**AMERICAN ENTERPRISE CORPORATION(A DEVELOPMENT STAGE COMPANY)(FORMERLY AMERICAN ENTERPRISE.COM CORPORATION)_____________________________________CONSOLIDATED FINANCIAL STATEMENTStogether withINDEPENDENT AUDITORS' REPORTDECEMBER 31, 2002AMERICAN ENTERPRISE CORPORATION (A DEVELOPMENT STAGE COMPANY)(FORMERLY AMERICAN ENTERPRISE.COM CORPORATION)CONSOLIDATED FINANCIAL STATEMENTSDECEMBER 31, 2002TABLE OF CONTENTS**

                                                                                                                                              **  PAGE**INDEPENDENT AUDITORS' REPORT                                                                                             1CONSOLIDATED FINANCIAL STATEMENTS -BALANCE SHEET                                                                                                                          2STATEMENT OF OPERATIONS                                                                                                      3STATEMENT OF CASH FLOWS                                                                                                      4STATEMENT OF STOCKHOLDERS' (DEFICIT)                                                                                  5NOTES TO CONSOLIDATED FINANCIAL STATEMENTS                                                                6-12

**INDEPENDENT AUDITORS' REPORT**

To the Board of Directors and StockholdersAmerican Enterprise Corporation (A Development Stage Company)Tampa, FloridaWe have audited the accompanying consolidated balance sheet of AmericanEnterprise Corporation (formerly American Enterprise.Com Corporation) as ofDecember 31, 2002, and the related consolidated statements of operations, cashflows and stockholders' (deficit) for the period then ended. These consolidatedfinancial statements are the responsibility of the Company's management. Ourresponsibility is to express an opinion on these consolidated financialstatements based on our audit.We conducted our audit in accordance with auditing standards generally acceptedin the United States of America. Those standards require that we plan andperform the audit to obtain reasonable assurance about whether the consolidatedfinancial statements are free of material misstatement. An audit includesexamining, on a test basis, evidence supporting the amounts and disclosures inthe consolidated financial statements. An audit also includes assessing theaccounting principles used and significant estimates made by management, as wellas evaluating the overall consolidated financial statement presentation. Webelieve that our audit provides a reasonable basis for our opinion.In our opinion, the consolidated financial statements referred to above presentfairly in all material respects, the financial position of American EnterpriseCorporation at December 31, 2002, and the result of its operations, and its cashflows for the period then ended in conformity with accounting principlesgenerally accepted in the United States of America.As discussed in Note A, the Company has been in the development stage since itsinception on February 22, 2002. Realization of a major portion of the assets isdependent upon the Company's ability to meet its future financing requirements,and the success of future operations. These factors raise substantial doubtabout the Company's ability to continue as a going concernBAUMANN, RAYMONDO & COMPANY, P.A.Tampa, Florida January 31, 2003

**AMERICAN ENTERPRISE CORPORATION(A DEVELOPMENT STAGE COMPANY)(FORMERLY AMERICAN ENTERPRISE.COM CORPORATION)BALANCE SHEETDECEMBER 31, 2002ASSETS**

**CURRENT ASSETS**

|   Accounts receivable, net of zero    allowance | $             5223 |
|------------------------------------------------------|-----------------------------------------------------------------|
|                                                      |                                                                 |
| **TOTAL ASSETS**                                     | $             5223 |

**LIABILITIES AND STOCKHOLDERS' (DEFICIT)**

| ** CURRENT LIABILITIES**                                                                                                                                                                      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 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|   Accounts payable                                                                                                                                                                            | $      263,916                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|   Accrued liabilities                                                                                                                                                                         |              82,229                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   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                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
|     Total current liabilities                                                                                                                                                       |            346,145                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              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                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| **STOCKHOLDERS' (DEFICIT)**                                                                                                                                                                        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  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| Common stock, no par value, 100,000,000   authorized, 19,982,965 shares issued and     outstanding            | 1,134,377
     Preferred stock, no par value, 1,000,000   authorized, 368,815 shares issued and    outstanding -
 Deficit accumulated during the development state   (1,475,299)      Total stockholders' (deficit)$             5223
 

