                             ------------------------------
<S>                                          <C>              <C>
Revenues                                     $      114,752   $     72,958
                                             ---------------  -------------

Expenses:
  Selling, general and administrative               456,267        527,990
                                             ---------------  -------------

    Total operating expense                         456,267        527,990
                                             ---------------  -------------

    Operating loss                                 (341,515)      (455,032)

Other income (expense):

  Interest expense                                   (7,115)       (12,759)
                                             ---------------  -------------

Net loss                                     $     (348,630)  $   (467,791)
                                             ===============  =============

Net loss per basic and diluted common share  $        (0.01)  $      (0.01)
                                             ===============  =============

Weighted average common shares
  outstanding - basic and diluted                64,051,737     45,588,655
                                             ===============  =============
</TABLE>

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


                                       20
<PAGE>
<TABLE>
<CAPTION>
                                   STATEMENT OF SHAREHOLDERS EQUITY (DEFICIT)
                                     YEARS ENDED DECEMBER 31, 2006 AND 2005

                                                        Common Stock                              Shareholders'
                                                                                                     Equity
                                                                                   Accumulated
                                                           Shares       Amount       Deficit        (Deficit)
                                                        ------------  ----------  -------------  ---------------
<S>                                                     <C>           <C>         <C>            <C>
BALANCE, January 1, 2005                                  42,558,096  $4,305,342  $ (4,464,356)  $     (159,014)

  Common stock issuance                                    5,523,267     254,409                        254,409
  Subscription received                                                   29,000                         29,000
  Common stock issuance for consulting services              500,000      50,000                         50,000

  Restricted stock compensation                              524,285      14,979                         14,979

  Net Loss                                                                            (467,791)        (467,791)

                                                        ------------  ----------  -------------  ---------------
BALANCE, December 31, 2005                                49,105,648   4,653,730    (4,932,147)        (278,417)

  Common stock issuance                                   13,076,089     474,425                        474,425

  Common stock issuance for consulting services            1,000,000      55,000                         55,000

  Restricted stock compensation                              500,000      27,500                         27,500

  Stock added to outstanding due to found certificates       370,000           -                              -

  Payments received for stock issued in previous years             -       5,500                          5,500

  Net Loss                                                                            (348,629)        (348,629)

                                                        ------------  ----------  -------------  ---------------
BALANCE, December 31, 2006                                64,051,737  $5,216,155  $ (5,280,776)  $      (64,621)
                                                        ============  ==========  =============  ===============
</TABLE>

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


                                       21
<PAGE>
<TABLE>
<CAPTION>
                                     SUBJEX CORPORTION
                                  STATEMENTS OF CASH FLOWS

                                                             Years Ended December 31,
                                                              2006              2005
                                                        ----------------  -----------------
<S>                                                     <C>               <C>
Cash flows from operating activities:
  Net loss                                              $      (348,630)  $       (467,791)
  Adjustments to reconcile net loss to
  net cash flows from operating activities:
  Depreciation and amortization                                   7,999             10,761
  Restricted stock compensation expense                          27,500             14,979
  Non cash common stock issued for consulting services           55,000             50,000
  Changes in operating assets and liabilities:
  Accounts receivable                                               150               (150)
  Prepaid expenses                                               10,272            (17,045)
  Accounts payable                                              (14,296)            20,161
  Payroll and payroll taxes payable                            (118,147)            12,870
  Accrued interest                                                2,874              4,905
                                                        ----------------  -----------------

Net cash flows used in operating activities                    (377,278)          (371,310)
                                                        ----------------  -----------------

Cash flows from investing activities:
  Purchase of property and equipment                             (4,029)           (10,546)
                                                        ----------------  -----------------

Net cash flows used in investing activities                      (4,029)           (10,546)
                                                        ----------------  -----------------

Cash flows from financing activities:
  Proceeds from issuance of common stock                        474,425            254,409
  Subscriptions received                                              -             29,000
  Proceeds from issuance of notes payable                             -             64,000
  Proceeds from subordinated note payable                             -                200
  Principal payments on long-term debt                                -            (26,490)
                                                        ----------------  -----------------

Net cash flows provided by financing activities                 474,425            321,119
                                                        ----------------  -----------------

