---

UNITED STATESSECURITIES AND EXCHANGE COMMISSIONWASHINGTON, D.C.
20549

FORM 10-Q

[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2008

[   ]TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _________to_________.

EWRX INTERNET SYSTEMS, INC.(Exact name of registrant as specified in Charter

|NEVADA                          | 000-27195             | 98-0117139                       
|------------------------------- | --------------------- | ---------------------------------
|(State or other jurisdiction of | (Commission File No.) | (IRS Employee Identification No.)
|incorporation or organization)  |                       |                                  

4950 Yonge St. Suite 910, Toronto, Ontario, Canada,M2N 6K1(Address of Principal Executive Offices)

(416) 298-9606 
  (Issuer
Telephone number)

(Former Name or Former Address if Changed Since Last
Report)

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

Indicate by check mark whether the registrant is a large
accelerated filer, an accelerated filer, a non-accelerated filer or a smaller
reporting company filer. See definition of accelerated filer and large
accelerated filer in Rule 12b-2 of the Exchange Act (Check one):

|Large accelerated filer [ ]                   | Accelerated filer [ ]        
|--------------------------------------------- | -----------------------------
|Non-accelerated filer [ ]                     | Smaller reporting company [X]
|(Do not check if a smaller reporting company) |                              

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

State the number of shares outstanding of each of the issuers
classes of common equity, as of as of June 30, 2008 was: 100,000,000

1

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EWRX INTERNET SYSTEMS, INC.FORM
10-Q

June 30, 2008

TABLE OF CONTENTS

|PART I FINANCIAL
      INFORMATION
|-----------------------------------
|                                   
|Item 1.                            
|Item 2.                            
|Item 3.                            
|Item 4T.                           
|                                   
|PART II OTHER INFORMATION         
|                                   
|Item 1.                            
|Item 2.                            
|Item 3.                            
|Item 4.                            
|Item 5.                            
|Item 6.                            
|                                   
|SIGNATURES                         

2

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PART 1 - FINANCIAL INFORMATION

Item 1. Financial Statements

3

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EWRX INTERNET SYSTEMS INC 
  (A Development Stage Company)

FINANCIAL STATEMENTS

JUNE 30, 2008

---

EWRX INTERNET SYSTEMS INC 
  (A Development Stage Company)

CONTENTS

|                                                                                                                                                                                                                              | Page     
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ---------
|                                                                                                                                                                                                                              |          
|CONDENSED
        BALANCE SHEETS AS OF JUNE 30, 2008 (UNAUDITED) AND AS OF DECEMBER 31,
        2007                                                                                                                          | F-1      
|                                                                                                                                                                                                                              |          
|CONDENSED
        STATEMENTS OF OPERATIONS FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2008
        AND 2007 AND FOR THE PERIOD FROM JANUARY 1, 2002 (RE-ENTERING THE DEVELOPMENT
        STAGE) TO JUNE 30, 2008 (UNAUDITED) | F-2      
|                                                                                                                                                                                                                              |          
|CONDENSED
        STATEMENTS OF STOCKHOLDERS' DEFICIENCY FOR THE PERIOD JANUARY 1, 2002
        (RE-ENTERING THE DEVELOPMENT STAGE)THROUGH TO JUNE 30, 2008 (UNAUDITED)                                                       | F-3      
|                                                                                                                                                                                                                              |          
|CONDENSED
        STATEMENTS OF CASH FLOWS FOR THE SIX MONTHS PERIOD ENDED JUNE 30, 2008
        AND 2007 AND FOR THE PERIOD FROM JANUARY 1, 2002 (RE-ENTERING THE DEVELOPMENT
        STAGE) TO JUNE 30, 2008 (UNAUDITED)    | F-4      
|                                                                                                                                                                                                                              |          
|NOTES
        TO CONDENSED FINANCIAL STATEMENTS                                                                                                                                                                               | F-5 - F-9

---

|EWRX INTERNET SYSTEMS INC    
|-----------------------------
|(A Development Stage Company)
|                             
|Condensed Balance Sheets     

|                                                             |   | June 30     |   |   | December 31 |  
|------------------------------------------------------------ | - | ----------- | - | - | ----------- | -
|                                                             |   | **2008**    |   |   | **2007**    |  
|                                                             |   | (Unaudited) |   |   |             |  
|ASSETS                                                       |  
|                                                             |   |             |   |   |             |  
|Current Assets                                               |   |             |   |   |             |  
|Cash                                                         | $ | 6,724       |   | $ | 3,268       |  
|Prepaid expenses                                             |   | -           |   |   | 2,710       |  
|Total Current Assets                                         |   | 6,724       |   |   | 5,978       |  
|Total Assets                                                 | $ | 6,724       |   | $ | 5,978       |  
|                                                             |   |             |   |   |             |  
|                                                             |   |             |   |   |             |  
|                                                             |   |             |   |   |             |  
|                                                             |   |             |   |   |             |  
|LIABILITIES AND STOCKHOLDERS' DEFICIENCY                     |  
|                                                             |   |             |   |   |             |  
|Current Liabilities                                          |   |             |   |   |             |  
|Accounts payable                                             | $ | 99,158      |   | $ | 99,158      |  
|Accrued liabilities                                          |   | 16,945      |   |   | 18,079      |  
|Note payable - related party                                 |   | 7,657       |   |   | 13,048      |  
|Advances from director                                       |   | 144,667     |   |   | 122,147     |  
|Total Current Liabilities                                    |   | 268,427     |   |   | 252,432     |  
|                                                             |   |             |   |   |             |  
|Stockholders' Deficiency                                     |   |             |   |   |             |  
|Preferred stock, $0.01 par value, 500,000 shares authorized, |   |             |   |   |             |  
|none issued and outstanding                                  |   |             |   |   |             |  
|Common stock, $0.001 par value, 100,000,000 shares           |   |             |   |   |             |  
|authorized, shares issued and outstanding                    |   | 100,000     |   |   | 100,000     |  
|Additional paid - in capital                                 |   | 7,320,506   |   |   | 7,278,900   |  
|Accumulative deficit                                         |   | (8,496,144  | ) |   | (8,496,144  | )
|Earnings accumulated during the development stage            |   | 813,935     |   |   | 870,790     |  
|Total Stockholders' Deficiency                               |   | (261,703    | ) |   | (246,454    | )
|Total Liabilities and Stockholders' Deficiency               | $ | 6,724       |   | $ | 5,978       |  