The accompanying notes are an integral partof these financial statements.2**AMERICAN ENTERPRISE CORPORATION(A DEVELOPMENT STAGE COMPANY)(FORMERLY AMERICAN ENTERPRISE.COM CORPORATION)STATEMENT OF OPERATIONSFOR THE PERIOD FEBRUARY 22, 2002 (DATE OF INCEPTION)TO DECEMBER 31, 2002**
**NET REVENUES**$           11,555  **COST OF GOODS SOLD**              4,316  **GROSS PROFIT**              7,239  **OPERATING EXPENSES**   Contract labor expense904,049  Payroll expense265,711  Professional fees59,872  Web hosting fees39,339  Travel expense36,222  Advertising expense26,877  Meals and entertainment expense26,346  Telephone expense20,090  Rent expense19,116  Web development expense16,561  Office supplies expense16,454  Other miscellaneous expense            51,901  **TOTAL OPERATING EXPENSES**     1,482,538  **LOSS BEFORE INCOME TAXES**(1,475,299)  **INCOME TAX PROVISION**                      -  **NET LOSS**$ (1,475,299)  **LOSS PER COMMON SHARE**   Basic$            (0.07)    Fully Diluted$            (0.04)  **WEIGHTED AVERAGE NUMBER OF  COMMON SHARES OUTSTANDING**     Basic   19,982,965    Fully diluted   36,251,395
The accompanying notes are an integral partof these financial statements.3**AMERICAN ENTERPRISE CORPORATION(A DEVELOPMENT STAGE COMPANY)(FORMERLY AMERICAN ENTERPRISE.COM CORPORATION)STATEMENT OF CASH FLOWSFOR THE PERIOD FEBRUARY 22, 2002 (DATE OF INCEPTION)TO DECEMBER 31, 2002 **
** CASH FLOWS FROM OPERATING ACTIVITIES**     Net (loss)$  (1,475,299)    Adjustments to reconcile net loss to cash    (used) in operating activities     Common stock issued for services64,708    (Increase) decrease in assets:       Accounts receivable(5223)    Increase (decrease) in liabilities:       Accounts payable263,916    Accrued liabilities             82,228        Total adjustments           405,629      Net cash (used) in operating    activities   (1,069,670)  **CASH FLOWS FROM FINANCING ACTIVITIES**     Capital contributions18,000  Proceeds from issuance of common stock     1,051,670  **NET INCREASE (DECREASE) IN CASH**-  **CASH, BEGINNING OF THE PERIOD**                      -  **CASH, END OF THE PERIOD**$                    -
The accompanying notes are an integral partof these financial statements.4**AMERICAN ENTERPRISE CORPORATION(A DEVELOPMENT STAGE COMPANY)(FORMERLY AMERICAN ENTERPRISE.COM CORPORATION)STATEMENT OF STOCKHOLDERS' (DEFICIT)FOR THE PERIOD FEBRUARY 22, 2002 (DATE OF INCEPTION) TO DECEMBER 31, 2002**

**                                       COMMON STOCK**
**PREFERRED STOCK**
**ADDITIONAL PAID-IN**
**DEFICIT ACCUMULATED DURING    DEVELOPMENT** **SHARES****VALUE****SHARES****VALUE**** CAPITAL**** STAGE****TOTAL****BALANCE FEBRUARY 22, 2002**-$                 --$               -$                     -$                        -$                      -Common stock  issued for cash upon incorporation11,373,64211,374--363,295 374,669Common stock  issued at $0.097 per share4,115,9904116--395,634-399,750Common stock issued at $0.10  per share600,000600--59,400-60,000Common stock issued at $0.20 per share1,088,2501,088--216,164-217,250Common stock  issued for services at $0.10 per share467,083467--46,241-46,708Common stock issued for services at $0.20 per share90,00090--17,910-18,000Capital contribution Amounts paid by shareholder on  behalf of the company----18,000-18,000Issuance of common shares pursuant to exchange of  preacquisition shares 2,250,0001,116,644368,815-(1,116,644)--Net loss                    -                    -                  -                  -                       -            (1,475,299)   (1,475,299)**BALANCE DECEMBER 31, 2002**  19,982,965$  1,134,377     368,815$                -$                     -$          (1,475,299)$    (340,922)
The accompanying notes are an integral partof these financial statements.5**AMERICAN ENTERPRISE CORPORATION(A DEVELOPMENT STAGE COMPANY)(FORMERLY AMERICAN ENTERPRISE.COM CORPORATION)NOTES TO FINANCIAL STATEMENTSDECEMBER 31, 2002**