Net increase (decrease) in cash and equivalents                  94,620            (60,737)
Cash and cash equivalents at beginning of year                    2,215             62,952
                                                        ----------------  -----------------

Cash and cash equivalents at end of year                $        96,835   $          2,215
                                                        ================  =================
</TABLE>

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


                                       22
<PAGE>
NOTES TO THE FINANCIAL STATEMENTS
YEARS ENDED DECEMBER 31, 2006 AND 2005

NOTE 1 - NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Nature of Past and Current Business
-----------------------------------

Subjex Corporation provided a software service, Subject CSR, through an ASP
(application service provider) model. Customers can use the software online or
by downloading it, and do not need to install it on their server. This software
service is wrapped in a subscription model, and is billed monthly until customer
cancellation.

In October 2006 Subjex Corporation announced that it has begun to license a
significant new software technology. The software called SubjexFMS ("Forecast
Market Software") is an Artificial Intelligence trade-timing and index
forecasting engine built on a similar Neural Network structure as Subjex's
dialogue technology. This flagship product, SubjexFMS is an intelligent software
product that forecasts the DJIA, the XAU, the DJT and the US dollar Index so
that subscribers, when "plugged into" the software, can find capital
appreciation with a third party investment account. The forecasting engines'
objective is to provide accurate next day forecasts, long or short, allowing
clients to take market neutral profits via short term trades. SubjexFMS is not a
Mutual Fund or a brokerage service; it is software that clients subscribe to and
use for their trading. SubjexFMS is based upon a proprietary Artificial
Intelligence trade timing engine invented by Andrew Dean Hyder. The Subjex
Corporation license of FMS is to facilitate its mission is to give value to our
client base while providing clear-continuous revenue and profit growth for our
investor base.

Revenue Recognition
-------------------

Revenue from the sale of software and other products is recognized when an
agreement is made, delivery is complete, no significant obligations remain
unfulfilled, and collection of the resulting receivable is probable. In
instances where a significant obligation exists, revenue recognition is delayed
until the obligation has been satisfied. Revenue from services, including
training and consulting are recognized as the services are performed.

Use  of  Estimates
------------------

The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions that
affect the reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the financial statements and
reported amounts of revenues and expenses during the reporting period.  Actual
results could differ from those estimates.


                                       23
<PAGE>
Cash  Deposits  in  Excess  of  Federally  Insured  Limits
----------------------------------------------------------

The  Company  maintains  its  cash in bank deposit accounts which, at times, may
exceed federally insured limits. The balances are insured by the Federal Deposit
Insurance  Company  up  to  $100,000.  At  December  31, 2006 the Company had no
uninsured  cash  balances.

Cash  and  Cash  Equivalents
----------------------------

The  Company considers highly liquid investments with original maturity of three
months  or  less  when  purchased  to  be  cash  equivalents.

Segment Reporting
-----------------

The Company operates as one reporting segment.

Fair  Value  of  Financial  Instruments
---------------------------------------

The  company  considers  that  the  carrying  amount  of  financial instruments,
including  accounts  receivable, accounts payable, accrued liabilities and notes
payable,  approximates  fair value.  Interest on the notes payable is payable at
rates  which  approximate  fair  value.

Fixed Assets
------------

Fixed assets are stated at cost.  Depreciation and amortization is provided
using the straight-line method over the estimated useful lives of the related
assets.  When assets are retired or otherwise disposed of, the cost and related
accumulated depreciation are removed from the accounts and the resulting gain or
loss is included in operating income for the period.  The cost of maintenance
and repairs is expensed as incurred; significant renewals and betterments are
capitalized.  Deduction is made for retirements resulting from renewals and
betterments.

<TABLE>
<CAPTION>
The estimated useful lives are as follows:
-----------------------------------------
<S>                            <C>
Computers & Equipment          3 to 5 yrs
-----------------------------  ----------
Furniture                      5 to 7 yrs
-----------------------------  ----------
Operations Equipment           5 yrs
-----------------------------------------
</TABLE>

Impairment of Long-Lived Assets
-------------------------------

Long-lived  assets,  such  as  equipment  are  reviewed  for impairment whenever
changes  in  circumstances indicate that the carrying amount of an asset may not
be  recoverable.  Recoverability  of  assets  to be held and used is measured by
comparison  of  the carrying amount of an asset to estimated undiscounted future
cash  flows  expected to be generated by the asset. If the carrying amount of an
asset  exceeds  its  estimated  future  cash  flows,  an  impairment  charge  is
recognized  in  the amount by which the carrying amount of the asset exceeds the
fair  value  of  the  asset.

