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Proc-Type: 2001,MIC-CLEAR
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<SEC-DOCUMENT>0001144204-07-060524.txt : 20071113
<SEC-HEADER>0001144204-07-060524.hdr.sgml : 20071112
<ACCEPTANCE-DATETIME>20071113164411
ACCESSION NUMBER:		0001144204-07-060524
CONFORMED SUBMISSION TYPE:	10-Q
PUBLIC DOCUMENT COUNT:		6
CONFORMED PERIOD OF REPORT:	20070930
FILED AS OF DATE:		20071113
DATE AS OF CHANGE:		20071113

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			CTI INDUSTRIES CORP
		CENTRAL INDEX KEY:			0001042187
		STANDARD INDUSTRIAL CLASSIFICATION:	FABRICATED RUBBER PRODUCTS, NEC [3060]
		IRS NUMBER:				362848943
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		10-Q
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-23115
		FILM NUMBER:		071238849

	BUSINESS ADDRESS:	
		STREET 1:		22160 N PEPPER RD
		CITY:			BARRINGTON
		STATE:			IL
		ZIP:			60010

	MAIL ADDRESS:	
		STREET 1:		22160 N PEPPER RD
		CITY:			BARRINGTON
		STATE:			IL
		ZIP:			60010
</SEC-HEADER>
<DOCUMENT>
<TYPE>10-Q
<SEQUENCE>1
<FILENAME>v093200_10q.htm
<TEXT>
<html>
  <head>
    <title>
      Unassociated Document
</title><!-- Licensed to: vintage-->
<!-- Document Created using EDGARizer HTML 3.0.4.0 -->
<!-- Copyright 2006 EDGARfilings, Ltd., an IEC company.-->
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</head>
  <body bgcolor="#ffffff"><br>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>UNITED
      STATES</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>SECURITIES
      AND EXCHANGE COMMISSION</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>WASHINGTON,
      D.C. 20549</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>____________</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 12pt; FONT-FAMILY: Times New Roman"><strong>FORM
      10-Q</strong></font></div>
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      One)</strong></font></div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td valign="top" width="4%">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Wingdings">x</font></div>
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            <td valign="top" width="80%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>QUARTERLY
                REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE
                ACT OF
                1934</strong></font></div>
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          </tr>
          <tr>
            <td colspan="2" valign="top" width="84%">&#160;</td>
          </tr>
          <tr>
            <td colspan="2" valign="top" width="84%">
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          <tr>
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          <tr>
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          <tr>
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            <td valign="top" width="80%">&#160;</td>
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          <tr>
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              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Wingdings">o</font></div>
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            <td valign="top" width="80%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>TRANSITION
                REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE
                ACT OF
                1934</strong></font></div>
            </td>
          </tr>

      </table>
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    <div>&#160;</div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
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      File Number</strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>
      000-23115</strong></font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 20pt; FONT-FAMILY: Times New Roman"><strong>CTI
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      name of Registrant as specified in its charter)</font></div>
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    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td valign="top" width="20%" style="border-bottom: medium none;">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Illinois</u></font></div>
            </td>
            <td valign="top" width="20%" style="border-bottom: medium none;">&#160;</td>
            <td valign="top" width="20%" style="border-bottom: medium none;">
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          <tr>
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                or other jurisdiction of </font></div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">incorporation
                or organization)</font></div>
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            <td valign="top" width="20%">
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                Employer Identification Number)</font></div>
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          <tr>
            <td valign="top" width="20%">&#160;</td>
            <td valign="top" width="20%">&#160;</td>
            <td valign="top" width="20%">&#160;</td>
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          <tr>
            <td valign="top" width="20%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">22160
                N. Pepper Road</font></div>
            </td>
            <td valign="top" width="20%">&#160;</td>
            <td valign="top" width="20%">&#160;</td>
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          <tr>
            <td valign="top" width="20%" style="border-bottom: medium none;">
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                Illinois</u></font></div>
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            <td valign="top" width="20%" style="border-bottom: medium none;">&#160;</td>
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          <tr>
            <td valign="top" width="20%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(Address
                of principal executive offices)</font></div>
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            <td valign="top" width="20%">&#160;</td>
            <td valign="top" width="20%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(Zip
                Code)</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>(847)382-1000</u></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(Registrant&#8217;s
      telephone number, including area code)</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">Indicate
      by check mark whether the Registrant: (1)&#160;has filed all reports required to
      be filed by Section&#160;13 or 15(d) of the Securities Exchange Act of 1934
      during the preceding 12&#160;months (or for such shorter period that the
      Registrant was required to file such reports), and (2)&#160;has been subject to
      such filing requirements for the past 90&#160;days.&#160;&#160;Yes&#160;<font style="DISPLAY: inline; FONT-FAMILY: Wingdings">x</font></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">&#160;&#160;&#160;&#160;&#160;No&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Wingdings">o
      </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">Indicate
      by check mark whether the Registrant is a large accelerated filer, an
      accelerated filer, or a non-accelerated filer. See definition of &#8220;accelerated
      filer and large accelerated filer&#8221; in Rule&#160;12b-2 of the Exchange Act.
      (Check one): </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">Large
      accelerated filer&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Wingdings">o</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">&#160;&#160;&#160;&#160;&#160;Accelerated
      filer&#160;&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Wingdings">o</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">&#160;&#160;&#160;&#160;Non-accelerated
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">Indicate
      by check mark whether the Registrant is a shell company (as defined in
      Rule&#160;12b-2 of the Exchange Act).&#160;&#160;Yes&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Wingdings">o</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">&#160;&#160;&#160;&#160;&#160;No&#160;<font style="FONT-FAMILY: Wingdings">x</font></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>The
      number of shares outstanding of the Registrant&#8217;s common stock as of November 1,
      2007 was 2,465,573. </strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
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      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
        </div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">
      <div align="left">
        <table cellpadding="0" cellspacing="0" width="100%">

            <tr bgcolor="#ccffcc">
              <td align="left" colspan="2" valign="top" width="95%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">PART
                  I - FINANCIAL INFORMATION</font></div>
              </td>
              <td align="left" valign="top" width="5%">&#160;</td>
            </tr>
            <tr bgcolor="white">
              <td align="left" valign="top" width="15%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
              </td>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
              </td>
              <td align="left" valign="top" width="5%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
              </td>
            </tr>
            <tr bgcolor="#ccffcc">
              <td align="left" valign="top" width="15%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Item
                  No. 1</font></div>
              </td>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Financial
                  Statements</font></div>
              </td>
              <td align="left" valign="top" width="5%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">1</font></div>
              </td>
            </tr>
            <tr bgcolor="white">
              <td align="left" valign="top" width="15%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Item
                  No. 2</font></div>
              </td>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Management&#8217;s
                  Discussion and Analysis of</font></div>
              </td>
              <td align="left" valign="top" width="5%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right">&#160;</div>
              </td>
            </tr>
            <tr bgcolor="white">
              <td align="left" valign="top" width="15%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
              </td>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Financial
                  Condition and Results of Operations</font></div>
              </td>
              <td align="left" valign="top" width="5%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2</font></div>
              </td>
            </tr>
            <tr bgcolor="#ccffcc">
              <td align="left" valign="top" width="15%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Item
                  No. 3</font></div>
              </td>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Quantitative
                  and Qualitative Disclosures Regarding Market Risk</font></div>
              </td>
              <td align="left" valign="top" width="5%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">9</font></div>
              </td>
            </tr>
            <tr bgcolor="white">
              <td align="left" valign="top" width="15%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Item
                  No. 4</font></div>
              </td>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Controls
                  and Procedures</font></div>
              </td>
              <td align="left" valign="top" width="5%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">11</font></div>
              </td>
            </tr>
            <tr bgcolor="#ccffcc">
              <td align="left" valign="top" width="15%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
              </td>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
              </td>
              <td align="left" valign="top" width="5%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right">&#160;</div>
              </td>
            </tr>
            <tr bgcolor="white">
              <td align="left" colspan="2" valign="top" width="95%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">PART
                  II - OTHER INFORMATION</font></div>
              </td>
              <td align="left" valign="top" width="5%">
                <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="right">&#160;</div>
              </td>
            </tr>
            <tr bgcolor="#ccffcc">
              <td align="left" valign="top" width="15%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
              </td>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
              </td>
              <td align="left" valign="top" width="5%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right">&#160;</div>
              </td>
            </tr>
            <tr bgcolor="white">
              <td align="left" valign="top" width="15%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Item
                  No. 1</font></div>
              </td>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Legal
                  Proceedings.</font></div>
              </td>
              <td align="left" valign="top" width="5%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">11</font></div>
              </td>
            </tr>
            <tr bgcolor="#ccffcc">
              <td align="left" valign="top" width="15%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Item
                  No. 1A</font></div>
              </td>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Risk
                  Factors</font></div>
              </td>
              <td align="left" valign="top" width="5%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">11</font></div>
              </td>
            </tr>
            <tr bgcolor="white">
              <td align="left" valign="top" width="15%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Item
                  No. 2</font></div>
              </td>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Unregistered
                  Sales of Equity Securities and Use of Proceeds</font></div>
              </td>
              <td align="left" valign="top" width="5%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">12</font></div>
              </td>
            </tr>
            <tr bgcolor="#ccffcc">
              <td align="left" valign="top" width="15%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Item
                  No. 3 </font></div>
              </td>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Defaults
                  Upon Senior Securities</font></div>
              </td>
              <td align="left" valign="top" width="5%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">12</font></div>
              </td>
            </tr>
            <tr bgcolor="white">
              <td align="left" valign="top" width="15%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Item
                  No. 4 </font></div>
              </td>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Submission
                  of Matters to a Vote of Security Holders</font></div>
              </td>
              <td align="left" valign="top" width="5%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">12</font></div>
              </td>
            </tr>
            <tr bgcolor="#ccffcc">
              <td align="left" valign="top" width="15%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Item
                  No. 5 </font></div>
              </td>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Other
                  Information</font></div>
              </td>
              <td align="left" valign="top" width="5%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">12
                  </font></div>
              </td>
            </tr>
            <tr bgcolor="white">
              <td align="left" valign="top" width="15%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Item
                  No. 6</font></div>
              </td>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Exhibits</font></div>
              </td>
              <td align="left" valign="top" width="5%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">12</font></div>
              </td>
            </tr>