F-1

(See accompanying notes to condensed financial statements)

---

|EWRX INTERNET SYSTEMS INC         
|----------------------------------
|(A Development Stage Company)     
|                                  
|Condensed Statements of Operations
|                                  
|"UNAUDITED"                       

|                                              |       |                                |       |       |                          |   |   |             |   |       |                 |   |   | **For the Period**   |  
|--------------------------------------------- | ----- | ------------------------------ | ----- | ----- | ------------------------ | - | - | ----------- | - | ----- | --------------- | - | - | -------------------- | -
|                                              |       |                                |       |       |                          |   |   |             |   |       |                 |   |   | from                 |  
|                                              |       |                                |       |       |                          |   |   |             |   |       |                 |   |   | **January 1, 2002**  |  
|                                              |       |                                |       |       |                          |   |   |             |   |       |                 |   |   | **(Re-entering the** |  
|                                              |       |                                |       |       |                          |   |   |             |   |       |                 |   |   | **Development**      |  
|                                              |       | **For the Three Months Ended** |       |       | For the Six Months Ended |   |   | Stage)      |  
|                                              |       | June 30                        |       |       | June 30                  |   |   | to June 30  |  
|                                              |       | 2008                           |       |       | 2007                     |   |   | 2008        |   |       | 2007            |   |   | 2008                 |  
|                                              |       |                                |       |       |                          |   |   |             |   |       |                 |   |   |                      |  
|Operating Expenses                            |       |                                |       |       |                          |   |   |             |   |       |                 |   |   |                      |  
|                                              |       |                                |       |       |                          |   |   |             |   |       |                 |   |   |                      |  
|Entertainment                                 | $     | 78                             |       | $     | -                        |   | $ | 576         |   | $     | -               |   | $ | 825                  |  
|In kind contribution                          |       |                                |       |       |                          |   |   |             |   |       |                 |   |   |                      |  
|services                                      |       | 15,000                         |       |       | -                        |   |   | 30,000      |   |       | -               |   |   | 102,000              |  
|Management fees                               |       | -                              |       |       | -                        |   |   | -           |   |       | -               |   |   | 15,000               |  
|Professional fees                             |       | 4,300                          |       |       | 1,118                    |   |   | 12,200      |   |       | 1,118           |   |   | 173,425              |  
|Foreign exchange                              |       |                                |       |       |                          |   |   |             |   |       |                 |   |   |                      |  
|gain (loss)                                   |       | 48                             |       |       | 1,248                    |   |   | (521        | ) |       | 1,245           |   |   | 7,361                |  
|Office and general                            |       | 1,716                          |       |       | 490                      |   |   | 2,640       |   |       | 953             |   |   | 31,536               |  
|Telephone                                     |       | 149                            |       |       | -                        |   |   | 298         |   |       | -               |   |   | 668                  |  
|Travel                                        |       | 30                             |       |       | -                        |   |   | 30          |   |       | -               |   |   | 30                   |  
|Salary and Wages                              |       | -                              |       |       | -                        |   |   | -           |   |       | -               |   |   | 28,000               |  
|Total Operating                               |       |                                |       |       |                          |   |   |             |   |       |                 |   |   |                      |  
|Expenses                                      |       | **21,321**                     |       |       | 2,856                    |   |   | 45,223      |   |       | 3,316           |   |   | 358,845              |  
|                                              |       |                                |       |       |                          |   |   |             |   |       |                 |   |   |                      |  
|Net Loss from                                 |       |                                |       |       |                          |   |   |             |   |       |                 |   |   |                      |  
|operations                                    |       | **(21,321**                    | **)** |       | (2,856                   | ) |   | (45,223     | ) |       | (3,316          | ) |   | (358,845             | )
|                                              |       |                                |       |       |                          |   |   |             |   |       |                 |   |   |                      |  
|Other (Expenses) Income                       |       |                                |       |       |                          |   |   |             |   |       |                 |   |   |                      |  
|                                              |       |                                |       |       |                          |   |   |             |   |       |                 |   |   |                      |  
|Interest expense                              |       | (5,057                         | )     |       | -                        |   |   | (11,632     | ) |       | -               |   |   | (66,776              | )
|Forgiveness of debt                           |       | -                              |       |       | -                        |   |   | -           |   |       | -               |   |   | 1,239,556            |  
|Total Other (Expenses)                        |       |                                |       |       |                          |   |   |             |   |       |                 |   |   |                      |  
|Income                                        |       | (5,057                         | )     |       | -                        |   |   | (11,632     | ) |       | -               |   |   | 1,172,780            |  
|                                              |       |                                |       |       |                          |   |   |             |   |       |                 |   |   |                      |  
|Net (loss) income                             | **$** | **(26,378**                    | **)** | **$** | (2,856                   | ) | $ | (56,855     | ) | **$** | (3,316          | ) | $ | 813,935              |  
|                                              |       |                                |       |       |                          |   |   |             |   |       |                 |   |   |                      |  
|Net (loss) income per                         |       |                                |       |       |                          |   |   |             |   |       |                 |   |   |                      |  
|Share - Basic and                             |       |                                |       |       |                          |   |   |             |   |       |                 |   |   |                      |  
|Diluted                                       | $     | -                              |       | $     | -                        |   | $ | -           |   | $     | -               |   |   |                      |  
|                                              |       |                                |       |       |                          |   |   |             |   |       |                 |   |   |                      |  
|Weighted average number of shares outstanding |       |                                |       |       |                          |   |   |             |   |       |                 |   |   |                      |  
|during the period - Basic and                 |       |                                |       |       |                          |   |   |             |   |       |                 |   |   |                      |  
|Diluted                                       |       | **100,000,000**                |       |       | 100,000,000              |   |   | 100,000,000 |   |       | **100,000,000** |   |   |                      |  