**NOTE A - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES**This summary of significant accounting policies of American EnterpriseCorporation (the "Company") is presented to assist in understanding theCompany's financial statements. The financial statements and notes are therepresentation of the Company's management who is responsible for theirintegrity and objectivity. These accounting policies conform to accountingprinciples generally accepted in the United States of America consistentlyapplied in the preparation of the financial statements.Nature of OperationsAmerican Enterprise Corporation (formerly American Enterprise.Com, Corp.) wasorganized under the laws of the State of Florida in June 1994 under the nameNational Diagnostics, Inc. During 1998, the Company changed its corporate nameto American Enterprise.Com, Corporation. The Company's mission is to consolidate, through acquisition, merger and jointventure, Application Service Provider ("ASP") delivered software and services.The Company initially intends to consolidate ASPs relating to the healthcareindustry. Once acquired, the Company intends to organize the healthcare andrelated ASP delivered software and services into five distinct categories, andto act as a hub through which users exchange information, conduct transactionsand communicate in real-time.The Company's sole operating subsidiary, HealthCentrics, Inc., was organizedunder the laws of the State of Florida on February 22, 2002. HealthCentrics,Inc. has been in the development stage since its formation on February 22, 2002,and as such has devoted most of its efforts since inception to developing itsbusiness plan, issuing common stock, raising capital, establishing itsaccounting systems and other administrative functions. HealthCentrics, Inc. wasformed to organize, develop and market a suite of Web-based medical accounting,billing and management information services to third party billing companies,practice management and healthcare provider organizations.Reverse Merger Method of AccountingFollowing the acquisition, of HealthCentrics, Inc., the Company dissolved theHealthCentrics, Inc. Board of Directors and replaced HealthCentrics, Inc. seniormanagement. The former stockholders of HealthCentrics, Inc. were issuedapproximately 89% of the outstanding shares of American Enterprise Corporation'sno par value common stock. In accordance with accounting principles generallyaccepted in the United States of America, the Company's acquisition ofHealthCentrics, Inc. has been accounted for as a reverse merger. As a result,HealthCentrics, Inc. has been treated as the acquiring entity and AmericanEnterprise Corporation has been treated as the acquired entity for accountingpurposes. 6

**AMERICAN ENTERPRISE CORPORATION(A DEVELOPMENT STAGE COMPANY)(FORMERLY AMERICAN ENTERPRISE.COM CORPORATION)NOTES TO FINANCIAL STATEMENTSDECEMBER 31, 2002**

**NOTE A - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)**Reverse Merger Method of Accounting (Continued)The historical financial statements of HealthCentrics, Inc. have become thehistorical financial statements of American Enterprise Corporation in connectionwith the acquisition. Similarly, the historical equity and retained deficit ofHealthCentrics, Inc. prior to the acquisition have been retroactively restatedfor the equivalent number of shares issued in connection with the acquisition.The balance sheet reflects the financial position of American EnterpriseCorporation at December 31, 2002. The related statements of operations, cashflow and stockholders' (deficit) reflect the operations of American EnterpriseCorporation for the period ended December 31, 2002.Principles of ConsolidationThe consolidated financial statements include the accounts of AmericanEnterprise Corporation (formerly American Enterprise.Com Corp.) and its whollyowned subsidiary HealthCentrics, Inc. All significant intercompany accounts andtransactions have been eliminated. Revenue RecognitionThe Company records revenue from the sale of its Web-based medical accounting,billing and management information services on the accrual basis of accounting.The services billed include a monthly user fee and a per claim fee. All activityfor the month is billed on the last day of the month and recognized as revenueat that time. Basis of AccountingThe Company maintains its financial records and financial statements on theaccrual basis of accounting. The accrual basis of accounting provides formatching of revenues and expenses.Cash and Cash EquivalentsFor purposes of the statement of cash flows, the Company considers amounts heldby financial institutions and short-term investments with an original maturityof 90 days or less to be cash and cash equivalents.Accounts ReceivableThe Company extends credit to its customers in the normal course of business.Receivables are recorded at there net realizable value, therefore, no allowancefor uncollectible accounts is deemed necessary at December 31, 2002. 

7

**AMERICAN ENTERPRISE CORPORATION(A DEVELOPMENT STAGE COMPANY)(FORMERLY AMERICAN ENTERPRISE.COM CORPORATION)NOTES TO FINANCIAL STATEMENTSDECEMBER 31, 2002**