        </table>
      </div>
    </div>
    <div>&#160;</div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
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        </div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: Times New Roman">-1-</font></div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
    </div>
    <div>&#160;</div>
    <div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>PART
        I</strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.
        </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong><u>FINANCIAL
        INFORMATION</u></strong></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 72pt; TEXT-INDENT: -72pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">This
        quarterly report includes both historical and &#8220;forward-looking statements&#8221;
within the meaning of Section 21E of the Securities Exchange Act of 1934,
        as
        amended. We have based these forward-looking statements on our current
        expectations and projections about future results. Words such as &#8220;may,&#8221;
&#8220;should,&#8221; &#8220;could,&#8221; &#8220;would,&#8221; &#8220;expect,&#8221; &#8220;plan,&#8221; &#8220;anticipate,&#8221; &#8220;believe,&#8221;
&#8220;estimate,&#8221; &#8220;predict,&#8221; &#8220;potential,&#8221; &#8220;continue,&#8221; or similar words are intended to
        identify forward-looking statements, although not all forward-looking statements
        contain these words. Although we believe that our opinions and expectations
        reflected in the forward-looking statements are reasonable, we cannot guarantee
        future results, levels of activity, performance or achievements, and our
        actual
        results may differ substantially from the views and expectations set forth
        in
        this quarterly report on Form 10-Q. We disclaim any intent or obligation
        to
        update any forward-looking statements after the date of this quarterly report
        to
        conform such statements to actual results or to changes in our opinions or
        expectations. These forward-looking statements are affected by risks,
        uncertainties and assumptions that we make, including, among other things,
        the
        factors that are described in &#8220;Item No. 1A - Risk Factors&#8221; in our 2006 Annual
        Report on Form 10-K filed with the Securities and Exchange Commission on
        April
        10, 2007, as the same may be updated or amended in our quarterly reports
        on Form
        10-Q.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Item
        1. </strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong><u>Financial
        Statements</u></strong></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 72pt; TEXT-INDENT: -72pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
        following condensed consolidated financial statements of the Registrant are
        attached to this Form 10-Q:</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 72pt; TEXT-INDENT: -72pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 72pt; TEXT-INDENT: -18pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">1.&#160;&#160;&#160;&#160;&#160;&#160;Interim
        Balance Sheet as at September 30, 2007 (unaudited) and Balance Sheet as of
        December 31, 2006, which has been derived from audited financial
        statements;</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 72pt; TEXT-INDENT: -18pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2.&#160;&#160;&#160;&#160;&#160;&#160;Interim
        Statements of&#160;Operations (unaudited) for the three and nine month periods
        ended September 30, 2007 and September 30, 2006;</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 72pt; TEXT-INDENT: -18pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">3.&#160;&#160;&#160;&#160;&#160;&#160;Interim
        Statements of Cash Flows (unaudited) for the nine months ended September
        30,
        2007 and September 30, 2006;</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 72pt; TEXT-INDENT: -18pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">4.&#160;&#160;&#160;&#160;&#160;&#160;Interim
        Consolidated Earnings per Share (unaudited) for the three and nine month
        periods
        ended September 30, 2007 and September 30, 2006;</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 72pt; TEXT-INDENT: -18pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">5.&#160;&#160;&#160;&#160;&#160;&#160;Notes
        to Condensed Consolidated Financial Statements.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
        Financial Statements reflect all adjustments that are, in the opinion of
        management, necessary for a fair presentation for the periods
        presented.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><a name="fis_unidentified_table_4"/>&#160;</div>
      <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
        <div id="FTR">
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          </div>
        </div>
        <div id="PN" style="PAGE-BREAK-AFTER: always">
          <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: Times New Roman">-2-</font></div>
          <div style="WIDTH: 100%; TEXT-ALIGN: center">
            <hr style="COLOR: black" noshade size="2">
          </div>
        </div>
        <div id="HDR">
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      </div>
      <div style="DISPLAY: block; MARGIN-LEFT: 72pt; TEXT-INDENT: -72pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 72pt; TEXT-INDENT: -72pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Item
        2</strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.
        </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong><u>Management's
        Discussion and Analysis of Financial Condition and Results of
        Operations</u></strong></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Overview</strong></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">We
        produce film products for novelty, packaging and container applications.
        These
        products include metalized balloons; latex balloons and related latex toy
        products, films for packaging applications, and flexible containers for
        packaging and storage applications. We produce all of our film products for
        packaging and container applications at our plant in Barrington, Illinois.
        We
        produce all of our latex balloons and latex products at our facility in
        Guadalajara, Mexico. Substantially all of our film products for packaging
        applications and flexible containers for packaging and storage are sold to
        customers in the United States. We market and sell our novelty items -
        principally metalized balloons and latex balloons - in the United States,
        Mexico, the United Kingdom and a number of additional countries.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Recent
        Developments</strong></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">We
        announced in August 2007 that we have developed and commenced the production,
        marketing and sale of a new zippered vacuum storage pouch product line. The
        product line&#160;includes a pouch with a re-sealable zipper and valve, together
        with a hand pump and battery operated pump, which are used to remove the
        air
        from the pouch when it is sealed. The product is intended to be used for
        the
        storage, protection and preservation of food and other personal items. The
        first
        version of the product line - trademarked Zip-Vac(TM) - is intended for the
        sports-outdoors market. The product may be viewed at </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #0000ff; FONT-FAMILY: Times New Roman"><u>www.zip-vac.com</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">We
        commenced marketing the Zip-Vac product in August 2007, and have received
        several orders for the product as well as indications of interest from several
        retail chains. We anticipate sales of this new product line in the amount
        of
        approximately $550,000 during the fourth quarter of 2007. We expect to continue
        to market this product line to sports and specialty retail chains.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">In
        the
        second quarter 2007, we commenced a development and evaluation program for
        a
        zippered vacuum pouch product line with a significant consumer products company.
        No purchase commitment has been made to date but we anticipate a decision
        on the
        project by this company prior to December 31, 2007.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">We
        now
        have one pouch converting machine in operation for the production of these
        zippered vacuum pouches. We have five additional machines on order. Two machines
        are scheduled to be delivered to us in November 2007 and the remaining three
        machines are scheduled for delivery to us in December 2007. When fully installed
        and operating, these six converting machines will have the capacity to produce
        approximately 120,000,000 to 168,000,000 pouches on an annual
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        costs
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        of
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        $549,000 and $1,073,000 has respectively been capitalized.</font></div>
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        <div id="FTR">
          <div id="GLFTR" style="WIDTH: 100%" align="left">
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        of Operations</strong></font></div>
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        to net
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      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">
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              <tr>
                <td align="left" valign="bottom" width="43%" style="border-bottom: #ffffff solid;">&#160;</td>
                <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td colspan="11" valign="bottom" width="53%" style="border-bottom: black thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Three
                    Months Ended </strong></font></div>
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                <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
              </tr>
              <tr>
                <td align="left" valign="bottom" width="43%" style="border-bottom: #ffffff solid;">&#160;</td>
                <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td colspan="5" valign="bottom" width="26%" style="border-bottom: black thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>September
                    30, 2007</strong></font></div>
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td colspan="5" valign="bottom" width="25%" style="border-bottom: black thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>September
                    30, 2006</strong></font></div>
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                <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
              </tr>
              <tr>
                <td align="left" valign="bottom" width="43%" style="border-bottom: medium none;">&#160;</td>
                <td width="2%" style="border-bottom: medium none;">&#160;</td>
                <td colspan="2" valign="bottom" width="12%" style="border-bottom: medium none;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>$</strong></font></div>
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                <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">
                  <div>&#160;</div>
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                <td colspan="2" valign="bottom" width="12%" style="border-bottom: medium none;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>%
                    of</strong></font></div>
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                <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">
                  <div>&#160;</div>
                </td>
                <td colspan="2" valign="bottom" width="12%" style="border-bottom: medium none;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>$</strong></font></div>
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                <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">
                  <div>&#160;</div>
                </td>
                <td colspan="2" valign="bottom" width="11%" style="border-bottom: medium none;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>%
                    of</strong></font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: medium none;">&#160;</td>
              </tr>
              <tr>
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                  Category</strong></font></td>
                <td width="2%" style="border-bottom: black thin solid;">&#160;</td>
                <td colspan="2" valign="bottom" width="12%" style="border-bottom: black thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>(000)
                    Omitted</strong></font></div>
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                <td colspan="2" valign="bottom" width="12%" style="border-bottom: black thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Net
                    Sales</strong></font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td colspan="2" valign="bottom" width="12%" style="border-bottom: black thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>(000)
                    Omitted</strong></font></div>
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td colspan="2" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Net
                    Sales</strong></font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
              </tr>
              <tr>
                <td align="left" valign="bottom" width="43%" style="border-bottom: medium none;">&#160;</td>
                <td width="2%" style="border-bottom: medium none;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: medium none;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: medium none;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: medium none;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: medium none;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: medium none;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: medium none;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: medium none;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: medium none;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: medium none;">&#160;</td>
              </tr>
              <tr bgcolor="#ccffcc">
                <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Metalized
                    Balloons</font></div>
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                <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                </td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,899</font></div>
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">34</font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                </td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">4,120</font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">48</font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
                </td>
              </tr>
              <tr bgcolor="white">
                <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
              </tr>
              <tr bgcolor="#ccffcc">
                <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Films</font></div>
                </td>
                <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,104
                    </font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">24</font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,066
                    </font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">24</font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
                </td>
              </tr>
              <tr bgcolor="white">
                <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
              </tr>
              <tr bgcolor="#ccffcc">
                <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Pouches</font></div>
                </td>
                <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,581
                    </font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">18</font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">698
                    </font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">8</font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
                </td>
              </tr>
              <tr bgcolor="white">
                <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
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              <tr bgcolor="#ccffcc">
                <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Latex
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                <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,900
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">22</font></div>
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">
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                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">19</font></div>
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                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
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              <tr bgcolor="white">
                <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
              </tr>
              <tr bgcolor="#ccffcc">
                <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Helium/Other</font></div>
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                <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">189
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2</font></div>
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">78
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1</font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
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              <tr bgcolor="white">
                <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
              </tr>
              <tr bgcolor="#ccffcc">
                <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Total</strong></font></div>
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                <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman"><strong>$</strong></font></div>
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                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman"><strong>8,673</strong></font></div>
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">100</font></div>
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
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                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman"><strong>$</strong></font></div>
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                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman"><strong>8,603</strong></font></div>
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">100</font></div>
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                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
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      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">For
        the
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          <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: Times New Roman">-4-</font></div>
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        <div id="HDR">
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      </div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">
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              <tr>
                <td align="left" valign="bottom" width="43%" style="border-bottom: #ffffff solid;">&#160;</td>
                <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td colspan="11" valign="bottom" width="53%" style="border-bottom: black thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Nine
                    Months Ended </strong></font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
              </tr>
              <tr>
                <td align="left" valign="bottom" width="43%" style="border-bottom: #ffffff solid;">&#160;</td>
                <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td colspan="5" valign="bottom" width="26%" style="border-bottom: black thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>September
                    30, 2007</strong></font></div>
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td colspan="5" valign="bottom" width="25%" style="border-bottom: black thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>September
                    30, 2006</strong></font></div>
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                <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
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              <tr>
                <td align="left" valign="bottom" width="43%" style="border-bottom: medium none;">&#160;</td>
                <td width="2%" style="border-bottom: medium none;">&#160;</td>
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                <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">&#160;</td>
                <td colspan="2" valign="bottom" width="12%" style="border-bottom: medium none;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#160;<strong>%
                    of</strong></font></div>
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                <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">&#160;</td>
                <td colspan="2" valign="bottom" width="12%" style="border-bottom: medium none;">
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                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">&#160;</td>
                <td colspan="2" valign="bottom" width="11%" style="border-bottom: medium none;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#160;<strong>%
                    of</strong></font></div>
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                <td align="left" valign="bottom" width="1%" style="border-bottom: medium none;">&#160;</td>
              </tr>
              <tr>
                <td align="left" valign="bottom" width="43%" style="border-bottom: black thin solid;">
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                <td colspan="2" valign="bottom" width="12%" style="border-bottom: black thin solid;">
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                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Net
                    Sales</strong></font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td colspan="2" valign="bottom" width="12%" style="border-bottom: black thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>(000)
                    Omitted</strong></font></div>
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                <td colspan="2" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Net
                    Sales</strong></font></div>
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                <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
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              <tr>
                <td align="left" valign="bottom" width="43%" style="border-bottom: medium none;">&#160;</td>
                <td width="2%" style="border-bottom: medium none;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: medium none;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: medium none;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: medium none;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: medium none;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: medium none;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: medium none;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: medium none;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: medium none;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: medium none;">&#160;</td>
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              <tr bgcolor="#ccffcc">
                <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Metalized
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                </td>
                <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman"><strong>$</strong></font></div>
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                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
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                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
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              <tr bgcolor="white">
                <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                <td width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
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              <tr bgcolor="#ccffcc">
                <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
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                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
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                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
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                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
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              <tr bgcolor="white">
                <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                <td width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
              </tr>
              <tr bgcolor="#ccffcc">
                <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Latex
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                <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">5,023
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">19</font></div>
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
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                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">4,295
                    </font></div>
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">17</font></div>
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                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
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              </tr>
              <tr bgcolor="white">
                <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                <td width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
              </tr>
              <tr bgcolor="#ccffcc">
                <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Helium/Other</font></div>
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                <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">745
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">3</font></div>
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
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                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">553
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2</font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
                </td>
              </tr>
              <tr bgcolor="white">
                <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                <td width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
              </tr>
              <tr bgcolor="#ccffcc">
                <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Total</strong></font></div>
                </td>
                <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman"><strong>$</strong></font></div>
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                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman"><strong>26,219</strong></font></div>
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman"><strong>100</strong></font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman"><strong>%</strong></font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman"><strong>$</strong></font></div>
                </td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman"><strong>25,756</strong></font></div>
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                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman"><strong>100</strong></font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman"><strong>%</strong></font></div>
                </td>
              </tr>

          </table>
        </div>
        <div>&#160;</div>
      </div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Overall,
        we experienced a nominal increase in sales for the three and nine month periods
        ended September 30, 2007 compared to the prior periods.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Metalized
        Balloons</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.
        During
        the three months ended September 30, 2007 net sales of metalized balloons
        declined by 30% compared to the prior year period from $4,120,000 to $2,899,000.
        For the nine months, the decline in metalized balloon sales was 11% from
        $12,378,000 to $11,012,000. This decline is attributable to lower sales for
        these periods to a principal customer as well as modest declines in sales
        to
        other customers.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Films</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.
        During
        the first nine months of 2007 compared to the same period last year, sales
        of
        laminated films decreased by 1%. On April 28, 2006, we entered into a License
        Agreement with Rapak under which we granted a worldwide, irrevocable license
        to
        Rapak under a patent relating to textured film and pouches utilizing such
        film
        which was issued during 2006 and will expire in January 2027. The term of
        the
        license is for the entire term of the patent. The License Agreement also
        amends
        our existing Supply Agreement with Rapak, entered into on December 20, 2002,
        under which we supply textured film to Rapak for use by them in the production
        of pouches. The License Agreement extends the term of the Supply Agreement
        until
        October 31, 2008; the Supply Agreement is automatically renewed thereafter
        for
        successive one-year terms unless terminated by either party. We have supplied
        textured film to Rapak for several years and will continue to supply textured
        film to Rapak under the License Agreement and the Supply Agreement as amended.
        For the nine months ended September 30, 2007 and 2006 our net sales of film
        to
        Rapak were $5,300,000, or 20% of total net sales and $5,294,000, or 21% of
        total
        net sales, respectively. For the three months ended September 30, 2007 and
        2006,
        our net sales of film to Rapak were $1,960,000, or 23%, and $1,939,000, or
        23%,
        respectively. </font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
        <div id="FTR">
          <div id="GLFTR" style="WIDTH: 100%" align="left">
          </div>
        </div>
        <div id="PN" style="PAGE-BREAK-AFTER: always">
          <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: Times New Roman">-5-</font></div>
          <div style="WIDTH: 100%; TEXT-ALIGN: center">
            <hr style="COLOR: black" noshade size="2">
          </div>
        </div>
        <div id="HDR">
          <div id="GLHDR" style="WIDTH: 100%" align="right">
          </div>
        </div>
      </div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Pouches</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.
        Sales
        of pouches increased by 127% from $698,000 to $1,581,000 for the three months
        ended September 30, 2007 compared to the same prior year period. Sales of
        pouches increased from $2,582,000 in the first nine months of 2006 to $3,548,000
        or 37% in the first nine months of 2007. This increase reflects an increase
        for
        those periods in sales to our current principal customer for pouches, ITW
        Spacebag, a division of Illinois Tool Works, Inc. (&#8220;ITW&#8221;). In March 2006, we
        entered into a four-year agreement with ITW under which we will supply all
        of
        its requirements in North America for certain of the pouches which they market
        under the name Space Bag(R) and also are to supply their requirements of
        film
        for certain of the pouches which they produce, if pricing for the film is
        competitive. We have supplied ITW with certain pouches for several years.
        For
        the nine months ended September 30, 2007 and 2006, our net sales to ITW Spacebag
        were $2,887,000, or 11%, and $2,158,000, or 8% of net sales, respectively.
        For
        the three months ended September 30, 2007 and 2006, our net sales to ITW
        Spacebag were $1,124,000, or 13%, and $591,000, or 7% of net sales,
        respectively. Pouch revenues in the third quarter included approximately
        $284,000 from sales of our new zippered vacuum pouches.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Latex
        Balloons</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.
        Sales
        of latex balloons increased by 16% from $1,641,000 to $1,900,000 for the
        three
        months ended September 30, 2007 compared to the same prior year period. For
        the
        nine months, net sales increased by 17% from $4,295,000 in the nine months
        ended
        September 30, 2006 to $5,023,000 for the same period of 2007. This increase
        is
        principally related to an increase in sales by our Mexican affiliate Flexo
        Universal to customers in Mexico and, to a lesser extent, increased sales
        in the
        United States. </font></div>
      <div>&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Sales
        to
        a limited number of customers continue to represent a significant percentage
        of
        our net sales. The table below illustrates the impact on sales of our top
        three
        and ten customers for the three and nine months ended September 30, 2007
        and
        2006. </font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">
        <div align="left">
          <table border="0" cellpadding="0" cellspacing="0" id="ftable" width="100%">