F-2

(See accompanying notes to condensed financial statements)

---

|EWRX INTERNET SYSTEMS INC                    
|---------------------------------------------
|(A Development Stage Company)                
|Statements of Stockholders' Deficiency       
|Years Ended June 30, 2008 and 2006, and the  
|Period from Re-entering the Development Stage
|(January 1, 2002) Through to June 30, 2008   



|"UNAUDITED"                     |  |             |  |   |         |  |   |            |   |   |             |   |   | Earnings    |   |   |               |  
|------------------------------- |  | ----------- |  | - | ------- |  | - | ---------- | - | - | ----------- | - | - | ----------- | - | - | ------------- | -
|                                |  |             |  |   |         |  |   |            |   |   |             |   |   | Accumulated |   |   |               |  
|                                |  |             |  |   |         |  |   | Additional |   |   |             |   |   | During the  |   |   | Total         |  
|                                |  | Number of   |  |   | Capital |  |   | Paid-in    |   |   | Accumulated |   |   | Development |   |   | Stockholders' |  
|                                |  | Shares      |  |   | Stock   |  |   | Capital    |   |   | Deficit     |   |   | Stage       |   |   | Deficiency    |  
|                                |  |             |  |   |         |  |   |            |   |   |             |   |   |             |   |   |               |  
|Balance, December 31, 2001      |  | 20,704,140  |  | $ | 20,704  |  | $ | 6,967,848  |   | $ | (8,496,144  | ) | $ | -           |   | $ | (1,507,592    | )
|Stock issued on                 |  |             |  |   |         |  |   |            |   |   |             |   |   |             |   |   |               |  
|settlement of debt              |  | 1,276,227   |  |   | 1,276   |  |   | 197,872    |   |   | -           |   |   | -           |   |   | 199,148       |  
|Stock issued on                 |  |             |  |   |         |  |   |            |   |   |             |   |   |             |   |   | -             |  
|Flashback purchase              |  | 3,700,000   |  |   | 3,700   |  |   | -          |   |   | -           |   |   | -           |   |   | 3,700         |  
|Stock issued on                 |  |             |  |   |         |  |   |            |   |   |             |   |   |             |   |   | -             |  
|private placement               |  | 445,900     |  |   | 446     |  |   | 44,144     |   |   | -           |   |   | -           |   |   | 44,590        |  
|Finance fee                     |  | -           |  |   | -       |  |   | (9,590     | ) |   | -           |   |   | -           |   |   | (9,590        | )
|Net loss                        |  | -           |  |   | -       |  |   | -          |   |   | -           |   |   | (71,799     | ) |   | (71,799       | )
|Balance, December 31, 2002      |  | 26,126,267  |  |   | 26,126  |  |   | 7,200,274  |   |   | (8,496,144  | ) |   | (71,799     | ) |   | (1,341,543    | )
|Stock issued on                 |  |             |  |   |         |  |   |            |   |   |             |   |   |             |   |   | -             |  
|settlement of debt              |  | 40,000,000  |  |   | 40,000  |  |   | -          |   |   | -           |   |   | -           |   |   | 40,000        |  
|Net loss                        |  | -           |  |   | -       |  |   | -          |   |   | -           |   |   | (19,342     | ) |   | (19,342       | )
|Balance, December 31, 2003      |  | 66,126,267  |  |   | 66,126  |  |   | 7,200,274  |   |   | (8,496,144  | ) |   | (91,141     | ) |   | (1,320,885    | )
|Stock issued on                 |  |             |  |   |         |  |   |            |   |   |             |   |   |             |   |   | -             |  
|settlement of debt              |  | 33,873,733  |  |   | 33,874  |  |   | (12,558    | ) |   | -           |   |   | -           |   |   | 21,316        |  
|Net income                      |  | -           |  |   | -       |  |   | -          |   |   | -           |   |   | 1,030,812   |   |   | 1,030,812     |  
|Balance, December 31, 2004      |  | 100,000,000 |  |   | 100,000 |  |   | 7,187,716  |   |   | (8,496,144  | ) |   | 939,671     |   |   | (268,757      | )
|Net loss                        |  | -           |  |   | -       |  |   | -          |   |   | -           |   |   | (19,163     | ) |   | (19,163       | )
|Balance, December 31, 2005      |  | 100,000,000 |  |   | 100,000 |  |   | 7,187,716  |   |   | (8,496,144  | ) |   | 920,508     |   |   | (287,920      | )
|Net income                      |  | -           |  |   | -       |  |   | -          |   |   | -           |   |   | 62,506      |   |   | 62,506        |  
|Balance, December 31, 2006      |  | 100,000,000 |  |   | 100,000 |  |   | 7,187,716  |   |   | (8,496,144  | ) |   | 983,014     |   |   | (225,414      | )
|In kind contribution            |  | -           |  |   | -       |  |   | 91,184     |   |   | -           |   |   | -           |   |   | 91,184        |  
|Net loss                        |  | -           |  |   | -       |  |   | -          |   |   | -           |   |   | (112,224    | ) |   | (112,224      | )
|Balance, December 31, 2007      |  | 100,000,000 |  | $ | 100,000 |  | $ | 7,278,900  |   | $ | (8,496,144  | ) | $ | 870,790     |   | $ | (246,454      | )
|In kind contribution - interest |  | -           |  |   | -       |  |   | 6,575      |   |   | -           |   |   | -           |   |   | 6,575         |  
|In kind contribution - services |  | -           |  |   | -       |  |   | 15,000     |   |   | -           |   |   | -           |   |   | 15,000        |  
|Net loss                        |  | -           |  |   | -       |  |   | -          |   |   | -           |   |   | (30,477     | ) |   | (30,477       | )
|Balance, March 31, 2008         |  | 100,000,000 |  |   | 100,000 |  |   | 7,300,475  |   |   | (8,496,144  | ) |   | 840,313     |   |   | (255,356      | )
|In kind contribution - interest |  | -           |  |   | -       |  |   | 5,031      |   |   | -           |   |   | -           |   |   | 5,031         |  
|In kind contribution - services |  | -           |  |   | -       |  |   | 15,000     |   |   | -           |   |   | -           |   |   | 15,000        |  
|Net loss                        |  | -           |  |   | -       |  |   | -          |   |   | -           |   |   | (26,378     | ) |   | (26,378       | )
|Balance, June 30, 2008          |  | 100,000,000 |  | $ | 100,000 |  | $ | 7,320,506  |   | $ | (8,496,144  | ) | $ | 813,935     |   | $ | (261,703      | )