Research and Development
------------------------

Research and development costs, whether performed by the Company or by outside
parties under contract, are charged to operations as incurred. The company
incurred no R&D expenses during 2006 and 2005.


                                       24
<PAGE>
Software Development Costs
--------------------------

The Company capitalizes certain software development and production costs once
technological feasibility has been achieved.  Software development costs
incurred prior to achieving technological feasibility are expensed as incurred.

The Company fully expensed the software maintenance incurred and there were no
software development costs in 2006 and 2005.

Basic and Diluted Net Loss Per Share
------------------------------------

Basic per-share amounts are computed, generally, by dividing net income or loss
by the weighted-average number of common shares outstanding.  Diluted per-share
amounts assume the conversion, exercise, or issuance of all potential common
stock instruments, unless their effect is antidilutive, thereby reducing the
loss or increasing the income per common share. The Company has granted options
and warrants to purchase shares of common stock at various amounts per share.
Those options and warrants were not included in the computation of diluted
earnings per share because the Company incurred losses in both years.  The
inclusion of potential common shares in the calculation of diluted loss per
share would have an antdilutive effect.  Therefore, basic and diluted loss per
share amounts are the same in each year presented.

Stock-Based Consideration
-------------------------

As permitted by Statement of Financial Accounting Standards ("SFAS") No. 123,
"Accounting for Stock-Based Compensation," the Company accounts for share-based
payments to employees and directors using the intrinsic value method under
Accounting Principles Board ("APB") Opinion No. 25. As such, we do not recognize
compensation cost related to these stock option grants if the exercise price of
the options equals or exceeds the fair value of the underlying stock at issuance
date. Our general policy is to grant stock options and warrants at fair value at
the date of grant. We recorded expense related to stock based compensation
issued to non-employees in accordance with SFAS No. 123.

For the years ended December 31, 2006 and 2005, we recorded no compensation
expense pursuant to APB Opinion No. 25 and no options were granted.

No employee stock options were granted during 2006 and 2005.

Trade Accounts Receivable
-------------------------

Trade accounts receivable are recorded at the invoiced amount. The Company
grants uncollateralized credit to customers, but requires deposits on unique
orders.  The Company reviews customers' credit history before extending
unsecured credit. The allowance for doubtful accounts is the Company's best
estimate of the amount of probable credit losses in the Company's existing
accounts receivable.  The Company determines the allowance based on historical
write-off experience.  The Company reviews its allowance for doubtful accounts
monthly or quarterly depending on the service offered the account.  Past due
balances over 90 days and over a specified dollar amount are reviewed
individually for collectibility. Account balances are charged off against the
allowance after all means of collection have been exhausted and the potential
for recovery is considered remote.

Comprehensive Income (Loss)
---------------------------

SFAS No. 130 establishes standards for the reporting and disclosure of
comprehensive income (loss) and its components which will be presented in
association with the Company's financial statements.  Comprehensive income
(loss) is defined as the change in a business enterprise's equity during a
period arising from transactions, events or circumstances relating to non-owner
sources, such as foreign currency translation adjustments and unrealized gains
or losses on available-for-sale securities.  It includes all changes in equity
during a period except those resulting from investments by or distributions to
owners.  For the years ended December 31, 2006 and 2005, net loss and
comprehensive loss were equivalent.


                                       25
<PAGE>
Income Taxes
------------

The Company accounts for income taxes in accordance with Statement of Financial
Accounting Standards No. 109, Accounting for Income Taxes which require the use
of the liability method of accounting for income taxes.  See Note 6.

Liquidity Going Concern and Subsequent events.
---------------------------------------------

The  Company  had  a  working  capital  deficit  and  recurring  net losses from
operations  in 2006. These factors had created doubt in 2006 about the Company's
ability  to continue as a going concern. However, subsequent events in the first
and  second  quarters  of  2007 have substantially and significantly changed the
outlook  of  the Company. The financial performance and operational data for the
first  quarter  of  2007  indicate  that  the  Company  does have the ability to
continue  as  a going concern and can operate without the intention or threat of
liquidation  for the foreseeable future. It is management's assertion based upon
the operational performance of the first quarter of 2007 that the Company can in
fact survive on current revenues; will continue in operation for the foreseeable
future  and  will  be  able  to  realize assets and discharge liabilities in the
normal  course  of  operations.