              <tr>
                <td valign="bottom" width="27%" style="border-bottom: #ffffff solid;">&#160;</td>
                <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="right" colspan="5" valign="bottom" width="34%" style="border-bottom: black thin solid;">
                  <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">Three
                    Months Ended </font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="right" colspan="5" valign="bottom" width="34%" style="border-bottom: black thin solid;">
                  <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">Nine
                    Months Ended </font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
              </tr>
              <tr>
                <td valign="bottom" width="27%" style="border-bottom: #ffffff solid;">&#160;</td>
                <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="right" colspan="5" valign="bottom" width="34%" style="border-bottom: black thin solid;">
                  <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">%
                    of Net Sales</font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="right" colspan="5" valign="bottom" width="34%" style="border-bottom: black thin solid;">
                  <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">%
                    of Net Sales</font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
              </tr>
              <tr>
                <td valign="bottom" width="27%" style="border-bottom: #ffffff solid;">&#160;</td>
                <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                <td align="right" colspan="2" valign="bottom" width="16%" style="border-bottom: black thin solid;">
                  <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">September
                    30, 2007</font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">
                  <div>&#160;</div>
                </td>
                <td align="right" colspan="2" valign="bottom" width="16%" style="border-bottom: black thin solid;">
                  <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">September
                    30, 2006</font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">
                  <div>&#160;</div>
                </td>
                <td align="right" colspan="2" valign="bottom" width="16%" style="border-bottom: black thin solid;">
                  <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">September
                    30, 2007</font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">
                  <div>&#160;</div>
                </td>
                <td align="right" colspan="2" valign="bottom" width="16%" style="border-bottom: black thin solid;">
                  <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">September
                    30, 2006</font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
              </tr>
              <tr bgcolor="white">
                <td align="left" valign="bottom" width="27%" style="border-bottom: white;">&#160;</td>
                <td width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="15%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="15%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="15%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="15%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
              </tr>
              <tr bgcolor="#ccffcc">
                <td align="left" valign="bottom" width="27%" style="border-bottom: #ccffcc;">
                  <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">Top
                    3 customers</font></div>
                </td>
                <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="15%" style="border-bottom: #ccffcc;">
                  <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">47.3</font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                  <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="15%" style="border-bottom: #ccffcc;">
                  <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">53.4</font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                  <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="15%" style="border-bottom: #ccffcc;">
                  <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">47.1</font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                  <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="15%" style="border-bottom: #ccffcc;">
                  <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">51.3</font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                  <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
                </td>
              </tr>
              <tr bgcolor="white">
                <td align="left" valign="bottom" width="27%" style="border-bottom: white;">&#160;</td>
                <td width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="15%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="15%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="15%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                <td align="right" valign="bottom" width="15%" style="border-bottom: white;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
              </tr>
              <tr bgcolor="#ccffcc">
                <td align="left" valign="bottom" width="27%" style="border-bottom: #ccffcc;">
                  <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">Top
                    10 Customers</font></div>
                </td>
                <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="15%" style="border-bottom: #ccffcc;">
                  <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">67.8</font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                  <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="15%" style="border-bottom: #ccffcc;">
                  <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">63.4</font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                  <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="15%" style="border-bottom: #ccffcc;">
                  <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">64.4</font></div>
                </td>
                <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                  <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                <td align="right" valign="bottom" width="15%" style="border-bottom: #ccffcc;">
                  <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">60.3</font></div>
                </td>
                <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                  <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">%</font></div>
                </td>
              </tr>