F-3

(See accompanying notes to condensed financial statements)

---

|EWRX INTERNET SYSTEMS INC         
|----------------------------------
|(A Development Stage Company)     
|                                  
|Condensed Statements of Cash Flows
|                                  
|"UNAUDITED"                       

|                                                      |   |                          |   |   |            |   |   | Period from      |  
|----------------------------------------------------- | - | ------------------------ | - | - | ---------- | - | - | ---------------- | -
|                                                      |   |                          |   |   |            |   |   | January 1, 2002, |  
|                                                      |   |                          |   |   |            |   |   | (Re-entering the |  
|                                                      |   |                          |   |   |            |   |   | Development      |  
|                                                      |   | For the Six Months Ended |   |   | Stage)     |  
|                                                      |   | June 30                  |   |   | to June 30 |  
|                                                      |   |                          |   |   |            |   |   |                  |  
|                                                      |   | 2008                     |   |   | 2007       |   |   | 2008             |  
|                                                      |   |                          |   |   |            |   |   |                  |  
|Cash Flows from Operating Activities                  |   |                          |   |   |            |   |   |                  |  
|Net (loss) income                                     | $ | (56,855                  | ) | $ | (3,316     | ) | $ | 813,935          |  
|Adjustments to reconcile
      net income/loss to net |   |                          |   |   |            |   |   |                  |  
|cash
      used in operations                         |   |                          |   |   |            |   |   |                  |  
|-In
      kind contribution - services                |   | 30,000                   |   |   | -          |   |   | 102,000          |  
|-Imputed interest
      on loans                      |   | 11,606                   |   |   | -          |   |   | 30,790           |  
|-Expenses
      recovered                             |   | -                        |   |   | -          |   |   | (1,142,152       | )
|Changes in operating assets and
      liabilities     |   |                          |   |   |            |   |   |                  |  
|Increase/(Decrease) in accounts payable and           |   |                          |   |   |            |   |   |                  |  
|accruals                                              |   | -                        |   |   | -          |   |   | 9,519            |  
|Increase/(Decrease) in accrued liabilities            |   | (1,134                   | ) |   | -          |   |   | 16,945           |  
|Increase/(Decrease)
      in prepaid expenses         |   | 2,710                    |   |   | -          |   |   | -                |  
|Net Cash (Used in) Operating Activities               |   | (13,673                  | ) |   | (3,316     | ) |   | (168,963         | )
|                                                      |   |                          |   |   |            |   |   |                  |  
|Cash Flows from Financing Activities                  |   |                          |   |   |            |   |   |                  |  
|Proceeds from issuance of common
      stock          |   | -                        |   |   | -          |   |   | 38,700           |  
|Loans from related
      parties                      |   | -                        |   |   | -          |   |   | 66,462           |  
|Repayment of loans from related
      parties         |   | (5,391                   | ) |   | (55,048    | ) |   | (58,805          | )
|Advances from directors                               |   | 22,520                   |   |   | 58,697     |   |   | 129,330          |  
|Net Cash Provided by Financing Activities             |   | 17,129                   |   |   | 3,649      |   |   | 175,687          |  
|                                                      |   |                          |   |   |            |   |   |                  |  
|Net increase in cash                                  |   | 3,456                    |   |   | 333        |   |   | 6,724            |  
|                                                      |   |                          |   |   |            |   |   |                  |  
|Cash,beginning of period/year                         |   | 3,268                    |   |   | 270        |   |   | -                |  
|                                                      |   |                          |   |   |            |   |   |                  |  
|Cash, end of period/year                              | $ | 6,724                    |   | $ | 603        |   | $ | 6,724            |  
|                                                      |   |                          |   |   |            |   |   |                  |  
|                                                      |   |                          |   |   |            |   |   |                  |  
|                                                      |   |                          |   |   |            |   |   |                  |  
|Supplemental disclosure of cash flow information:     |   |                          |   |   |            |   |   |                  |  
|                                                      |   |                          |   |   |            |   |   |                  |  
|Cash paid for interest                                | $ | -                        |   | $ | 3,912      |   | $ | 36,476           |  