In  the  last  quarter  of  2006  and  the  first  quarter  of  2007 the company
substantially  paid  down  most  of its outstanding debt, leaving only necessary
operational  expenses of approximately $20,000 per month. With substantial funds
mirroring FMS trades at the current and historical audited run/performance rate,
the  company  is  currently generating more than double the revenue necessary to
cover  its  operational expenditures. This earnings ramp is expected to continue
to grow at an exponential rate for foreseeable future. To further illustrate the
changes which have taken place in 2007, consider that the Company began the year
of  2007 with funds of $784,443 operating under FMS and closed the first quarter
of 2007 with $2.6 million in client funds mirroring FMS trades. As of April 17th
2007  there  were  $3.5  million  in client funds mirroring the trades. Further,
there  is no reason to expect that the current growth rate in new mirrored funds
will  slow  down  and  every  reason to expect it to continue to grow as fast or
faster  in  the  current  and  future  quarters.

The  Company  also  keeps  all  idle  cash  on  hand  and profits in its own FMS
implementation  with  Rydex. The Company therefore receives 100% of the proceeds
on  this  implementation, as apposed to receiving only 25% of the gains from its
client's implantations of FMS. The results of these profits accounted for 17% of
the  Company  revenue  in  the  first  quarter  of  2007.

The  ability  of  the  Company to continue as a going concern is not in question
from  managements  view based upon current operations. The Company is generating
profits  and  cash  flow  from  its  operations  that  cover  its  operations.
Management's  plans  do  not  include selling its equity securities or obtaining
debt financing to fund its ongoing operations; however, the Company does plan on
considering  these  options  for  further  funding  its  own FMS implementation.

NOTE 2 - FIXED ASSETS

<TABLE>
<CAPTION>
Property and equipment consisted of the following at December 31,
---------------------------------------------------
                                 2006       2005
-----------------------------  ---------  ---------
<S>                            <C>        <C>
Office and Computer Equipment  $ 59,737   $ 55,433
-----------------------------  ---------  ---------
Furniture and Fixtures           13,176     13,176
-----------------------------  ---------  ---------
Accumulated Depreciation        (44,429)   (36,431)
-----------------------------  ---------  ---------
Impairment of Fixed Assets      (14,808)   (14,808)
-----------------------------  ---------  ---------
Property and Equipment, net    $ 13,676   $ 17,370
---------------------------------------------------
</TABLE>

Depreciation and amortization expense on property and equipment was $ 7,998 and
$10,761 for the years ended December 31, 2006 and 2005, respectively.


                                       26
<PAGE>
NOTE 3 - FINANCING ARRANGEMENTS

Short-Term  Notes  Payable
--------------------------

There  were  several  short  term notes that were obtained from shareholders and
unrelated  parties  and are due at various dates through 2006. The interest rate
on  these  notes  is  10%.

<TABLE>
<CAPTION>
Short-term notes payable consisted of the following:
---------------------------------------------
                              2006     2005
---------------------------  -------  -------
<S>                          <C>      <C>
Shareholders                 $15,000  $16,650
---------------------------  -------  -------
Unrelated third parties        1,500   15,500
---------------------------  -------  -------
                             $16,500  $32,150
---------------------------------------------
</TABLE>

Subordinated Notes Payable
--------------------------

The subordinated convertible notes payable are unsecured, bear interest at 10%
and were due at various dates, with all currently being due.  Due to cash flow
difficulties the Company has been unable to repay these amounts.  The
outstanding balance at December 31, 2006 and 2005 is $23,000 and $23,000
respectively.