          </table>
        </div>
        <div>&#160;</div>
      </div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">During
        the nine months ending September 30, 2007, there were three customers whose
        purchases represented more than 10% of the Company&#8217;s sales. The sales to each of
        these customers for the nine months ended September 30, 2007 were, respectively,
        $5,300,000 or 20%, $4,165,000 or 16% and $2,887,000 or 11% of consolidated
        net
        sales respectively. Sales to these customers in the same period of 2006 were
        $5,294,000 or 21%, $5,755,000 or 22% and $2,158,000 or 8% of consolidated
        net
        sales, respectively. During the three months ending September 30, 2007, there
        were three customers whose purchases represented more than 10% of the Company&#8217;s
        sales. The sales to each of these customers for the three months ended September
        30, 2007 were $1,960,000 or 23%, $1,124,000 or 13% and $1,018,000 or 11%
        of
        consolidated net sales, respectively. Sales to these customers for the same
        period of 2006 were $1,939,000 or 23%, $591,000 or 7% and $2,064,000 or 24%,
        respectively.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
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          <div style="WIDTH: 100%; TEXT-ALIGN: center">
            <hr style="COLOR: black" noshade size="2">
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        </div>
        <div id="HDR">
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      </div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Cost
        of Sales</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.
        During
        the three months ended September 30, 2007, the cost of sales represented
        81% of
        net sales compared to 74% for the third quarter of 2006. The reduction in
        gross
        margin for the quarter compared to 2006 resulted primarily from a change
        in
        product mix of sales for the period. For the nine months ended September
        30,
        2007, the cost of sales represented 76% of net sales compared to 75% for
        the
        same period of 2006. </font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>General
        and Administrative</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.
        For the
        three months ended September 30, 2007, general and administrative expenses
        were
        $1,413,000 or 16% of net sales, compared to $1,216,000 or 14% of net sales
        for
        the same period in 2006. For the nine months ended September 30, 2007, general
        and administrative expenses were $3,923,000 or 15% of net sales, compared
        to
        $3,326,000 or 13% for the same period of 2006. The increase resulted primarily
        from additions to administrative staff, compensation rate adjustments for
        existing staff, increases in travel expenses related to pouch project and
        consulting fees relating to financial reporting and general management.
</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Selling</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.
        For the
        three months ended September 30, 2007, selling expenses were $162,000 or
        2% of
        net sales for the quarter, compared to $213,000 or 2% of net sales for the
        same
        three months of 2006. For the nine months ended September 30, 2007, selling
        expenses were $592,000 or 2% of net sales for that period, compared to $624,000
        or 2% of net sales for the same period of 2006. </font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Advertising
        and Marketing</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.
        For the
        three months ended September 30, 2007, advertising and marketing expenses
        were
        $326,000 or 4% of net sales for the period, compared to $361,000 or 4% of
        net
        sales for the same period of 2006. For the nine months ended September 30,
        2007,
        advertising and marketing expenses were $1,013,000 or 4% of net sales for
        that
        period, compared to $846,000 or 3% for the same period of 2006. The change
        in
        advertising and marketing was principally due to an increase in the amortization
        of artwork and printing plate costs that were expensed in the period as compared
        to the prior period.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Other
        Income (Expense)</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.
        During
        the nine months ended September 30, 2007, the Company has incurred interest
        expense of $985,000 compared to $1,297,000 incurred during the same period
        of
        2006. During the three months ended September 30, 2007, the company had incurred
        interest expense of $351,000, compared to interest expense incurred during
        the
        same period of 2006 in the amount of $521,000. The decrease in interest expense
        in both periods is a result of both a lower rate of interest payable on
        outstanding loan balances and decreased levels of borrowing. </font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">During
        the nine months ended September 30, 2007, the Company had currency transaction
        gains of $165,000 compared to currency transaction gains during the same
        period
        of 2006 in the amount of $154,000.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Income
        Taxes</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.
        For the
        nine months ended September 30, 2007, there was an income tax benefit of
        $31,000. This was net of a provision for income taxes for CTI Balloons, Ltd,
        the
        Company&#8217;s subsidiary in the United Kingdom and Flexo Universal the Company&#8217;s
        subsidiary in Mexico. For the same period of 2006, the Company recorded an
        income tax expense of $59,000, relating to income taxes in the United Kingdom.
        </font></div>
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      </div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Net
        (Loss) Income</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.
        For the
        three months ended September 30, 2007, the Company had a net loss of $414,000
        or
        $0.18 per share (basic and diluted) compared to net income for the same period
        in 2006 of $315,000 or $0.15 per share (basic and diluted). For the nine
        months
        ended September 30, 2007, the Company had a net loss of $43,000 or $0.02
        per
        share (basic and diluted) per share, compared to net income of $741,000 or
        $0.36
        per share (basic) and $0.34 (diluted) for the same period of 2006. The
        difference in net income for the third quarter of 2007 compared to the same
        period of 2006 is attributable principally to (i) a lower level of gross
        margin
        during the third quarter of 2007 resulting from a change in product mix in
        the
        period and (ii) an item of other income realized in the third quarter of
        2006 in
        the amount of $460,000 arising from the settlement of a vendor claim for
        less
        than the amount reserved for the claim. </font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Financial
        Condition, Liquidity and Capital Resources</strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><em>&#160;</em></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Cash
        Flow Items</strong></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Operating
        Activities</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.
        During
        the nine months ended September 30, 2007, net cash provided by operations
        was
        $924,000, compared to net cash used in operations during the same period
        in 2006
        of $1,434,000.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Significant
        changes in working capital items during the nine months ended September 30,
        2007
        consisted of (i) a decrease in accounts receivable of $610,000, (ii) an increase
        in inventories of $1,624,000, (iii) an increase in trade payables of $1,126,000,
        and (iv) a decrease in accrued expenses of $411,000. </font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Investing
        Activity</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.
        During
        the nine months ended September 30, 2007, net cash used in investing activities
        was $1,775,000 compared to $330,000 in the same period of 2006. We do anticipate
        incurring additional capital expenditures during the balance of 2007 and
        the
        first quarter of 2008 for improvements to our facilities and for the acquisition
        of production equipment related principally to our new pouch products. Our
        additional current commitment for capital expenditures is $775,000.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Financing
        Activities</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.
        For the
        nine months ended September 30, 2007, net cash provided by financing activities
        was $784,000 compared to cash provided by financing activities for the same
        period of 2006 in the amount of $1,763,000. In the first nine months of 2007
        financing activities included the receipt of $882,000 from the sale of common
        stock under the SEDA agreement to Cornell Capital, receipt of $146,000 in
        proceeds from the exercise of stock options and payments of $935,000 on
        long-term debt and reductions of the revolving loan balance in the amount
        of
        $859,000. </font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Liquidity
        and Capital Resources</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.
        At
        September 30, 2007, the Company had a cash and cash equivalents balance of
        $331,000. At September 30, 2007, the Company had a working capital balance
        of
        $1,834,000 compared to a working capital balance of $1,848,000 at December
        31,
        2006.</font></div>
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      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
        Company's current cash management strategy includes utilizing the Company's
        revolving line of credit for liquidity. Under our line of credit with RBS
        Citizens, N.A., successor by merger to Charter One Bank, we are entitled
        to
        borrow an amount equal to 85% of eligible receivables and 60% of eligible
        inventory, up to a maximum of $7,000,000. Foreign receivables and inventory
        held
        by our foreign subsidiaries are not eligible. In addition, in order to be
        permitted to make advances under the line of credit, we are required to meet
        various financial covenants. As of September 30, 2007, the Company was not
        in
        compliance with two of the covenants. The Company has received a waiver of
        such
        covenant violations for the period ended September 30.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">On
        November 13, 2007, we entered into Amendment Number 3 to the Loan Agreement
        with
        RBS Citizens, N.A.. The Amendment (i) increased the maximum amount available
        to
        the Company under the revolving line of credit from $7 million to $9 million,
        (ii) increased the maximum advance amount on inventory from $3.5 million
        to $4.5
        million, (iii) amended a financial covenant concerning the ratio of EBITDA
        to
        fixed payment obligations so that all proceeds from the sale of stock and
        the
        leasing line provided by the Bank which are used in capital investment will
        not
        affect the covenant determination, (iv) amended a financial covenant concerning
        the ratio of EBITDA to senior debt and (v) authorized a capital lease
        line&#160;of credit to the Company in the amount of $1.5 million.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">In
        connection with the amendment, John H. Schwan and Stephen M. Merrick, officers,
        directors and principal shareholders of the Company have executed personal
        guarantees of the company obligations to RBS Citizens, N.A. each in the amount
        of $2 million.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">We
        believe that with our present cash and working capital and the amounts available
        to us under our line of credit and through sales of common stock, we will
        have
        sufficient funds to enable us to meet our obligations through the next twelve
        months, and further that we will be able to comply with the financial covenants,
        as amended, of our Loan Agreement with RBS Citizens, N.A.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
        loan
        agreement provides for interest at varying rates in excess of the Bank&#8217;s prime
        rate, depending upon the level of senior debt to EBITDA over time. As of
        September 30, 2007, the applicable premium being applied was 0.75%.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Also,
        under the loan agreement, we were required to purchase a swap agreement with
        respect to at least 60% of the mortgage and term loan portions of our loan.
        On
        April 5, 2006, we entered into a swap arrangement with RBS Citizens, N.A.
        with
        respect to 60% of the principal amounts of the mortgage loan and the term
        loan,
        which had the effect of fixing the interest rate for such portions of the
        loans
        for the balance of the loan terms. These swap arrangements are subject to
        some
        market variation due to market interest rate variability. Management believes
        that these variations will not materially affect the results of the Company.
        </font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">On
        September 6, 2006, we entered into a Standby Equity Distribution Agreement
        with
        Cornell Capital pursuant to which we may, at our discretion, periodically
        sell
        to Cornell Capital shares of common stock for a total purchase price of up
        to $5
        million. For each share of common stock purchased under the Standby Equity
        Distribution Agreement, Cornell will pay 100% of the lowest volume weighted
        average price (as quoted by Bloomberg, LP) of our common stock on the Nasdaq
        Capital Market or other principal market on which our stock is traded for
        the
        five days immediately following the notice date. The number of shares purchased
        by Cornell Capital for each advance is determined by dividing the amount
        of each
        advance by the purchase price for the shares of common stock. Furthermore,
        Cornell Capital will receive 5% of each advance in cash under the Standby
        Equity
        Distribution Agreement as an underwriting discount. Cornell&#8217;s obligation to
        purchase shares of our common stock under the Agreement is subject to certain
        conditions, including: (i) we have obtained an effective registration statement
        for the shares of common stock sold to Cornell under the Agreement and (ii)
        the
        amount of each advance requested by us under the Agreement shall not be more
        than $100,000.</font></div>
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      </div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">We
        are
        permitted to make draws on the Standby Equity</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Distribution
        Agreement only so long as Cornell Capital&#8217;s beneficial ownership of our common
        stock remains lower than 9.9%. A possibility exists that Cornell Capital
        may own
        more than 9.9% of CTI&#8217;s outstanding common stock at a time when we would
        otherwise plan to make an advance under the Standby Equity Distribution
        Agreement. We do not have any agreements with Cornell Capital regarding the
        distribution of such stock, although Cornell Capital has indicated that it
        intends promptly to sell any stock received under the Standby Equity
        Distribution Agreement.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">We
        cannot
        predict the actual number of shares of common stock that will be issued pursuant
        to the Standby Equity Distribution Agreement, in part, because the purchase
        price of the shares will fluctuate based on prevailing market conditions,
        and we
        have not determined the total amount of advances we intend to draw. We have
        registered 400,000 shares of common stock for the sale under the Standby
        Equity
        Distribution Agreement. The Company and Cornell have agreed that the Company
        will not sell to Cornell Capital in excess of 400,000 shares unless and until
        the Company shall have obtained shareholder approval for such sales.
</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">On
        December 28, 2006, we filed a Registration Statement for the registration
        of
        403,500 shares of our common stock. On January 26, 2007, the Registration
        Statement was declared effective. Since that time, to October 29, 2007 we
        have
        sold an aggregate of 323,625 shares of common stock to Cornell under the
        SEDA
        and have received net proceeds from the sale of those shares in the amount
        of
        $1,355,000. </font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Seasonality</u></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Sales
        in
        the metalized balloon product line have historically been seasonal with
        approximately 45% occurring in the period from December through March and
        21%
        being generated in the period July through October. The sale of latex balloons
        and laminated film products have not historically been seasonal.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Critical
        Accounting Policies</u></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">A
        summary
        of our critical accounting policies and estimates is presented on pages 42
        and
        43 of our 2006 Annual Report on Form 10-K, as filed with the Securities and
        Exchange Commission. There have been no changes to these policies during
        the
        nine months ended September 30, 2007. </font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Item
        3. </strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong><u>Quantitative
        and Qualitative Disclosures Regarding Market Risk</u></strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>&#160;</strong></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
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          <div style="WIDTH: 100%; TEXT-ALIGN: center">
            <hr style="COLOR: black" noshade size="2">
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        </div>
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      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
        Company is exposed to various market risks, primarily foreign currency risks
        and
        interest rate risks. </font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
        Company&#8217;s earnings are affected by changes in interest rates as a result of
        variable rate indebtedness. If market interest rates for our variable rate
        indebtedness average 1% more than the interest rate actually paid for the
        quarter ended September 30, 2007 and 2006, our interest rate expense would
        have
        increased, and income before income taxes would have decreased by $21,000
        and
        $23,000 for these periods, respectively. If market interest rates for our
        variable rate indebtedness average 1% more than the interest rate actually
        paid
        for the nine months ended September 30, 2007 and 2006, our interest rate
        expense
        would have increased, and income before income taxes would have decreased
        by
        $63,000 and $68,000 for these quarters, respectively. These amounts are
        determined by considering the impact of the hypothetical interest rates on
        our
        borrowings. This analysis does not consider the effects of the reduced level
        of
        overall economic activity that could exist in such an environment. Further,
        in
        the event of a change of such magnitude, management would likely take actions
        to
        reduce our exposure to such change. However, due to the uncertainty of the
        specific actions we would take and their possible effects, the sensitivity
        analysis assumes no change in our financial structure.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
        Company&#8217;s earnings and cash flows are subject to fluctuations due to changes in
        foreign currency rates, particularly the Mexican peso and the British pound,
        as
        the Company produces and sells products in Mexico for sale in the United
        States
        and other countries and the Company&#8217;s UK subsidiary purchases balloon products
        from the Company in dollars. Also, the Mexican subsidiary purchases goods
        from
        external sources in U.S. dollars and is affected by currency fluctuations
        in
        those transactions. Substantially all of the Company&#8217;s purchases and sales of
        goods for its operations in the United States are done in U.S. dollars. However,
        the Company&#8217;s level of sales in other countries may be affected by currency
        fluctuations. As a result, exchange rate fluctuations may have an effect
        on
        sales and gross margins. Accounting practices require that the Company&#8217;s results
        from operations be converted to U.S. dollars for reporting purposes.
        Consequently, the reported earnings of the Company in future periods may
        be
        affected by fluctuations in currency exchange rates, generally increasing
        with a
        weaker U.S. dollar and decreasing with a strengthening U.S. dollar. To date,
        we
        have not entered into any transactions to hedge against currency fluctuation
        results.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">We
        have
        performed a sensitivity analysis as of September 30, 2007 that measures the
        change in the results of our foreign operations arising from a hypothetical
        10%
        adverse movement in the exchange rate of all of the currencies the Company
        presently has operations in. Using the results of operations for the three
        months ended September 30, 2007 and 2006, for the Company&#8217;s foreign operations
        as a basis for comparison, an adverse movement of 10% would create a potential
        reduction in the Company&#8217;s net income, or increase its net loss before taxes, in
        the amount of $48,000 and $54,000 for each of those periods, respectively.
        Using
        the results of operations for the nine months ended September 30, 2007 and
        2006
        for the Company&#8217;s foreign operations as a basis for comparison, an adverse
        movement of 10% would create a potential reduction in the Company&#8217;s net income,
        or increase its net loss before taxes, in the amount of $144,000 and $48,000
        for
        each of those periods, respectively.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
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      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
        Company is also exposed to market risk in changes in commodity prices in
        some of
        the raw materials it purchases for its manufacturing needs. However, this
        presents a risk that would not have a material effect on the Company&#8217;s results
        of operations or financial condition. </font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><a name="fis_control_and_procedures"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Item
        4. </strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong><u>Controls
        and Procedures</u></strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>&#160;</strong></font></a></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(a)
        Evaluation of disclosure controls and procedures: Our principal executive
        officer and principal financial officer have reviewed and evaluated the
        effectiveness of the Company&#8217;s disclosure controls and procedures as of
        September 30, 2007. Based on such review and evaluation, our chief executive
        officer and chief financial officer have concluded that, as of such date,
        our
        disclosure controls and procedures were adequate and effective to ensure
        that
        the information required to be disclosed by the Company in the reports it
        files
        or submits under the Securities Exchange Act of 1934, as amended (a) is
        recorded, processed, summarized and reported within the time period specified
        in
        the SEC&#8217;s rules and forms and (b) is accumulated and communicated to the
        Company&#8217;s management, including the officers, as appropriate to allow timely
        decisions regarding required disclosure.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(b)
        Changes in internal controls: There were no significant changes in our internal
        controls or in other factors that could significantly affect the Company&#8217;s
        disclosure controls and procedures subsequent to the date of their evaluation,
        nor were there any significant deficiencies or material weaknesses in the
        Company&#8217;s internal controls. As a result, no corrective actions were required or
        undertaken. </font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong><u>Part
        II.</u></strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>&#160;</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong><u>OTHER
        INFORMATION</u></strong></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Item
        1. </strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong><u>Legal
        Proceedings</u></strong></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">On
        December 20, 2006, Pliant Corporation filed an action against the Company
        in the
        Circuit Court of Cook County, Illinois. In the action, Pliant claims that
        there
        is due from the Company to Pliant the sum of $245,000 for goods sold and
        delivered by Pliant to the Company as well as interest on such amount. On
        February 21, 2007, the Company filed an answer to the complaint and counterclaim
        denying liability and asserting certain claims against Pliant for damages
        for
        the sale by Pliant to the Company of defective products. Currently discovery
        is
        under way. Management intends to defend the claims of Pliant in this action
        and
        to pursue its counterclaims and believes that the Company has established
        adequate reserves regarding the claim. </font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
        Company is a party to certain lawsuits or claims arising in the normal course
        of
        business. The ultimate outcome of these matters is unknown, but in the opinion
        of management, we do not believe any of these proceedings or claims will
        have,
        individually or in the aggregate, a material adverse effect upon our financial
        condition, future results of operation or cash flows.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Item
        1A. </strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong><u>Risk
        Factors</u></strong></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">There
        have been no material changes from the risk factors as disclosed in the
        Company&#8217;s Form 10-K for 2006 in response to Item 1A to Part I of Form 10-K,
        except as set forth below:</font></div>
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      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><em>Changes
        or limitations in the price and availability of helium to our customers may
        adversely affect our sales of novelty products.</em></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Many
        of
        our novelty products, including many styles of foil balloons and latex balloons,
        are intended to be, and are, when sold to or used by customers filled with
        helium for buoyancy. During recent months, the price of helium has increased.
        It
        has been reported that the supply of helium is decreasing, that demand for
        helium for industrial and scientific uses has been increasing and that exports
        of helium from the United States, which is the principal producer of helium,
        have increased. As a result, the increased price of helium and possible lack
        of
        availability may adversely affect sales of novelty balloon products, including
        sales by the Company.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 72pt; TEXT-INDENT: -72pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Item
        2.</strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong><u>Unregistered
        Sales of Equity Securities and Use of Proceeds</u></strong></font></div>
      <div>&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">During
        the period from the effective date of the Registration Statement to October
        29,
        2007 for the sale of our stock to Cornell (as described above), we have received
        proceeds from the sale of our stock to Cornell, net of expenses and discounts,
        in the amount of $1,355,000. We have utilized these proceeds for (i) repayment
        of indebtedness, (ii) capital expenditures and (iii) general corporate
        purposes.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Item
        3. </strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong><u>Defaults
        Upon Senior Securities</u></strong></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Not
        applicable.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Item
        4. </strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong><u>Submission
        of Matters to a Vote of Security Holders</u></strong></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Not
        applicable. </font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Item
        5.</strong></font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>&#160;</strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong><u>Other
        Information</u></strong></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
        Certifications of the Chief Executive Officer and the Chief Financial Officer
        of
        Registrant Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 are
        attached, as Exhibits to this Report on Form 10-Q. </font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Item
        6. </strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong><u>Exhibits
        </u></strong></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
        following are being filed as exhibits to this report: *</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
        <div id="FTR">
          <div id="GLFTR" style="WIDTH: 100%" align="left">
          </div>
        </div>
        <div id="PN" style="PAGE-BREAK-AFTER: always">
          <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: Times New Roman">-13-</font></div>
          <div style="WIDTH: 100%; TEXT-ALIGN: center">
            <hr style="COLOR: black" noshade size="2">
          </div>
        </div>
        <div id="HDR">
          <div id="GLHDR" style="WIDTH: 100%" align="right">
          </div>
        </div>
      </div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">
        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center">&#160;</div>
        <div>
          <table cellpadding="0" cellspacing="0" width="100%">