**NOTE A - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)**Use of EstimatesThe preparation of financial statements in conformity with generally acceptedaccounting principles requires management to make estimates and assumptions thataffect the reported amounts of assets and liabilities and disclosure ofcontingent assets and liabilities at the date of the financial statements andthe reported amounts of revenues and expenses during the reporting period.Actual results could differ from those estimates.Advertising CostsAdvertising costs are expensed as incurred.Income Taxes The Company records its federal and state tax liability in accordance withFinancial Accounting Standards Board Statement No. 109 "Accounting for IncomeTaxes". The deferred taxes payable are recorded for temporary differencesbetween the recognition of income and expenses for tax and financial reportingpurposes, using current tax rates. Deferred assets and liabilities represent thefuture tax consequences of those differences, which will either be taxable ordeductible when the assets and liabilities are recovered or settled.Since its inception, the Company has accumulated a loss of $1,475,299 for incometax purposes, which can be used to offset future taxable income through 2022.                  Future tax benefit                                                       $ 442,590                   Valuation allowance                                                     (442,590)                   Future tax benefit                                                      $          - As of December 31, 2002, no deferred taxes were recorded in the accompanyingfinancial statements.**NOTE B - AMENDMENT OF ARTICLES OF INCORPORATION**During November 2002 the Company restated its Articles of Incorporation, changedits name and adopted a new set of by-laws.**NOTE C - CAPITAL STOCK**Common StockThe Company is authorized to issue 100 million shares of common stock with nopar value. As of December 31, 2002, there were 19,982,965 shares issued andoutstanding. Of this amount, 17,732,965 are restricted as to the sale to otherparties as of December 31, 2002. Each share of common stock has one vote on allmatters acted upon by the shareholders.

8**AMERICAN ENTERPRISE CORPORATION(A DEVELOPMENT STAGE COMPANY)(FORMERLY AMERICAN ENTERPRISE.COM CORPORATION)NOTES TO FINANCIAL STATEMENTSDECEMBER 31, 2002**

**NOTE C - CAPITAL STOCK (CONTINUED)**Preferred StockThe Company is authorized to issue one million shares of preferred stock with nopar value. As of December 31, 2002, there were 368,815 preferred shares issuedand outstanding to one holder of record.The holder(s) of preferred shares are entitled to receive non-cumulativedividends not exceeding $0.10 per share, when and as declared by the Board ofDirectors. In the event of any liquidation, dissolution or winding down of theCompany, either voluntary or involuntary, the holder(s) of each preferred shareshall be entitled to be paid an amount equal to $4.00 per share. In the eventthat the Company authorizes the redemption of all or any preferred shares, theredemption price shall be $4.30 per share.The holder(s) of preferred shares have a right to cast eight votes per preferredshare, as a separate class on any matter properly brought before theshareholders of the Company. Preferred shareholders also have the right to electfifty percent of the authorized members of the Board of Directors. The holder(s) of preferred shares may convert those shares at any time intocommon shares at the ratio of 44.11 common shares to one preferred share. Onceissued, the rights and privileges of the preferred stock will cease. Stock IssuancesDuring 2002 the Company issued common shares for services: a) 90,000 sharesvalued at $18,000 ($0.20 per share) and b) 467,083 shares valued at $46,708($0.10 per share).The Company also issued common shares for cash in the following denominations:a) 11,373,642 shares issued during incorporation for $374,669, b) 4,115,990shares issued for $399,750 ($0.097 per share), c) 600,000 shares issued for$60,000 ($0.10 per share), and d) 1,086,250 shares issued for $217,250 ($0.20per share).The Company's majority shareholder paid fees on behalf of the Company in theamount of $18,000. This amount was recorded as a capital contribution. **NOTE D - MERGER AND ACQUISITION**On December 6, 2002, the Company entered into a share for share exchangeagreement to trade all the outstanding common stock of HealthCentrics, Inc. forAmerican Enterprise Corporation's common stock.

9**AMERICAN ENTERPRISE CORPORATION(A DEVELOPMENT STAGE COMPANY)(FORMERLY AMERICAN ENTERPRISE.COM CORPORATION)NOTES TO FINANCIAL STATEMENTSDECEMBER 31, 2002**

**NOTE E - RELATED PARTY TRANSACTIONS**MRX - NET.com License AgreementThe Company has an irrevocable perpetual license agreement with a companyaffiliated with certain of its directors/shareholders. The license agreementgrants an irrevocable, perpetual license for any and all Intellectual PropertyRights owned or otherwise assertable by the licensor to use the licensedmaterials. The licensed materials consist of a suite of web-native and browser-basedpractice management applications and include all HTML, XML, other Source Code,Object Code, database architectures and system documentation related to theMedBillRx medical billing and practice management application, and ComplyMD, aphysician monitoring program to meet compliance issues, as well as any rightsthe licensor has to SnaPPnet, a credentialing system.The terms of the license agreement stipulate a one-time license fee plus apercentage of the gross revenues derived from the use of the licensed materials.The Company held a secured note from the licensor that was assigned to it fromcertain shareholders/directors of the Company. The Company has forgiven the noteas payment for the one-time license fee and all future royalties. The basis ofthis note to the Company is considered to be zero, and consequently there havebeen no amounts booked to the financial statements as a result of thistransaction. XBZ Consulting AgreementThe Company entered into a consulting agreement in April 2002 with a companyaffiliated with certain of its directors/shareholders. This agreement requiredservices to be provided by the consulting firm consisting of technical andarchitectural support, design and development of the Company's products andservices. The fees for these services were $10,000 per month plus expensesapproved by the Company in advance, for a term of one year, automaticallyrenewable upon mutual consent of the parties. This agreement was cancelled inDecember 2002 by the mutual consent of both parties.At December 31, 2002, the Company owed $12,000 to this company. This amount isincluded in accounts payable.EliteCorp Consulting AgreementThe Company entered into a consulting agreement in 2002 with a companyaffiliated with certain of its directors/shareholders. This agreement requiredthose services generally performed by a chief executive officer to be providedto the Company by the consulting firm. The fees for these services were $11,000per month plus expenses approved by the Company in advance, for a term of oneyear, automatically renewable upon mutual consent of the parties. 