Long-Term  Debt
---------------

Long  term  debt  consisted  of  the  following  at  December  31:

<TABLE>
<CAPTION>
------------------------------------------------------------
                                             2006     2005
-------------------------------------------  -----  --------
<S>                                          <C>    <C>
Equipment note, 25% interest.                $   -  $ 2,484
Principal
-------------------------------------------  -----  --------
Third party notes, 10% interest
due in 2007                                      -   20,000
-------------------------------------------  -----  --------
                                                 -   22,484
-------------------------------------------  -----  --------
Less current portion                             -   (1,873)
-------------------------------------------  -----  --------
                                             $   -  $20,611
------------------------------------------------------------
</TABLE>

NOTE 4 - SHAREHOLDERS' EQUITY

Stock Options
-------------

During 1999, the Company adopted the Pagelab Network, Inc. Stock Option and
Stock Award Plan (the Plan).  The Plan permits the granting of incentive stock
options meeting the requirements of Section 422 of the Internal Revenue Code of
1986, as amended and nonqualified options, which do not meet the requirements of
Section 422.  A total of 2,500,000 shares have been reserved under the Plan.
All options will be granted at an exercise price not less than the fair market
value of the common stock on the grant


                                       27
<PAGE>
date according to the Plan provisions.  The options granted to participants
owning more than 10 percent of the Company's outstanding voting stock must be
granted at an exercise price not less than 110 percent of fair market value of
the common stock on that date.  The options shall expire on the date determined
by the Board of Directors, but not greater than 10 years from the grant date. No
options were granted under the Plan during the years ended December 31, 2006 and
2005.

     A summary of outstanding options under the Plan as of December 31 is as
follows:

<TABLE>
<CAPTION>
                                2006                          2005
------------------------------------------------------------------------------
                                   Weighted                      Weighted
                               Average Exercise              Average Exercise
                     Shares          Price         Shares          Price
------------------  ---------  -----------------  ---------  -----------------
<S>                 <C>        <C>                <C>        <C>
Outstanding at       142,500   $             .91   407,600   $     .75 to 1.10
beginning of yr
------------------  ---------  -----------------  ---------  -----------------
Canceled/Expired    (130,000)  $             .75  (265,100)  $            1.10
------------------  ---------  -----------------  ---------  -----------------
Outstanding at end    12,500   $             .83   142,500   $             .91
of year
------------------------------------------------------------------------------
</TABLE>

All options were fully vested and have a have weighted average remaining
contractual life of 1.02 years at December 31, 2006.

Stock Warrants
--------------

The Company issued detachable warrants with the sale of common stock to purchase
654,800 shares of common stock in 2002. Warrants for 300,000 shares expired in
June 2004 and had an exercise price of $0.10 per share. Warrants for 354,800
shares of common stock expire from June 2005 to June 2017, become exercisable
when the Company's share price reaches $1.00 per share and have an exercise
price of $0.25 per share.

The Company issued detachable warrants with the sale of common stock to purchase
60,000 shares of common stock in December 2003. The warrants have a three year
life and an exercise price of $0.25 per share. The Company issued warrants
related to the sale of common stock during 2004. The warrants for 2,275,500
shares expired in 2006 and had an exercise an average exercise price of $0.13
per share.

A summary of outstanding warrants as of December 31 is as follows:

<TABLE>
<CAPTION>
                                            2006                    2005
                                  -----------------------  ----------------------
                                                Weighted-               Weighted-
                                                Average                 Average
                                                Exercise                Exercise
                                    Shares       Price       Shares      Price
                                  -----------  ----------  ----------  ----------
<S>                               <C>          <C>         <C>         <C>
Outstanding at beginning of year   2,376,500   $      .16  3,235,200   $      .18
Granted                                  - -          - -    101,500          .40
Exercised                                - -          - -        - -          - -
Canceled/Expired                  (2,275,500)         .13   (960,200)         .23
                                  -----------  ----------  ----------  ----------
Outstanding at end of year           101,000   $      .16  2,376,500   $      .16
                                  ===========  ==========  ==========  ==========
</TABLE>

All warrants were fully vested and have a have weighted average remaining
contractual life of 1.13 years at December 31, 2006.