              <tr>
                <td align="left" valign="top" width="10%" style="border-bottom: medium none;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Exhibit
                    No.</u></font></div>
                </td>
                <td valign="top" width="70%" style="border-bottom: medium none;">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Description</u></font></div>
                </td>
              </tr>
              <tr>
                <td valign="top" width="10%">&#160;</td>
                <td align="justify" valign="top" width="70%">&#160;</td>
              </tr>
              <tr>
                <td valign="top" width="10%">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">3.1</font></div>
                </td>
                <td align="justify" valign="top" width="70%">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Third
                    Restated Certificate of Incorporation of CTI Industries Corporation
                    (incorporated by reference to Exhibit A contained in Registrant&#8217;s Schedule
                    14A Definitive Proxy Statement for solicitation of written consent
                    of
                    shareholders, as filed with Commission on October 25,
                    1999)</font></div>
                </td>
              </tr>
              <tr>
                <td valign="top" width="10%">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">3.2</font></div>
                </td>
                <td align="justify" valign="top" width="70%">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">By-laws
                    of CTI Industries Corporation (incorporated by reference to Exhibits,
                    contained in Registrant&#8217;s Form SB-2 Registration Statement (File No.
                    333-31969) effective November 5, 1997)</font></div>
                </td>
              </tr>
              <tr>
                <td valign="top" width="10%">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">10.1</font></div>
                </td>
                <td align="justify" valign="top" width="70%">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Amendment
                    Number 3 to Loan Agreement among RBS Citizens, N.A. successor
                    by merger
                    with Charter One Bank, CTI Industries Corporation and CTI Helium,
                    Inc.
                    dated November 13, 2007 and associated documents.</font></div>
                </td>
              </tr>
              <tr>
                <td valign="top" width="10%">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">31.1</font></div>
                </td>
                <td align="justify" valign="top" width="70%">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Sarbanes-Oxley
                    Act Section 302 Certifications for Howard W. Schwan</font></div>
                </td>
              </tr>
              <tr>
                <td valign="top" width="10%">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">31.2</font></div>
                </td>
                <td align="justify" valign="top" width="70%">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Sarbanes-Oxley
                    Act Section 302 Certification for Stephen M. Merrick</font></div>
                </td>
              </tr>
              <tr>
                <td valign="top" width="10%">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">32.1</font></div>
                </td>
                <td align="justify" valign="top" width="70%">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Sarbanes-Oxley
                    Act Section 906 Certification for Stephen M. Merrick, Chief Financial
                    Officer</font></div>
                </td>
              </tr>
              <tr>
                <td valign="top" width="10%">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">32.2</font></div>
                </td>
                <td align="justify" valign="top" width="70%">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Sarbanes-Oxley
                    Act Section 906 Certification for Howard W. Schwan, Chief Executive
                    Officer</font></div>
                </td>
              </tr>

          </table>
        </div>
        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">*
          Also
          incorporated by reference the Exhibits filed as part of the SB-2 Registration
          Statement of the Registrant, effective November 5, 1997, and subsequent
          periodic
          filings. </font></div>
        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><a name="fis_certification_4"><br></a>
          <div id="PGBRK" style="MARGIN-LEFT: 0pt; WIDTH: 100%; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
            <div id="FTR">
              <div id="GLFTR" style="WIDTH: 100%" align="left">
              </div>
            </div>
            <div id="PN" style="PAGE-BREAK-AFTER: always">
              <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: Times New Roman">-14-</font></div>
              <div style="WIDTH: 100%; TEXT-ALIGN: center">
                <hr style="COLOR: black" noshade size="2">
              </div>
            </div>
            <div id="HDR">
              <div id="GLHDR" style="WIDTH: 100%" align="right">
              </div>
            </div>
          </div><br><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>SIGNATURES</strong></font></div>
        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Pursuant
          to the requirements of the Securities Exchange Act of 1934, the Registrant
          has
          duly caused this report to be signed on its behalf by the undersigned thereunto
          duly authorized.</font></div>
        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Dated:
          November 13, 2007</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font></div>
        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">
          <table align="center" bgcolor="#ffffff" border="0" cellpadding="0" cellspacing="0" width="100%">

              <tr valign="top" bgcolor="#ffffff">
                <td width="50%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
                <td width="1%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
                <td width="49%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
              </tr>
              <tr valign="top" bgcolor="#ffffff">
                <td><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
                <td colspan="2"><font size="2">CTI INDUSTRIES CORPORATION</font></td>
              </tr>
              <tr valign="top" bgcolor="#ffffff">
                <td><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;<br>&#160;</font></td>
                <td><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;<br>&#160;</font></td>
                <td><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;<br>&#160;</font></td>
              </tr>
              <tr valign="top" bgcolor="#ffffff">
                <td>&#160;</td>
                <td><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">By:&#160;&#160;</font></td>
                <td><font size="2">/s/ Howard W. Schwan</font></td>
              </tr>
              <tr valign="top" bgcolor="#ffffff">
                <td colspan="2">&#160;</td>
                <td align="left">
                  <hr style="COLOR: black" align="left" noshade size="2" width="80%"><font size="2">Howard
                  W. Schwan, President</font></td>
              </tr>
              <tr valign="top" bgcolor="#ffffff">
                <td colspan="2"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
                <td>&#160;</td>
              </tr>

          </table><br></div>
        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">
          <table align="center" bgcolor="#ffffff" border="0" cellpadding="0" cellspacing="0" width="100%">

              <tr valign="top" bgcolor="#ffffff">
                <td width="50%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#160;</font></td>
                <td width="1%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#160;</font></td>
                <td width="49%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#160;</font></td>
              </tr>
              <tr valign="top" bgcolor="#ffffff">
                <td>&#160;</td>
                <td><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">By:&#160;&#160;</font></td>
                <td><font size="2">/s/ Stephen M. Merrick</font></td>
              </tr>
              <tr valign="top" bgcolor="#ffffff">
                <td colspan="2"><font size="1">&#160;</font></td>
                <td align="left">
                  <hr style="COLOR: black" align="left" noshade size="2" width="80%"><font size="2">Stephen
                  M. Merrick</font></td>
              </tr>
              <tr valign="top" bgcolor="#ffffff">
                <td colspan="2"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#160;</font></td>
                <td><font size="2">Executive Vice President and</font></td>
              </tr>
              <tr valign="top" bgcolor="#ffffff">
                <td colspan="2">&#160;</td>
                <td><font size="2">Chief Financial
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              </tr>

          </table>
        </div>
      </div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">
        <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
          <div id="FTR">
            <div id="GLFTR" style="WIDTH: 100%" align="left">
            </div>
          </div>
          <div id="PN" style="PAGE-BREAK-AFTER: always">
            <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: Times New Roman">-15-</font></div>
            <div style="WIDTH: 100%; TEXT-ALIGN: center">
              <hr style="COLOR: black" noshade size="2">
            </div>
          </div>
          <div id="HDR">
            <div id="GLHDR" style="WIDTH: 100%" align="right">
            </div>
          </div>
          <div>&#160;</div>
        </div>
        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">
          <div>
            <div>
              <table cellpadding="0" cellspacing="0" width="100%">

                  <tr>
                    <td align="left" colspan="4" valign="bottom" width="73%">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><a name="RANGE_A1:G72"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>CTI
                        Industries Corporation and Subsidiaries</strong></font></a></div>
                    </td>
                  </tr>
                  <tr>
                    <td align="left" colspan="4" valign="bottom" width="73%">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Consolidated
                        Balance Sheets</strong></font></div>
                    </td>
                  </tr>

              </table>
            </div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
            <div>
              <table cellpadding="0" cellspacing="0" id="ftable" width="100%">

                  <tr>
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ffffff solid;">&#160;</td>
                    <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                    <td colspan="2" valign="bottom" width="12%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>September
                        30, 2007</strong></font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">
                      <div>&#160;</div>
                    </td>
                    <td align="left" colspan="2" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>December
                        31, 2006</strong></font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">ASSETS</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td colspan="2" valign="bottom" width="12%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(unaudited)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td colspan="2" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Current
                        assets:</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Cash
                        and cash equivalents</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
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                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Accounts
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                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
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                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">and
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                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Inventories,
                        net</font></div>
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                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">7,974,113
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
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                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Net
                        deferred income tax asset</font></div>
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                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,030,528
                        </font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,025,782
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
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                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Prepaid
                        expenses and other current assets</font></div>
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                    <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,103,813
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">664,020
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 27pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Total
                        current assets</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">17,727,923
                        </font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">16,491,245
                        </font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Property,
                        plant and equipment:</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Machinery
                        and equipment</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">18,978,635
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">18,763,007
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Building</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">3,022,495
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,689,956
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Office
                        furniture and equipment</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,157,532
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,087,708
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Land</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">250,000
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">250,000
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Leasehold
                        improvements</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">465,689
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">459,502
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Fixtures
                        and equipment at customer locations</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,330,483
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,330,483
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Projects
                        under construction</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,421,639
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">289,229
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white thin solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">28,626,473
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">26,869,885
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Less
                        : accumulated depreciation and amortization</font></div>
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                    <td width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(19,281,710</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(18,277,611</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 27pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Total
                        property,plant and equipment, net</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">9,344,763
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">8,592,274
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Other
                        assets:</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Deferred
                        financing costs, net</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">144,230
                        </font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">207,049
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Goodwill
                        </font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">989,108
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">989,108
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Net
                        deferred income tax asset</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">137,408
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">101,102
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Other
                        assets (due from related party $51,000 and $30,000,
                        respectively)</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">210,353
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">264,161
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white thin solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 27pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Total
                        other assets</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,481,099
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,561,420
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white thin solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">TOTAL
                        ASSETS</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">28,553,785
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">26,644,939
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">LIABILITIES
                        AND STOCKHOLDERS' EQUITY</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Current
                        liabilities:</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Checks
                        written in excess of bank balance</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,374,219
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">108,704
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Trade
                        payables</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">4,536,559
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">3,410,869
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
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                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Line
                        of credit</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">5,459,192
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">6,317,860
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Notes
                        payable - current portion</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">876,078
                        </font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">948,724
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Notes
                        payable - officers, current portion, net of debt discount
                        of $89,000 and
                        $90,000</font></div>
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                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
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                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,155,284
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Accrued
                        liabilities</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,547,571
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,701,933
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white thin solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Total
                        current liabilities</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">15,950,684
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">14,643,374
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Long-term
                        liabilities:</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Other
                        liabilities (related parties $1,067,000 and $1,274,000)</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,082,250
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,294,272
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Notes
                        payable, net of current portion</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">4,528,419
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">4,866,008
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Notes
                        payable - officers, subordinated, net of debt discount of
                        $207,000 and
                        $273,000 </font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">793,129
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">726,688
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Total
                        long-term liabilities</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">6,403,798
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">6,886,968
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Minority
                        interest</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">12,568
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">12,672
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Stockholders'
                        equity:</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Preferred
                        Stock -- no par value 2,000,000 shares authorized</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">0
                        shares issued and outstanding</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">-
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">-
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Common
                        stock - no par value, 5,000,000 shares authorized,</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2,465,573
                        and 2,412,297 shares issued and 2,465,573 and 2,142,097</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
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                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">outstanding,
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">3,764,020
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">3,764,020
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
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                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Paid-in-capital</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">6,259,768
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">6,100,587
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Warrants
                        issued in connection with subordinated debt and bank debt</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,038,487
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,038,487
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Accumulated
                        deficit</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(4,488,748</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(4,445,897</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Accumulated
                        other comprehensive loss</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(386,792</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(297,490</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Less:
                        Treasury stock - 270,200 shares at December 31, 2006</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">0
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(1,057,782</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 27pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Total
                        stockholders' equity</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">6,186,735
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">5,101,925
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">TOTAL
                        LIABILITIES AND STOCKHOLDERS' EQUITY</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">28,553,785</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">26,644,939</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc solid;">&#160;</td>
                  </tr>

              </table>
            </div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><br></div>
            <div>
              <table cellpadding="0" cellspacing="0" width="100%">

                  <tr>
                    <td align="left" colspan="4" valign="bottom" width="66%">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">See
                        accompanying notes to condensed consolidated unaudited
                        statements</font></div>
                    </td>
                  </tr>

              </table>
            </div>
            <div>&#160;</div>
          </div>
          <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
            <div id="FTR">
              <div id="GLFTR" style="WIDTH: 100%" align="left">
              </div>
            </div>
            <div id="PN" style="PAGE-BREAK-AFTER: always">
              <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">F-1</font></div>
              <div style="WIDTH: 100%; TEXT-ALIGN: center">
                <hr style="COLOR: black" noshade size="2">
              </div>
            </div>
            <div id="HDR">
              <div id="GLHDR" style="WIDTH: 100%" align="right">
              </div>
            </div>
          </div>
          <div>&#160;</div>
          <div><br>
            <div>
              <table cellpadding="0" cellspacing="0" width="100%">

                  <tr>
                    <td align="left" valign="bottom" width="36%">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>CTI
                        Industries Corporation and Subsidiaries</strong></font></div>
                    </td>
                  </tr>
                  <tr>
                    <td align="left" valign="bottom" width="36%">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Consolidated
                        Statements of&#160;Operations
                        (Unaudited)</strong></font></div>
                    </td>
                  </tr>

              </table>
            </div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
            <div>
              <table cellpadding="0" cellspacing="0" id="ftable" width="100%">