10**AMERICAN ENTERPRISE CORPORATION(A DEVELOPMENT STAGE COMPANY)(FORMERLY AMERICAN ENTERPRISE.COM CORPORATION)NOTES TO FINANCIAL STATEMENTSDECEMBER 31, 2002**

**NOTE E - RELATED PARTY TRANSACTIONS (CONTINUED)**

Taina Broes Consulting AgreementThe Company entered into a consulting agreement in July 2002 with an individualaffiliated with certain of it directors/shareholders. This agreement requiredservices to be provided by the individual consisting of customer training anddeployments, customer support, system testing, and miscellaneous healthcaredomain consulting. The fees for these services were $25/hour plus expensesapproved by the Company in advance, for a term of one year, automaticallyrenewable upon mutual consent of the parties.Patient Care Technologies LeaseThe Company leased office space from a company affiliated with certain of itsdirectors/shareholders from February 1, 2002 through July 31, 2002 for an amountof $2,124 per month, which is a fair rental value for the space leased. On July 26, 2002, the Company renewed this lease for a six-month period for thesame amount as above. The lease commenced on August 1, 2002 and ends on January31, 2003. Upon maturity, the term may be extended for additional six-monthperiods with mutual written consent of both parties.Stock TransactionsOf the 17,732,965 common shares the Company issued to acquire HealthCentrics,Mr. John Stanton, Chief Executive Officer and Chairman of the Board ofDirectors, directly owned 8,601,299 (through Escape Velocity) or 48.5% and Mr.Chuck Broes, Vice-Chairman of the Board of Directors, owned 2,143,179 (throughTB, LLC) or 12.1%. On an equal basis with all other HealthCentrics shareholdersof record, Mr. Stanton and Mr. Broes received a share for share exchange in thecourse of the Company acquiring HealthCentrics. Mr. Stanton has provided the majority of the operating capital required by theCompany since formation. In total, Mr. Stanton has to date contributed in excessof $750,000 toward these purposes. **NOTE F - COMMITMENTS AND CONTINGENCIES**The Company entered into a three-year vendor agreement with MedUnite in October2002. Under the terms of the agreement, the Company may use the MedUniteelectronic transmission system, and MedUnite will provide the Company withtransaction processing and network services selected by the Company andelectronically transmit healthcare transactions to and/or from trading partners.The fees for these services are billed on a per transaction basis ($0.20 pertransaction, except for printing and mailing claims, which is $0.28 pertransaction). This agreement will be automatically extended for additionalsuccessive one-year periods unless either party notifies the other in writing atleast sixty days before expiration. 

11

**AMERICAN ENTERPRISE CORPORATION(A DEVELOPMENT STAGE COMPANY)(FORMERLY AMERICAN ENTERPRISE.COM CORPORATION)NOTES TO FINANCIAL STATEMENTSDECEMBER 31, 2002**

**NOTE G - NON-CASH TRANSACTIONS**In connection with the acquisition of HealthCentrics, Inc., American EnterpriseCorporation issued 17,732,965 shares of its no par value common stock inexchange for 100% of the outstanding common stock of that company. The Company issued 557,083 shares of common stock, with a value of $64,708, inexchange for services.**NOTE H - SOFTWARE DEVELOPMENT COSTS**Statement of Financial Accounting Standards No. 86 states that internallydeveloped software costs should be expensed until technological feasibility hasbeen reached, at which point costs should be capitalized. Technologicalfeasibility has been reached once a design program has been completed, or aworking model has been produced. At December 31, 2002, the Company had not yetreached technological feasibility and, therefore, all costs associated with thedevelopment of software has been expensed.126  |