F-4

(See accompanying notes to condensed financial statements)

---

|EWRX INTERNET SYSTEMS INC              
|---------------------------------------
|(A Development Stage Company)          
|                                       
|Notes to Condensed Financial Statements
|June 30, 2008                          

|1. | Summary of Significant Accounting Policies
        and Organization
|-- | -------------------------------------------------------------------
|   |                                                                    
|   | (A)                                                                
|   |                                                                    
|   |                                                                    
|   |                                                                    
|   |                                                                    
|   |                                                                    
|   |                                                                    
|   |                                                                    
|   |                                                                    
|   |                                                                    
|   | (B)                                                                
|   |                                                                    
|   |                                                                    
|   |                                                                    
|   | (C)                                                                
|   |                                                                    
|   |                                                                    
|   |                                                                    
|   | (D)                                                                
|   |                                                                    
|   |                                                                    
|   |                                                                    
|   | (E)                                                                
|   |                                                                    
|   |                                                                    

F-5

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|EWRX INTERNET SYSTEMS INC              
|---------------------------------------
|(A Development Stage Company)          
|                                       
|Notes to Condensed Financial Statements
|June 30, 2008                          

|1. | Summary of Significant Accounting Policies
        and Organization (continued)
|-- | -------------------------------------------------------------------------------
|   |                                                                                
|   | (F)                                                                            
|   |                                                                                
|   |                                                                                
|   |                                                                                
|   | (G)                                                                            
|   |                                                                                
|   |                                                                                
|   |                                                                                
|   | (H)                                                                            
|   |                                                                                
|   |                                                                                
|   |                                                                                
|   | (I)                                                                            
|   |                                                                                
|   |                                                                                
|   |                                                                                
|   |                                                                                

F-6

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|EWRX INTERNET SYSTEMS INC              
|---------------------------------------
|(A Development Stage Company)          
|                                       
|Notes to Condensed Financial Statements
|June 30, 2008                          

|1. | Summary of Significant Accounting Policies
        and Organization (continued)
|-- | -------------------------------------------------------------------------------
|   |                                                                                
|   | (I)                                                                            
|   |                                                                                
|   |                                                                                
|   |                                                                                
|   |                                                                                

F-7

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|EWRX INTERNET SYSTEMS INC              
|---------------------------------------
|(A Development Stage Company)          
|                                       
|Notes to Condensed Financial Statements
|June 30, 2008                          

|1. | Summary of Significant Accounting Policies
        and Organization (continued)
|-- | -------------------------------------------------------------------------------
|   |                                                                                
|   | (J)                                                                            
|   |                                                                                
|   |                                                                                

|2. | Going Concern                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|-- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|   | As reflected in the accompanying audited financial statements,
        the Company is in the development stage with no operations, a net loss
        of $56,855 for the six months ended June 30, 2008, a stockholder's deficiency
        and a working capital deficiency of $261,703, and cash used in operations
        from re-entering the development stage of $168,963. This raises substantial
        doubt about its ability to continue as a going concern. The ability of
        the Company to continue as a going concern has been, and remains, dependent
        on advances from its stockholders and the Company's ability to raise additional
        capital. The financial statements do not include any adjustments that
        might be necessary if the Company is unable to continue as a going concern.
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|   | 3. Related Party Transactions                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|   | Advances from director represent an advance granted
        by Jessica Q. Wang. Ms. Wang pays for certain administrative expenses
        and is reimbursed by the Company. These advances have no fixed terms or
        repayment, are unsecured, and bear no interest. During the first six months
        of 2008, Ms.Wang has advanced the company $22,520 for purposes of paying
        operating expenses on behalf of the Company. As of June 30, 2008, the
        Company has loans from Ms. Wang with an outstanding balance of $144,667.                                                                                                                                                                                                                                                                                 
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|   | As of June 30, 2008, the Company has loans from Navitax
        Technology, Inc., a company which is controlled by one of the stockholders
        of the Company, with an outstanding balance of $7,657. These loans have
        no fixed terms or repayment, are unsecured, and bear no interest.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  

|4. | Stockholders' Deficiency
|-- | ------------------------
|   |                         
|   | Stockholders' Deficiency
|   |                         
|   | (A)                     
|   |                         
|   |                         