                  <tr>
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ffffff solid;">&#160;</td>
                    <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                    <td colspan="5" valign="bottom" width="26%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">For
                        the Three Months Ended </font></div>
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">September
                        30,</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                    <td colspan="5" valign="bottom" width="25%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">For
                        the Nine Months Ended </font></div>
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">September
                        30,</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                  </tr>
                  <tr>
                    <td align="left" valign="bottom" width="43%" style="border-bottom: medium none;">&#160;</td>
                    <td width="2%" style="border-bottom: medium none;">&#160;</td>
                    <td colspan="2" valign="bottom" width="12%" style="border-bottom: medium none;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2007</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">&#160;</td>
                    <td colspan="2" valign="bottom" width="12%" style="border-bottom: medium none;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2006</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">&#160;</td>
                    <td colspan="2" valign="bottom" width="12%" style="border-bottom: medium none;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2007</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">&#160;</td>
                    <td colspan="2" valign="bottom" width="11%" style="border-bottom: medium none;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2006</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: medium none;">&#160;</td>
                  </tr>
                  <tr>
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ffffff solid;">&#160;</td>
                    <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                    <td colspan="2" valign="bottom" width="12%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center">&#160;</div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                    <td colspan="2" valign="bottom" width="12%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center">&#160;</div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
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                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center">&#160;</div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
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                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Net
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                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">8,672,726</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">8,602,733</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">25,755,891</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
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                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Cost
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                    <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">7,055,243
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">6,349,870
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">19,945,862
                        </font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">19,352,602
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Gross
                        profit</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,617,483
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,252,863
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">6,264,566
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">6,403,289
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Operating
                        expenses:</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">General
                        and administrative</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,413,133
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,216,107
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">3,922,572
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">3,325,537
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Selling</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">161,820
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">213,414
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">592,294
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">624,332
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Advertising
                        and marketing</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">325,643
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">360,598
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,012,862
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">846,231
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
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                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Loss
                        on sale of asset</font></div>
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                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">-
                        </font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">141,977
                        </font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">-
                        </font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
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                        </font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Other
                        income</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">-
                        </font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(460,295</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">-
                        </font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(460,295</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: white thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;<font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Total
                        operating expenses</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,900,596
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,471,801
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">5,527,728
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">4,477,782
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white thin solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(Loss)
                        income from operations</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(283,113</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">781,062
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">736,838
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,925,507
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Other
                        income (expense):</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Interest
                        expense</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(351,266</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(520,747</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(984,890</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(1,296,977</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Interest
                        income</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,437
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">6,282
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">8,563
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
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                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Foreign
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">72,135
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">63,828
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">165,482
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">154,382
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc solid;">&#160;</td>
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                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
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                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;<font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Total
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                    <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(450,637</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(810,845</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(1,122,132</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
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                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
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                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
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                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(559,807</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">330,425
                        </font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(74,007</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">803,375
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Income
                        tax (benefit) expense </font></div>
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                    <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(145,939</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">11,719
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(31,053</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">59,330
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(Loss)
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                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(413,868</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">318,706
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(42,954</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
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                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
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                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Minority
                        interest in (income) loss of subsidiary</font></div>
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                    <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(34</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">3,242
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(103</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">3,114
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;<font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Net
                        (loss) income </font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(413,834</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">315,464</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(42,851</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">740,931</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Other
                        Comprehensive (Loss)&#160;Income</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Unrealized
                        loss on derivative instruments</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(55,336</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">-</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(24,176</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">-</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Foreign
                        currency adjustment</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(63,674</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(52,142</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(65,126</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(18,422</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;<font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Comprehensive
                        (loss) income</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(532,844</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">263,322</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(132,153</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">722,509</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white thin solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Basic
                        (loss) income per common share</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(0.18</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">0.15</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(0.02</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">0.36</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Diluted
                        (loss) income per common share</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(0.18</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">0.15</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(0.02</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">0.34</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" colspan="8" valign="bottom" width="73%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Weighted
                        average number of shares and equivalent shares</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">of
                        common stock outstanding:</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Basic</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,339,467
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,055,553
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,275,541
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,071,199
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
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                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Diluted</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,129,658
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
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                        </font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc solid;">&#160;</td>
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            <div>
              <table cellpadding="0" cellspacing="0" width="100%">

                  <tr>
                    <td align="left" colspan="3" valign="bottom" width="55%">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">See
                        accompanying notes to condensed consolidated unaudited
                        statements</font></div>
                    </td>
                  </tr>

              </table>
            </div>
          </div>
          <div>&#160;</div>
          <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
            <div id="FTR">
              <div id="GLFTR" style="WIDTH: 100%" align="left">
              </div>
            </div>
            <div id="PN" style="PAGE-BREAK-AFTER: always">
              <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">F-2</font></div>
              <div style="WIDTH: 100%; TEXT-ALIGN: center">
                <hr style="COLOR: black" noshade size="2">
              </div>
            </div>
            <div id="HDR">
              <div id="GLHDR" style="WIDTH: 100%" align="right">
              </div>
            </div>
            <div>&#160;</div>
          </div>
          <div>
            <div>
              <table cellpadding="0" cellspacing="0" width="100%">

                  <tr>
                    <td align="left" colspan="5" valign="bottom" width="72%">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>CTI
                        Industries Corporation and Subsidiaries</strong></font></div>
                    </td>
                  </tr>
                  <tr>
                    <td align="left" colspan="5" valign="bottom" width="72%">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Consolidated
                        Statements of Cash Flows
                        (Unaudited)</strong></font></div>
                    </td>
                  </tr>

              </table>
            </div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
            <div>
              <table cellpadding="0" cellspacing="0" id="ftable" width="100%">

                  <tr>
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ffffff solid;">&#160;</td>
                    <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                    <td colspan="5" valign="bottom" width="25%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">For
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                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">September
                        30,</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                  </tr>
                  <tr>
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ffffff solid;">&#160;</td>
                    <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                    <td colspan="2" valign="bottom" width="12%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2007</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                    <td colspan="2" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2006</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Cash
                        flows from operating activities:</font></div>
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                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Net
                        (loss) income </font></div>
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                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(42,852</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">740,931</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Adjustment
                        to reconcile net (loss) income to cash</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">provided
                        by (used in) operating activities:</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Depreciation
                        and amortization</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,105,865
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,072,851
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Amortization
                        of debt discount</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">68,282
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">78,030
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Change
                        in value of swap agreement </font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">24,176
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">0
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Minority
                        interest in (income) loss of subsidiary</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(103</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">3,114
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Provision
                        for losses on accounts receivable</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">96,543
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">118,299
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
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                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">123,937
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                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Stock
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
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                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Deferred
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">59,330
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
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                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Loss
                        on disposition of assets</font></div>
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                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">141,977
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Change
                        in assets and liabilities:</font></div>
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                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
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                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Accounts
                        receivable</font></div>
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                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">610,443
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(1,347,195</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
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                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Inventories</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(1,623,794</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(1,265,918</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
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                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Prepaid
                        expenses and other assets</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(136,618</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">39,559
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Trade
                        payables</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,126,446
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(1,288,396</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Accrued
                        liabilities</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(411,380</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">89,637
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 27pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;<font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Net
                        cash provided by (used in) operating activities</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">924,495
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(1,433,844</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Cash
                        flows from investing activity:</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Proceeds
                        from sale of property, plant and equipment</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">0
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">26,690
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
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                  <tr bgcolor="white">
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                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 27pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;<font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Net
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                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
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                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Cash
                        flows from financing activities:</font></div>
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                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
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                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Change
                        in checks written in excess of bank balance</font></div>
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                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,265,461
                        </font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(386,583</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Net
                        change in revolving line of credit</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(858,668</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">655,086
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Proceeds
                        from issuance of long-term debt and warrants </font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(received
                        from related party $1,000,000 in 2006)</font></div>
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                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">297,959
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,833,067
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Repayment
                        of long-term debt (related parties $103,000 and $15,000)</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(934,575</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(1,168,920</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Proceeds
                        from exercise of stock options</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">145,911
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">83,604
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Proceeds
                        from issuance of stock, net</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">882,324
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">0
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ffffff solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Cash
                        paid for deferred financing fees</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ffffff solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(14,213</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(253,330</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Net
                        cash provided by financing activities</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">784,199
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,762,924
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
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                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
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                    <td align="left" valign="bottom" width="71%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Effect
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                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: white thin solid;">&#160;</td>
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                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
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                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
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                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">58,489
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Cash
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                    <td width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">261,982
                        </font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: white thin solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Cash
                        and cash equivalents at end of period</font></div>
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                    <td width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">331,414</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">320,471</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: white solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Supplemental
                        disclosure of cash flow information:</font></div>
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                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Cash
                        payments for interest</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">972,888</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">872,487</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Cash
                        payments for taxes</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">81,900</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">80,508</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Supplemental
                        Disclosure of non-cash investing and financing activity</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Stock
                        subscription receivable (Other current assets)</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">188,730</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Stock
                        issued under consulting agreement </font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>

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            <div>&#160;</div>
            <div>
              <table cellpadding="0" cellspacing="0" id="ftable" width="100%">

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                    <td align="left" colspan="8" valign="bottom" width="100%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">See
                        accompanying notes to condensed consolidated unaudited
                        statements</font></div>
                    </td>
                  </tr>

              </table>
            </div>
            <div>&#160;</div>
          </div>
          <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
            <div id="FTR">
              <div id="GLFTR" style="WIDTH: 100%" align="left">
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            </div>
            <div id="PN" style="PAGE-BREAK-AFTER: always">
              <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">F-3</font></div>
              <div style="WIDTH: 100%; TEXT-ALIGN: center">
                <hr style="COLOR: black" noshade size="2">
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            </div>
            <div id="HDR">
              <div id="GLHDR" style="WIDTH: 100%" align="right">
              </div>
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          </div>
          <div>&#160;</div>
          <div>
            <div>
              <table cellpadding="0" cellspacing="0" width="100%">

                  <tr>
                    <td align="left" colspan="9" valign="bottom" width="99%">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>CTI
                        Industries Corporation and Subsidiaries</strong></font></div>
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                  </tr>
                  <tr>
                    <td align="left" colspan="9" valign="bottom" width="99%">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Consolidated
                        Earnings per Share
                        (unaudited)</strong></font></div>
                    </td>
                  </tr>

              </table>
            </div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
            <div>
              <table cellpadding="0" cellspacing="0" id="ftable" width="100%">

                  <tr>
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ffffff solid;">&#160;</td>
                    <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                    <td colspan="5" valign="bottom" width="26%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Three
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                    <td colspan="5" valign="bottom" width="25%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Nine
                        Months Ended September 30,</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
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                  <tr>
                    <td align="left" valign="bottom" width="43%" style="border-bottom: medium none;">&#160;</td>
                    <td width="2%" style="border-bottom: medium none;">&#160;</td>
                    <td colspan="2" valign="bottom" width="12%" style="border-bottom: medium none;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2007</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">&#160;</td>
                    <td colspan="2" valign="bottom" width="12%" style="border-bottom: medium none;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2006</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">&#160;</td>
                    <td colspan="2" valign="bottom" width="12%" style="border-bottom: medium none;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2007</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">&#160;</td>
                    <td colspan="2" valign="bottom" width="11%" style="border-bottom: medium none;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2006</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: medium none;">&#160;</td>
                  </tr>
                  <tr>
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ffffff solid;">&#160;</td>
                    <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                    <td colspan="2" valign="bottom" width="12%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center">&#160;</div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                    <td colspan="2" valign="bottom" width="12%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center">&#160;</div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                    <td colspan="2" valign="bottom" width="12%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center">&#160;</div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                    <td colspan="2" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center">&#160;</div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Basic</strong></font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Average
                        shares outstanding:</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Weighted
                        average number of common shares </font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">outstanding
                        </font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,339,467
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,055,553
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,275,541
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,071,199
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Net
                        (loss) income:</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Net
                        (loss) income</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(413,834</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">315,464</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(42,851</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">740,931</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Per
                        share amount</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(0.18</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">0.15</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(0.02</font></div>
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">0.36</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Diluted</strong></font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Average
                        shares outstanding:</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Weighted
                        average number of common shares </font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">outstanding
                        </font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,339,467
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,055,553
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,275,541
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,071,199
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left">&#160;<font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Effect
                        of dilutive shares </font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">-
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">74,105
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">-
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">84,826
                        </font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Weighted
                        average number of shares and</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">equivalent
                        shares of common stock</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">outstanding
                        </font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,339,467
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
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                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,156,025
                        </font></div>
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                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                    <td width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Net
                        (loss) income:</font></div>
                    </td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Net
                        (loss) income </font></div>
                    </td>
                    <td width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(413,834</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">315,464</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(42,851</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">740,931</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white solid;">&#160;</td>
                  </tr>
                  <tr bgcolor="#ccffcc">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                  </tr>
                  <tr bgcolor="white">
                    <td align="left" valign="bottom" width="43%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 9pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Per
                        share amount</font></div>
                    </td>
                    <td width="2%" style="border-bottom: white thin solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(0.18</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">0.15</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white solid;">&#160;</td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(0.02</font></div>
                    </td>
                    <td align="left" valign="bottom" width="2%" style="border-bottom: white solid;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                    </td>
                    <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">0.34</font></div>
                    </td>
                    <td align="left" valign="bottom" width="1%" style="border-bottom: white solid;">&#160;</td>
                  </tr>

              </table>
            </div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><br></div>
            <div>
              <table cellpadding="0" cellspacing="0" width="100%">

                  <tr>
                    <td align="left" colspan="7" valign="bottom" width="98%">
                      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">See
                        accompanying notes to condensed consolidated unaudited
                        statements</font></div>
                    </td>
                  </tr>