                                       28
<PAGE>
NOTE 5 - INCOME TAXES

<TABLE>
<CAPTION>
                         2006              2005
------------------------------------------------------
                    Amount      %      Amount      %
----------------  ----------  -----  ----------  -----
<S>               <C>         <C>    <C>         <C>
Expected Federal  $(118,300)  (34%)  $(157,800)  (34%)
----------------  ----------  -----  ----------  -----
Expected State      (13,900)   (4%)    (18,600)   (4%)
----------------  ----------  -----  ----------  -----
Valuation
allowance           132,200     38%    176,400     38%
----------------  ----------  -----  ----------  -----
Total             $       -     - %  $       -     - %
----------------  ----------  -----  ----------  -----
</TABLE>

The Company has a net operating loss carry forward totaling approximately
$4,280,000 at December 31, 2006 that can be used to offset future taxable
income.  Due to the uncertainty of the Company's future taxable income, a
valuation allowance has been established. The following is a listing of the
Company's net deferred tax assets as of December 31:

<TABLE>
<CAPTION>
--------------------------------------------------------------
                                        2006          2005
----------------------------------  ------------  ------------
<S>                                 <C>           <C>
Deferred tax asset relating to net  $ 1,349,200   $ 1,217,000
operating loss carry-forwards
----------------------------------  ------------  ------------
Valuation allowance                  (1,349,200)   (1,217,000)
----------------------------------  ------------  ------------
Net deferred tax asset                        0             0
--------------------------------------------------------------
</TABLE>

At December 31, 2006, the Company has federal net operating loss carry forwards
as follows:

<TABLE>
<CAPTION>
                   Federal
----------------------------
<S>               <C>
2019                  49,000
----------------  ----------
2020               1,010,000
----------------  ----------
2021               1,051,000
----------------  ----------
2022                 778,000
----------------  ----------
2023                 300,000
----------------  ----------
2024                 280,000
----------------  ----------
2025                 464,000
----------------  ----------
2026                 348,000
----------------  ----------
                  $4,280,000
----------------------------
</TABLE>

NOTE 6- STOCK BASED COMPENSATION

Effective January 1, 2006, the Company adopted the provisions of Statement of
          ---------------  -----------
Financial Standards No. 123 (revised 2004), Share-Based Payment ("SFAS No. 123
(R)"), which is a revision of SFAS No. 123. SFAS No. 123 (R) supersedes APB
Opinion No. 25, Accounting for Stock Issued to Employees, and amends FASB
Statement No. 95, Statement of Cash Flows. Generally, the approach to accounting
for share-based payments in SFAS No. 123(R) is similar to the approach described
in SFAS No. 123. However, SFAS No. 123(R) requires all new share-based payments
to employees, including grants of employee stock options, to be recognized in
the financial statements based on their fair values. Pro forma disclosure of the
fair value of new share-based payments is no longer an alternative to financial
statement recognition.

Prior to 2006, the Company accounted for its employee stock option plans under
               -----------
the intrinsic value method, in accordance with the provisions of Accounting
Principles Board ("APB") Opinion No. 25, "Accounting for Stock Issued to
Employees", and related interpretations. Compensation expense related to the
granting of employee stock options is recorded over the vesting period only, if,


                                       29
<PAGE>
on the date of grant, the fair value of the underlying stock exceeds the
option's exercise price. The Company had adopted the disclosure-only
                         -----------
requirements of SFAS No. 123, "Accounting for Stock-Based Compensation", which
allowed entities to continue to apply the provisions of APB No. 25 for
transactions with employees and provide pro forma net income and pro forma
income per share disclosures for employee stock grants made as if the fair value
based method of accounting in SFAS No. 123 had been applied to these
transactions.

NOTE 7 - SUPPLEMENTAL CASH FLOWS INFORMATION
Supplemental disclosure of cash flow information.

<TABLE>
<CAPTION>
                                       2006      2005
--------------------------------------------------------
<S>                                 <C>        <C>
Cash paid during year for interest  $       -  $     300
----------------------------------  ---------  ---------

----------------------------------  ---------  ---------
Liabilities                         $       -  $       -
----------------------------------  ---------  ---------
Cash paid during year for income    $       -  $       -
tax
--------------------------------------------------------
</TABLE>

NOTE 8 - LEASE

The Company rents its offices under a month to month lease.  Rent expense was
$19,748 in 2006 and $43,934 in 2005.