F-8

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|EWRX INTERNET SYSTEMS INC              
|---------------------------------------
|(A Development Stage Company)          
|                                       
|Notes to Condensed Financial Statements
|June 30, 2008                          

|4. | Stockholders' Deficiency (continued)
|-- | ------------------------------------
|   |                                     
|   | (B)                                 
|   |                                     
|   |                                     
|   |                                     
|   |                                     
|   | (C)                                 
|   |                                     
|   |                                     
|   | (D)                                 
|   |                                     
|   |                                     
|   |                                     
|   |                                     
|   |                                     
|   | (E)                                 
|   |                                     

F-9

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ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS

The following discussion contains forward-looking statements
within the meaning of Section 27A of the Securities Act of 1933 and Section 21E
of the Securities Exchange Act of 1934 relating to future events or our future
performance. Actual results may materially differ from those projected in the
forward-looking statements as a result of certain risks and uncertainties set
forth in this prospectus. Although management believes that the assumptions made
and expectations reflected in the forward-looking statements are reasonable,
there is no assurance that the underlying assumptions will, in fact, prove to be
correct or that actual results will not be different from expectations expressed
in this report.

(a) Plan of Operation

Over the next 12 to 15 months, the Company plans to develop the
marketing of their software Instant Recall to the OEM markets in North
America. The Company has developed significant interest in its product to date
and intends to capitalize on that interest, while exploring new and expanded
opportunities. The Company has also developed substantial business contacts and
relationships in China. Several complimentary products and opportunities exist
in this market that would be of interest to EWRX in its pursuit of developing an
expanded line of software products to round out its product line.

Although, the Company will be in need of financing to carry out
its plan of operation, it intends to raise the capital needed to accomplish its
business plan from interested parties, management and existing shareholders.
While raising capital is always subject to many uncertainties, we believe that,
with the demand anticipated for our product, financing will be available to meet
our requirements. It is not anticipated that we will have to invest any further
significant funds, or support any substantial funding on research or development
for Instant Recall. The Company operations do not require manufacturing of any
kind and therefore we do not anticipate any need to purchase equipment of any
significance.

Our need for any change in staffing is not anticipated for the
immediate future. We will however require some paid and full time staff as the
marketing and sales efforts begin to take shape. It is expected that clerical
and office personnel will be required after the third quarter of 2008. We will,
as required, employ a senior sales person to respond to clients requirements for
service. Other sales and marketing personnel will be acquired as the sales
dictate.

(b) Managements Discussion and Analysis of Financial
Condition and Results of Operations.

The Company has been in a state of reorganization and
development over the past two years. We believe that this period was important
to the business operations because it provided time for consolidation and
integration into the market. The Company continues to experience financial
deficiencies that have been a source of constant concern over this and previous
periods in its operations. As a result the Company has been unable to reach some
of the goals that had been set for its development.

The Company believes it is now in a position to begin to
capitalize on its previous experience. We are looking forward to a very
productive and stimulating period of development. Not only do we have great
expectations for our product Instant Recall, but also for the prospects of
additional software and other business developments from our contacts in Hong
Kong and China. These relationships will also help the Company address its
financial goals and objectives, both from an earnings standpoint as well as from
an investment standpoint.

The Company has over the last several months, successfully
established relationships as anticipated above) with Chinese Business leaders in
major corporations. These contacts have product and technology of interest to
EWRX. In addition, they may also have the financial ability to assist EWRX in
its requirements. It is anticipated that we will be in a position to determine
the extent to which these developments will affect EWRX by the early part of
2009.

We are looking forward to these discussions and the business
relationships that they represent, both from a financial as well as a
technological standpoint.

The marketplace is in a state of flux, and, continues to
require constant evaluation in terms of opportunity and reward because needs
change and competition for the opportunity is always present. Over the last two
years, the Company has been consolidating its business operations, developing
its software and preparing for the opportunities that it believes are now
present. The global markets are expanding at an unprecedented pace and the
Company believes that it is in the right place at the right time to take
advantage of these conditions. Of course there are always uncertainties and
unexpected developments to contend with, and there can be no assurance that the
Company will be able to overcome all of the circumstances confronting it. The
Company will, however, do everything possible to meet these challenges and
realize its goals. EWRX financial requirements over the next fiscal year are
dependent, to a major extent, on the speed at which development occurs in the
emerging markets. We will continue to monitor this situation closely. As our
situation matures, the requirements will become clearer.

4

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REASON FOR MANAGEMENT PROCEEDING WITH ITS EFFORTS TO REGISTER
UNDER THE EXCHANGE ACT AND ESTIMATE OF COST OF COMPLIANCE

The Management and Board of Directors of EWRX desires to
register EWRX under the Exchange act because they intend to use this status to
attract certain business enterprises and for potential investment and capital
raising purposes. Unfortunately, EWRX has been hampered in its attempt to become
compliant due to the circumstances that the Company has found itself in over the
past 18 months.