              </table>
            </div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
          </div>
          <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
            <div id="FTR">
              <div id="GLFTR" style="WIDTH: 100%" align="left">
              </div>
            </div>
            <div id="PN" style="PAGE-BREAK-AFTER: always">
              <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">F-4</font></div>
              <div style="WIDTH: 100%; TEXT-ALIGN: center">
                <hr style="COLOR: black" noshade size="2">
              </div>
            </div>
            <div id="HDR">
              <div id="GLHDR" style="WIDTH: 100%" align="right">
              </div>
            </div>
          </div>
          <div>&#160;</div>
          <div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">CTI
              Industries Corporation and Subsidiaries </font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Notes
              to
              Unaudited Condensed Consolidated Financial Statements </font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><a name="fis_notes_to_financial_statement"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Note
              1 - Basis of Presentation </strong></font></a></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
              accompanying consolidated financial statements are unaudited but in
              the opinion
              of management contain all the adjustments (consisting of those of a
              normal
              recurring nature) considered necessary to present fairly the consolidated
              financial position and the consolidated results of operations and consolidated
              cash flows for the periods presented in conformity with generally accepted
              accounting principles for interim consolidated financial information
              and the
              instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly,
              they do
              not include all the information and footnotes required by accounting
              principles
              generally accepted in the United States of America for complete financial
              statements. Operating results for the three and nine month periods
              ended
              September 30, 2007 are not necessarily indicative of the results that
              may be
              expected for the fiscal year ending December 31, 2007. For further
              information,
              refer to the consolidated financial statements and footnotes thereto
              included in
              the Company's annual report on Form 10-K for the fiscal year ended
              December 31,
              2006. </font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Principles
              of consolidation and nature of operations: </font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
              consolidated financial statements include the accounts of CTI Industries
              Corporation (&#8220;CTI-US&#8221;) and its wholly-owned subsidiaries, CTI Balloons Limited,
              CTI Helium, Inc. and CTF International S.A. de C.V., as well as its
              majority-owned subsidiaries CTI Mexico S.A. de C.V., and Flexo Universal,
              S.A.
              de C.V. (together referred to as the &#8220;Company&#8221;). All significant intercompany
              transactions and accounts have been eliminated in consolidation. The
              Company (i)
              designs, manufactures and distributes balloon products throughout the
              world and
              (ii) operates systems for the production, lamination, coating and printing
              of
              films used for food packaging and other commercial uses and for conversion
              of
              films to flexible packaging containers and other products. </font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Use
              of
              estimates: </font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">In
              preparing financial statements in conformity with accounting principles
              generally accepted in the United States of America, management makes
              estimates
              and assumptions that affect the reported amounts of assets and liabilities,
              disclosure of contingent assets and liabilities at the date of the
              financial
              statements and the reported amount of revenue and expenses during the
              reporting
              period in the financial statements and accompanying notes. Actual results
              may
              differ from those estimates. The Company&#8217;s significant estimates include
              reserves for doubtful accounts, reserves for the lower of cost or market
              of
              inventory and recovery value of goodwill.</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Earnings
              per share:</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Basic
              earnings per share is computed by dividing net earnings available to
              common
              shareholders by the weighted average number of shares of common stock
              outstanding during the period.</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Diluted
              earnings per share is computed by dividing the net earnings by the
              weighted
              average number of shares of common stock and common stock equivalents
              (stock
              options and warrants), unless anti-dilutive, during each period.</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
            <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
              <div id="FTR">
                <div id="GLFTR" style="WIDTH: 100%" align="left">
                </div>
              </div>
              <div id="PN" style="PAGE-BREAK-AFTER: always">
                <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">F-5</font></div>
                <div style="WIDTH: 100%; TEXT-ALIGN: center">
                  <hr style="COLOR: black" noshade size="2">
                </div>
              </div>
              <div id="HDR">
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              <div>&#160;</div>
            </div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">As
              of
              September 30, 2007, shares to be issued upon the exercise of options
              and
              warrants aggregated 202,106 and 466,030, respectively. As of September
              30, 2006,
              the shares to be issued upon the exercise of options and warrants were
              351,833
              and 466,030 respectively. None of these shares are included in the
              computation
              of loss per share as of September 30, 2007 as their effect is
              anti-dilutive.</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Note
              2 - Legal Proceedings</strong></font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">On
              December 20, 2006, Pliant Corporation filed an action against the Company
              in the
              Circuit Court of Cook County, Illinois. In the action, Pliant claims
              that there
              is an amount due from the Company to Pliant of $245,000 for goods sold
              and
              delivered by Pliant to the Company as well as interest on such amount.
              On
              February 21, 2007, the Company filed an answer to the complaint and
              counterclaim
              denying liability and asserting certain claims against Pliant for damages
              for
              the sale by Pliant to the Company of defective products. Management
              intends to
              defend the claims of Pliant in this action and to pursue its counterclaims
              and
              believes that the Company has established adequate reserves regarding
              the
              claim.</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
              Company is party to certain lawsuits or claims arising in the normal
              course of
              business. The ultimate outcome of these matters is unknown but, in
              the opinion
              of management, the settlement of these matters is not expected to have
              a
              significant effect on the future financial position or results of operations
              of
              the Company. </font><a name="fis_unidentified_table_4"/></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Note
              3 - Comprehensive Loss</strong></font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Other
              comprehensive&#160;loss is comprised of loss from foreign currency translation
              and the valuation of the Company&#8217;s swap agreement amounting to $(119,000) and
              $(52,000) for the three months ended September 30, 2007 and 2006, respectively,
              and $(89,000) and $ (18,000) for the nine months ended on such dates.
              As a
              result, accumulated comprehensive loss amounts to $(387,000) and $(242,000)
              as
              of September 30, 2007 and 2006, respectively.</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">For
              the
              period from February 2006 to June 30, 2007, the Company accounted for
              changes in
              the valuation of the swap agreement as items of income or expense.
              The net
              effect of such changes on income during that period was $(22,000).
              For the third
              quarter 2007 and thereafter, we will record changes in the valuation
              of the swap
              agreement as items of other comprehensive income or loss.</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Note
              4 - Stock-Based Compensation </strong></font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">As
              of September 30, 2007, the Company had five stock-based compensation
              plans
              pursuant to which stock or stock options may be granted. </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Four
              of
              the Plans provide for the award of options, which may either be incentive
              stock
              options (&#8220;ISOs&#8221;) within the meaning of Section 422A of the Internal Revenue Code
              of 1986, as amended (the &#8220;Code&#8221;) or non-qualified options (&#8220;NQOs&#8221;) which are not
              subject to special tax treatment under the Code.</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">
              The Company&#8217;s 2007 Incentive Stock Plan provides for the award of stock options
              (ISO&#8217;s and NQO&#8217;s) of both restricted and non-restricted stock. </font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
            <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
              <div id="FTR">
                <div id="GLFTR" style="WIDTH: 100%" align="left">
                </div>
              </div>
              <div id="PN" style="PAGE-BREAK-AFTER: always">
                <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">F-6</font></div>
                <div style="WIDTH: 100%; TEXT-ALIGN: center">
                  <hr style="COLOR: black" noshade size="2">
                </div>
              </div>
              <div id="HDR">
                <div id="GLHDR" style="WIDTH: 100%" align="right">
                </div>
              </div>
            </div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">On
              April
              30, 2007, the Board of Directors approved for adoption the CTI Industries
              Corporation 2007 Stock Incentive Plan (&#8220;2007 Stock Incentive Plan&#8221;) pursuant to
              which the grant of stock or stock options for up to 150,000 shares
              of common
              stock of the Company was authorized. At a meeting of the shareholders
              held on
              June 22, 2007, the 2007 Stock Incentive Plan was approved by a vote
              of the
              shareholders. The Company has filed a Registration Statement on Form
              S-8 with
              respect to the stock or options to be granted pursuant to this Plan.
              No grants
              of stock or options were made under this Plan in the third quarter
              of 2007 or
              2006.</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">No
              grants
              of stock or options under other Company plans were made during the
              nine months
              ended September 30, 2007 or 2006.</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">A
              summary
              of the Company&#8217;s stock option activity and related information for the nine
              months ended September 30, 2007 follows: </font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">
              <div>
                <table cellpadding="0" cellspacing="0" id="ftable" width="100%">

                    <tr>
                      <td align="left" valign="bottom" width="71%" style="border-bottom: #ffffff solid;">&#160;</td>
                      <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                      <td colspan="2" valign="bottom" width="12%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>September
                          30, </strong></font></div>
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>2007
                          </strong></font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                      <td colspan="2" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Weighted
                          Avg. </strong></font></div>
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Exercise
                          Price </strong></font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                    </tr>
                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Outstanding
                          and exercisable, beginning of period </font></div>
                      </td>
                      <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">337,945</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">3.42</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    </tr>
                    <tr bgcolor="white">
                      <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Granted
                          </font></div>
                      </td>
                      <td width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">0</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">0</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    </tr>
                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Exercised
                          </font></div>
                      </td>
                      <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">78,695
                          </font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2.47
                          </font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    </tr>
                    <tr bgcolor="white">
                      <td align="left" valign="bottom" width="71%" style="border-bottom: #ffffff solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Cancelled
                          </font></div>
                      </td>
                      <td width="2%" style="border-bottom: #ffffff solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">57,144
                          </font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">6.65
                          </font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff solid;">&#160;</td>
                    </tr>
                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
                      </td>
                      <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    </tr>
                    <tr bgcolor="white">
                      <td align="left" valign="bottom" width="71%" style="border-bottom: #ffffff solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Outstanding
                          and exercisable at the end of period </font></div>
                      </td>
                      <td width="2%" style="border-bottom: #ffffff solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">202,106</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2.90</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff solid;">&#160;</td>
                    </tr>

                </table>
              </div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
            </div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Proceeds
              received for the exercise of options were $145,000 and $69,000 for
              the nine and
              three months respectively ended September 30, 2007.</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
              aggregate intrinsic value of options and warrants outstanding, in the
              money and
              exercisable as of September 30, 2007 were $399,000 and $400,000,
              respectively.</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Options
              outstanding as of September 30, 2007: </font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
            <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
              <div id="FTR">
                <div id="GLFTR" style="WIDTH: 100%" align="left">
                </div>
              </div>
              <div id="PN" style="PAGE-BREAK-AFTER: always">
                <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">F-7</font></div>
                <div style="WIDTH: 100%; TEXT-ALIGN: center">
                  <hr style="COLOR: black" noshade size="2">
                </div>
              </div>
              <div id="HDR">
                <div id="GLHDR" style="WIDTH: 100%" align="right">
                </div>
              </div>
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              <div>
                <table cellpadding="0" cellspacing="0" id="ftable" width="100%">

                    <tr>
                      <td align="left" valign="bottom" width="43%" style="border-bottom: medium none;">&#160;</td>
                      <td width="2%" style="border-bottom: medium none;">&#160;</td>
                      <td align="left" colspan="2" valign="bottom" width="12%" style="border-bottom: medium none;">
                        <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman"><strong>Outstanding</strong></font></div>
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                      <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">
                        <div>&#160;</div>
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                      <td align="left" colspan="2" valign="bottom" width="12%" style="border-bottom: medium none;">
                        <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman"><strong>Exercisable</strong></font></div>
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                        <div>&#160;</div>
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                      <td align="left" colspan="2" valign="bottom" width="12%" style="border-bottom: medium none;">
                        <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman"><strong>Exercise
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                      <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">
                        <div>&#160;</div>
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                      <td align="left" colspan="2" valign="bottom" width="11%" style="border-bottom: medium none;">
                        <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman"><strong>Remaining
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                      <td align="left" valign="bottom" width="1%" style="border-bottom: medium none;">&#160;</td>
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                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    </tr>
                    <tr bgcolor="white">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: white;">
                        <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">September
                          1998</font></div>
                      </td>
                      <td width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">30,556</font></div>
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                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">30,556</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">6.30</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1.0
                          </font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    </tr>
                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                        <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">September
                          1998</font></div>
                      </td>
                      <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">11,905</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">11,905</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2.10</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1.0
                          </font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    </tr>
                    <tr bgcolor="white">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: white;">
                        <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">March
                          2000</font></div>
                      </td>
                      <td width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">29,762</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">29,762</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1.89</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2.6
                          </font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    </tr>
                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                        <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">December
                          2001</font></div>
                      </td>
                      <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">26,192</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">26,192</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1.47</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">4.3
                          </font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    </tr>
                    <tr bgcolor="white">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: white;">
                        <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">April
                          2002</font></div>
                      </td>
                      <td width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">11,905</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">11,905</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2.10</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">4.7
                          </font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    </tr>
                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                        <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">October
                          2002</font></div>
                      </td>
                      <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">26,786</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">26,786</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2.31</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">0.1
                          </font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    </tr>
                    <tr bgcolor="white">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: white solid;">
                        <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">December
                          2005</font></div>
                      </td>
                      <td width="2%" style="border-bottom: white thin solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">65,000
                          </font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white thin solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">65,000
                          </font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white thin solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2.88</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white thin solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">8.3
                          </font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white thin solid;">&#160;</td>
                    </tr>
                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                        <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; COLOR: #000000; FONT-FAMILY: Times New Roman">Total</font></div>
                      </td>
                      <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">202,106</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">202,106</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2.90</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; COLOR: #000000; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">3.1
                          </font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    </tr>

                </table>
              </div>
              <div>&#160;</div>
            </div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Note
              5 - Inventories, net </strong></font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">
              <div>
                <table cellpadding="0" cellspacing="0" id="ftable" width="100%">