NOTE 10 - RECENT ACCOUNTING PRONOUNCEMENTS
          --------------------------------

In February 2006, the FASB issued SFAS No. 155, Accounting for Certain Hybrid
Financial Instruments-an amendment of FASB Statements No. 133 and 140, to
simplify and make more consistent the accounting for certain financial
instruments. SFAS No. 155 amends SFAS No. 133, Accounting for Derivative
Instruments and Hedging Activities, to permit fair value remeasurement for any
hybrid financial instrument with an embedded derivative that otherwise would
require bifurcation, provided that the whole instrument is accounted for on a
fair value basis. SFAS No. 155 amends SFAS No. 140, Accounting for the
Impairment or Disposal of Long-Lived Assets, to allow a qualifying
special-purpose entity to hold a derivative financial instrument that pertains
to a beneficial interest other than another derivative financial instrument.
SFAS No. 155 applies to all financial instruments acquired or issued after the
beginning of an entity's first fiscal year that begins after September 15, 2006,
with earlier application allowed. This standard is not expected to have a
significant effect on the Company's future reported financial position or
results of operations.

In March 2006, the FASB issued SFASNo. 156, "Accounting for Servicing of
Financial Assets, an amendment of FASB Statement No. 140, Accounting for
Transfers and Servicing of Financial Assets and Extinguishments of Liabilities".
This statement requires all separately recognized servicing assets and servicing
liabilities be initially measured at fair value, if practicable, and permits for
subsequent measurement using either fair value measurement with changes in fair
value reflected in earnings or the amortization and impairment requirements of
Statement No. 140. The subsequent measurement of separately recognized servicing
assets and servicing liabilities at fair value eliminates the necessity for
entities that manage the risks inherent in servicing assets and servicing
liabilities with derivatives to qualify for hedge accounting treatment and
eliminates the characterization of declines in fair value as impairments or
direct write-downs. SFAS No. 156is effective for an entity's first fiscal year
beginning after September 15, 2006.This adoption of this statement is not
expected to have a significant effect on the Company's future reported financial
position or results of operations.


                                       30
<PAGE>
In June 2006, the Financial Accounting Standards Board ("FASB") issued FASB
Interpretation No. 48, "Accounting for Uncertainty in Income Taxes"  ("FIN 48").
FIN 48 clarifies the accounting for uncertainty in income taxes recognized in
the Company's financial statements in accordance with FASB Statement No. 109
-----------
"Accounting for Income Taxes."  FIN 48 also prescribes a recognition threshold
and measurement attribute for the financial statement recognition and
measurement of a tax position taken or expected to be taken in a return, as well
as guidance on derecognition, classification, interest and penalties and
financial statement reporting disclosures. FIN 48 is effective for the Company
                                                                   -----------
on January 1, 2007. Based on the Company's evaluation and analysis, FIN 48 is
   ---------------           -------------
not expected to have a material impact on the Company's  financial statements.
                                          -------------

In June 2006, the Emerging Issues Task Force ("EITF") ratified EITF Issue 06-3,
How Taxes Collected From Customers and Remitted to Governmental Authorities
Should Be Presented in the Income Statement (That Is, Gross versus Net
Presentation). A consensus was reached that entities may adopt a policy of
presenting taxes in the income statement on either a gross or net basis. An
entity should disclose its policy of presenting taxes and the amount of any
taxes presented on a gross basis should be disclosed, if significant. The
guidance is effective for periods beginning after December 15, 2006. We present
                                                  -----------------
revenues net of taxes. EITF 06-3 will not impact the method for recording these
sales taxes in our financial statements.

In September 2006, the FASB issued FASB Statement No. 157, "Fair Value
Measurements" ("FAS 157"), which addresses how companies should measure fair
value when they are required to use a fair value measure for recognition or
disclosure purposes under generally accepted accounting principles. The FASB
believes that the new standard will make the measurement of fair value more
consistent and comparable and improve disclosures about those measures. FAS 157
is effective for fiscal years beginning after November 15, 2007.   The Company
                                              -----------------    -----------
is currently evaluating the requirements and impact of FAS 157 on the Company's
                                                                  -------------
consolidated financial statements, and will adopt the provisions on January 1,
                                                                    ----------
2008. FAS 157 is not expected to have a material impact on the Company's
                                                           -------------
financial statements.

In September 2006, the SEC issued Staff Accounting Bulletin 108 ("SAB 108"),
which expresses the Staff's views regarding the process of quantifying financial
statement misstatements. The bulletin was effective at fiscal year end 2006. The
implementation of this bulletin had no impact on the Company's results of
                                                 -------------
operations, cash flows or financial position.


                                       31