EWRX estimates that it will incur approximately $35,000 to
$50,000 per annum to remain compliant. Most recently, these costs have been
borne by the principles and Management will continue to do so until such time as
the Company is in a position to carry that responsibility through sales of its
products and services or funding from investment.

Liquidity and Capital Resources

Our primary source of liquidity as of June 30, 2008 is our cash
  on hand. Our cash on hand as of June 30, 2008 was $6,724. Our current assets
  totaled $6,724 on June 30, 2008. Our current liabilities were $268,427 on June
  30, 2008.

We will continue to evaluate alternative sources of capital to
meet our requirements, including other asset or debt financing, issuing equity
securities and entering into financing arrangements. There can be no assurance,
however, that any of the contemplated financing arrangements described herein
will be available and, if available, can be obtained on terms favorable to us.

We currently do not have enough cash to satisfy our minimum
cash requirements for the next twelve months. We are going to rely on loans from
our officers and directors to meet the short term cash requirements. However,
the present state of our liquidity and capital resources raises substantial
doubt about our ability to continue as a going concern. The ability of the
Company to continue as a going concern is dependent on the Companys ability to
raise additional capital and implement its business plan.

Critical Accounting Policies

The Companys financial statements and related public financial
information are based on the application of accounting principles generally
accepted in the United States (GAAP). GAAP requires the use of estimates;
assumptions, judgments and subjective interpretations of accounting principles
that have an impact on the assets, liabilities, revenue and expense amounts
reported. These estimates can also affect supplemental information contained in
our external disclosures including information regarding contingencies, risk and
financial condition. We believe our use if estimates and underlying accounting
assumptions adhere to GAAP and are consistently and conservatively applied. We
base our estimates on historical experience and on various other assumptions
that we believe to be reasonable under the circumstances. Actual results may
differ materially from these estimates under different assumptions or
conditions. We continue to monitor significant estimates made during the
preparation of our financial statements.

While all these significant accounting policies impact its
financial condition and results of operations, we view certain of these policies
as critical. Policies determined to be critical are those policies that have the
most significant impact on our consolidated financial statements and require
management to use a greater degree of judgment and estimates. Actual results may
differ from those estimates. Our management believes that given current facts
and circumstances, it is unlikely that applying any other reasonable judgments
or estimate methodologies would cause effect on our results of operations,
financial position or liquidity for the periods presented in this report.

Recent Accounting Pronouncements

5

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In December 2007, the Financial Accounting Standards Board
(FASB) issued SFAS No. 160, Noncontrolling Interests in Consolidated
Financial Statements  an amendment of ARB No. 51. This statement improves
the relevance, comparability, and transparency of the financial information that
a reporting entity provides in its consolidated financial statements by
establishing accounting and reporting standards that require; the ownership
interests in subsidiaries held by parties other than the parent and the amount
of consolidated net income attributable to the parent and to the non-controlling
interest be clearly identified and presented on the face of the consolidated
statement of income, changes in a parents ownership interest while the parent
retains its controlling financial interest in its subsidiary be accounted for
consistently, when a subsidiary is deconsolidated, any retained non-controlling
equity investment in the former subsidiary be initially measured at fair value,
entities provide sufficient disclosures that clearly identify and distinguish
between the interests of the parent and the interests of the non-controlling
owners. SFAS No. 160 affects those entities that have an outstanding
non-controlling interest in one or more subsidiaries or that deconsolidate a
subsidiary. SFAS No. 160 is effective for fiscal years, and interim periods
within those fiscal years, beginning on or after December 15, 2008. Early
adoption is prohibited. The adoption of this statement is not expected to have a
material effect on the Company's financial statements.

In March 2008, the FASB issued SFAS No. 161, Disclosures
  about Derivative Instruments and Hedging Activities, an amendment of FASB Statement
  No. 133 (SFAS 161). This statement is intended to improve transparency
  in financial reporting by requiring enhanced disclosures of an entitys
  derivative instruments and hedging activities and their effects on the entitys
  financial position, financial performance, and cash flows. SFAS 161 applies
  to all derivative instruments within the scope of SFAS 133, Accounting
  for Derivative Instruments and Hedging Activities (SFAS 133) as well as
  related hedged items, bifurcated derivatives, and nonderivative instruments
  that are designated and qualify as hedging instruments. Entities with instruments
  subject to SFAS 161 must provide more robust qualitative disclosures and expanded
  quantitative disclosures. SFAS 161 is effective prospectively for financial
  statements issued for fiscal years and interim periods beginning after November
  15, 2008, with early application permitted. We are currently evaluating the
  disclosure implications of this statement.

In May 2008, the FASB issued SFAS No. 162, The Hierarchy
  of Generally Accepted Accounting Principles. SFAS No. 162 identifies the
  sources of accounting principles and provides entities with a framework for
  selecting the principles used in preparation of financial statements that are
  presented in conformity with GAAP. The current GAAP hierarchy has been criticized
  because it is directed to the auditor rather than the entity, it is complex,
  and it ranks FASB Statements of Financial Accounting Concepts, which are subject
  to the same level of due process as FASB Statements of Financial Accounting
  Standards, below industry practices that are widely recognized as generally
  accepted but that are not subject to due process. The Board believes the GAAP
  hierarchy should be directed to entities because it is the entity (not its auditors)
  that is responsible for selecting accounting principles for financial statements
  that are presented in conformity with GAAP. SFAS 162 is effective 60 days following
  the SECs approval of PCAOB Auditing Standard No. 6, Evaluating Consistency
  of Financial Statements (AS/6). The adoption of FASB 162 is not expected to
  have a material impact on the Companys financial position.

In May 2008, the FASB issued SFAS No. 163, Accounting for
Financial Guarantee Insurance Contracts-an interpretation of FASB Statement No.
60. Diversity exists in practice in accounting for financial guarantee
insurance contracts by insurance enterprises under FASB Statement No. 60,
Accounting and Reporting by Insurance Enterprises. This results in
inconsistencies in the recognition and measurement of claim liabilities. This
Statement requires that an insurance enterprise recognize a claim liability
prior to an event of default (insured event) when there is evidence that credit
deterioration has occurred in an insured financial obligation. This Statement
requires expanded disclosures about financial guarantee insurance contracts. The
accounting and disclosure requirements of the Statement will improve the quality
of information provided to users of financial statements. SFAS 163 is effective
for financial statements issued for fiscal years beginning after December 15,
2008, and interim periods within those fiscal years. The adoption of FASB 163 is
not expected to have a material impact on the Companys financial position.

Off-Balance Sheet Arrangements

We do not have any off-balance sheet arrangements, financings,
or other relationships with unconsolidated entities or other persons, also known
as special purpose entities (SPEs).

Item 3. Quantitative and Qualitative Disclosures About
Market Risk

The Company is subject to certain market risks, including
changes in interest rates and currency exchange rates. The Company does not
undertake any specific actions to limit those exposures.

Item 4T. Controls and Procedures

Pursuant to Rule 13a-15(b) under the Securities Exchange Act of
1934 (Exchange Act), the Company carried out an evaluation, with the
participation of the Companys management, including the Companys Chief
Executive Officer (CEO) and Chief Accounting Officer (CAO) (the Companys
principal financial and accounting officer), of the effectiveness of the
Companys disclosure controls and procedures (as defined under Rule 13a-15(e)
under the Exchange Act) as of the end of the period covered by this report.
Based upon that evaluation, the Companys CEO and CAO concluded that the
Companys disclosure controls and procedures are effective to ensure that
information required to be disclosed by the Company in the reports that the
Company files or submits under the Exchange Act, is recorded, processed,
summarized and reported, within the time periods specified in the SECs

6

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rules and forms, and that such information is accumulated and
communicated to the Companys management, including the Companys CEO and CAO,
as appropriate, to allow timely decisions regarding required disclosure

Managements Report on Internal Controls over
Financial Reporting

Internal control over financial reporting is a process to
provide reasonable assurance regarding the reliability of consolidated financial
reporting and the preparation of financial statements for external purposes in
accordance with U.S. generally accepted accounting principles. There has been no
change in the Companys internal control over financial reporting during the
quarter ended June 30, 2008 that has materially affected, or is reasonably
likely to materially affect, the Companys internal control over financial
reporting.

The Companys management, including the Companys CEO and CAO,
does not expect that the Companys disclosure controls and procedures or the
Companys internal controls will prevent all errors and all fraud. A control
system, no matter how well conceived and operated, can provide only reasonable,
not absolute, assurance that the objectives of the control system are met.
Further, the design of a control system must reflect the fact that there are
resource constraints, and the benefits of controls must be considered relative
to their costs. Because of the inherent limitations in all control systems, no
evaluation of the controls can provide absolute assurance that all control
issues and instances of fraud, if any, within the Company.

Management conducted an evaluation of the effectiveness of our
internal control over financial reporting based on the framework in Internal
Control  Integrated Framework issued by the Committee of Sponsoring
Organizations of the Treadway Commission. Based on this evaluation, management
concluded that the companys internal control over financial reporting was
effective as of June 30, 2008.

This quarterly report does not include an attestation report of
the Company's registered public accounting firm regarding internal control over
financial reporting. Management's report was not subject to attestation by the
Company's registered public accounting firm pursuant to temporary rules of the
Securities and Exchange Commission that permit the Company to provide only
management's report in this quarterly report.

PART II - OTHER INFORMATION

Item 1. Legal Proceedings.

Currently we are not aware of any litigation pending or
threatened by or against the Company.

Item 2. Unregistered Sales of Equity Securities and Use of
Proceeds

None.

Item 3. Defaults Upon Senior Securities.

None

Item 4. Submission of Matters to a Vote of Security
Holders.

None.

Item 5. Other Information.

None

Item 6. Exhibits and Reports of Form 8-K.

(a) Exhibits

|31.1 | Certifications
        pursuant to Section 302 of Sarbanes Oxley Act of 2002
|---- | ----------------------------------------------------------------------------
|     |                                                                             
|32.1 | Certifications
        pursuant to Section 906 of Sarbanes Oxley Act of 2002

(b) Reports of Form 8-K

None.

7

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SIGNATURES

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

|                      | EWRX INTERNET
      SYSTEMS, INC.
|--------------------- | ---------------------------------
|                      |                                  
|                      | By:                              
|                      |                                  
|Date: August 14, 2008 |                                  
|                      |                                  

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