                    <tr>
                      <td align="left" valign="bottom" width="71%" style="border-bottom: medium none;">&#160;</td>
                      <td width="2%" style="border-bottom: medium none;">&#160;</td>
                      <td align="left" colspan="2" valign="bottom" width="12%" style="border-bottom: medium none;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>September
                          30,</strong></font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">
                        <div>&#160;</div>
                      </td>
                      <td align="left" colspan="2" valign="bottom" width="11%" style="border-bottom: medium none;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>December
                          31, </strong></font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: medium none;">
                        <div>&#160;</div>
                      </td>
                    </tr>
                    <tr>
                      <td align="left" valign="bottom" width="71%" style="border-bottom: #ffffff solid;">
                        <div>&#160;</div>
                      </td>
                      <td width="2%" style="border-bottom: #ffffff solid;">
                        <div>&#160;</div>
                      </td>
                      <td align="left" colspan="2" valign="bottom" width="12%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>2007</strong></font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff solid;">
                        <div>&#160;</div>
                      </td>
                      <td align="left" colspan="2" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>2006</strong></font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff solid;">&#160;</td>
                    </tr>
                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Raw
                          materials</font></div>
                      </td>
                      <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,885,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">1,449,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    </tr>
                    <tr bgcolor="white">
                      <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Work
                          in process</font></div>
                      </td>
                      <td width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">739,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">945,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    </tr>
                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Finished
                          goods</font></div>
                      </td>
                      <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">7,197,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">5,855,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    </tr>
                    <tr bgcolor="white">
                      <td align="left" valign="bottom" width="71%" style="border-bottom: white solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Allowance
                          for excess quantities</font></div>
                      </td>
                      <td width="2%" style="border-bottom: white solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(277,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(275,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                      </td>
                    </tr>
                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Total
                          inventories</font></div>
                      </td>
                      <td width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">9,544,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">7,974,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc solid;">&#160;</td>
                    </tr>

                </table>
              </div>
              <div>&#160;</div>
            </div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Note
              6 - Geographic Segment Data </strong></font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
              Company has determined that it operates primarily in one business segment
              which
              designs, manufactures and distributes film products for use in packaging
              and
              novelty balloon products. The Company operates in foreign and domestic
              regions.
              Information about the Company's operations by geographic areas is as
              follows:
</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
              <div id="FTR">
                <div id="GLFTR" style="WIDTH: 100%" align="left">
                </div>
              </div>
              <div id="PN" style="PAGE-BREAK-AFTER: always">
                <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">F-8</font></div>
                <div style="WIDTH: 100%; TEXT-ALIGN: center">
                  <hr style="COLOR: black" noshade size="2">
                </div>
              </div>
              <div id="HDR">
                <div id="GLHDR" style="WIDTH: 100%" align="right">
                </div>
              </div>
            </div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">
              <div>
                <table cellpadding="0" cellspacing="0" id="ftable" width="100%">

                    <tr>
                      <td align="left" valign="bottom" width="43%" style="border-bottom: medium none;">&#160;</td>
                      <td width="2%" style="border-bottom: medium none;">&#160;</td>
                      <td colspan="5" valign="bottom" width="26%" style="border-bottom: medium none;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Net
                          Sales</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">&#160;</td>
                      <td colspan="5" valign="bottom" width="25%" style="border-bottom: medium none;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Net
                          Sales</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: medium none;">&#160;</td>
                    </tr>
                    <tr>
                      <td align="left" valign="bottom" width="43%" style="border-bottom: medium none;">&#160;</td>
                      <td width="2%" style="border-bottom: medium none;">&#160;</td>
                      <td colspan="5" valign="bottom" width="26%" style="border-bottom: medium none;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">For
                          the Three Months Ended</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">&#160;</td>
                      <td colspan="5" valign="bottom" width="25%" style="border-bottom: medium none;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">For
                          the Nine Months Ended</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: medium none;">&#160;</td>
                    </tr>
                    <tr>
                      <td align="left" valign="bottom" width="43%" style="border-bottom: #ffffff solid;">&#160;</td>
                      <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                      <td colspan="5" valign="bottom" width="26%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">September
                          30,</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                      <td colspan="5" valign="bottom" width="25%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">September
                          30,</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                    </tr>
                    <tr>
                      <td align="left" valign="bottom" width="43%" style="border-bottom: #ffffff solid;">&#160;</td>
                      <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                      <td colspan="2" valign="bottom" width="12%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2007</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                      <td colspan="2" valign="bottom" width="12%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2006</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                      <td colspan="2" valign="bottom" width="12%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2007</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                      <td colspan="2" valign="bottom" width="11%" style="border-bottom: black thin solid;">
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                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
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                    <tr bgcolor="white">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">United
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                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">21,016,000</font></div>
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                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    </tr>
                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Mexico</font></div>
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                      <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,001,000</font></div>
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                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
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                          </font></div>
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                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">5,214,000</font></div>
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                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">4,696,000</font></div>
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                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    </tr>
                    <tr bgcolor="white">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">United
                          Kingdom</font></div>
                      </td>
                      <td width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">748,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">702,000
                          </font></div>
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                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,358,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,265,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    </tr>
                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Eliminations</font></div>
                      </td>
                      <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(554,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(930,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(1,664,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(2,221,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                      </td>
                    </tr>
                    <tr bgcolor="white">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                      <td width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    </tr>
                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc solid;">&#160;</td>
                      <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">8,673,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">8,603,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                      <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">26,210,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                      <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">25,756,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc solid;">&#160;</td>
                    </tr>

                </table>
              </div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
              <div>
                <table cellpadding="0" cellspacing="0" id="ftable" width="100%">

                    <tr>
                      <td align="left" valign="bottom" width="43%" style="border-bottom: medium none;">&#160;</td>
                      <td width="2%" style="border-bottom: medium none;">&#160;</td>
                      <td colspan="5" valign="bottom" width="26%" style="border-bottom: medium none;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Net
                          (Loss) Income</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">&#160;</td>
                      <td colspan="5" valign="bottom" width="25%" style="border-bottom: medium none;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Net
                          (Loss) Income</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: medium none;">&#160;</td>
                    </tr>
                    <tr>
                      <td align="left" valign="bottom" width="43%" style="border-bottom: medium none;">&#160;</td>
                      <td width="2%" style="border-bottom: medium none;">&#160;</td>
                      <td colspan="5" valign="bottom" width="26%" style="border-bottom: medium none;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">For
                          the Three Months Ended</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: medium none;">&#160;</td>
                      <td colspan="5" valign="bottom" width="25%" style="border-bottom: medium none;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">For
                          the Nine Months Ended</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: medium none;">&#160;</td>
                    </tr>
                    <tr>
                      <td align="left" valign="bottom" width="43%" style="border-bottom: #ffffff solid;">&#160;</td>
                      <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                      <td colspan="5" valign="bottom" width="26%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">September
                          30,</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                      <td colspan="5" valign="bottom" width="25%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">September
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                      <td align="left" valign="bottom" width="43%" style="border-bottom: #ffffff solid;">&#160;</td>
                      <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                      <td colspan="2" valign="bottom" width="12%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2007</font></div>
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                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                      <td colspan="2" valign="bottom" width="12%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2006</font></div>
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                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                      <td colspan="2" valign="bottom" width="12%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2007</font></div>
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                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                      <td colspan="2" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2006</font></div>
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                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
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                    <tr bgcolor="white">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">United
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                      <td width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(454,000</font></div>
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                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
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                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
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                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
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                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(189,000</font></div>
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                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
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                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">322,000</font></div>
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                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    </tr>
                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Mexico</font></div>
                      </td>
                      <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">41,000
                          </font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">310,000
                          </font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">106,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">338,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    </tr>
                    <tr bgcolor="white">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">United
                          Kingdom</font></div>
                      </td>
                      <td width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">24,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">22,000
                          </font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">140,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">83,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    </tr>
                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Eliminations</font></div>
                      </td>
                      <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(25,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(3,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(100,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(2,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                      </td>
                    </tr>
                    <tr bgcolor="white">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: white;">&#160;</td>
                      <td width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    </tr>
                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="43%" style="border-bottom: #ccffcc solid;">&#160;</td>
                      <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(414,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">315,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(43,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">741,000</font></div>
                      </td>
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                    <tr>
                      <td align="left" valign="bottom" width="71%" style="border-bottom: medium none;">&#160;</td>
                      <td width="2%" style="border-bottom: medium none;">&#160;</td>
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                          Assets at</font></div>
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                      <td align="left" valign="bottom" width="1%" style="border-bottom: medium none;">&#160;</td>
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                    <tr>
                      <td align="left" valign="bottom" width="71%" style="border-bottom: #ffffff solid;">&#160;</td>
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                          30,</font></div>
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                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">December
                          31,</font></div>
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                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
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                    <tr>
                      <td align="left" valign="bottom" width="71%" style="border-bottom: #ffffff solid;">&#160;</td>
                      <td width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                      <td colspan="2" valign="bottom" width="12%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2007</font></div>
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                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ffffff thin solid;">&#160;</td>
                      <td colspan="2" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2006</font></div>
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                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ffffff thin solid;">&#160;</td>
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                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    </tr>
                    <tr bgcolor="white">
                      <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">United
                          States</font></div>
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                      <td width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
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                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">26,969,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
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                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">25,256,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    </tr>
                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Mexico</font></div>
                      </td>
                      <td width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">5,753,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: #ccffcc;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">5,050,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc;">&#160;</td>
                    </tr>
                    <tr bgcolor="white">
                      <td align="left" valign="bottom" width="71%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">United
                          Kingdom</font></div>
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                      <td width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">3,054,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">2,627,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    </tr>
                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Eliminations</font></div>
                      </td>
                      <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(7,222,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black thin solid;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">(6,288,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc thin solid;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">)</font></div>
                      </td>
                    </tr>
                    <tr bgcolor="white">
                      <td align="left" valign="bottom" width="71%" style="border-bottom: white;">&#160;</td>
                      <td width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: white;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: white;">&#160;</td>
                    </tr>
                    <tr bgcolor="#ccffcc">
                      <td align="left" valign="bottom" width="71%" style="border-bottom: #ccffcc solid;">&#160;</td>
                      <td width="2%" style="border-bottom: #ccffcc thin solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">28,554,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="2%" style="border-bottom: #ccffcc solid;">&#160;</td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">$</font></div>
                      </td>
                      <td align="right" valign="bottom" width="11%" style="border-bottom: black double;">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0px"><font style="DISPLAY: inline; FONT-SIZE: 10pt; MARGIN-LEFT: 0px; TEXT-INDENT: 0px; MARGIN-RIGHT: 0px; FONT-FAMILY: Times New Roman">26,645,000</font></div>
                      </td>
                      <td align="left" valign="bottom" width="1%" style="border-bottom: #ccffcc solid;">&#160;</td>
                    </tr>

                </table>
              </div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
            </div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Note
              7 - Stockholders&#8217; Equity</strong></font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
              Company retired all of the treasury stock in the quarter ended June
              30, 2007 by
              authorization of the Board of Directors. Also in the quarter ended
              June 30, 2007
              the Company issued 17,000 shares of Stock to Capstone Advisory Group
              in
              consideration of management consulting services to be performed over
              a period of
              18 months. The shares were issued on a restricted basis for investment
              only and
              the sale will not be registered in reliance upon an exception from
              registration
              for non-public offerings. The fair value of the shares, based upon
              the trade
              value on the date of issuance will be amortized over the 18 months
              agreement
              term.</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
            <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
              <div id="FTR">
                <div id="GLFTR" style="WIDTH: 100%" align="left">
                </div>
              </div>
              <div id="PN" style="PAGE-BREAK-AFTER: always">
                <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">F-9</font></div>
                <div style="WIDTH: 100%; TEXT-ALIGN: center">
                  <hr style="COLOR: black" noshade size="2">
                </div>
              </div>
              <div id="HDR">
                <div id="GLHDR" style="WIDTH: 100%" align="right">
                </div>
              </div>
            </div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Note
              8 - Concentration of Credit Risk </strong></font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Concentration
              of credit risk with respect to trade accounts receivable is generally
              limited
              due to the number of entities comprising the Company's customer base.
              The
              Company performs ongoing credit evaluations and provides an allowance
              for
              potential credit losses against the portion of accounts receivable
              which is
              estimated to be uncollectible. Such losses have historically been within
              management's expectations. During the nine months ending September
              30, 2007,
              there were three customers whose purchases represented more than 10%
              of the
              Company&#8217;s sales. The sales to each of these customers for the nine months ended
              September 30, 2007 were, respectively, $5,300,000 or 20.2%, $4,165,000
              or 15.9%
              and $2,887,000 or 11.0% of consolidated net sales respectively. Sales
              to these
              customers in the same period of 2006 were $5,294,000 or 20.6%, $5,755,000
              or
              22.3% and $2,158,000 or 8.4% of consolidated net sales, respectively.
              During the
              three months ending September 30, 2007, there were three customers
              whose
              purchases represented more than 10% of the Company&#8217;s sales. The sales to each of
              these customers for the three months ended September 30, 2007 were
              $1,960,000 or
              22.6%, $1,124,000 or 13.0% and $1,018,000 or 11.7% of consolidated
              net sales,
              respectively. Sales to these customers for the same period of 2006
              were
              $1,939,000 or 22.5%, $591,000 or 6.9% and $2,064,000 or 24.0%, respectively.
              As
              of September 30, 2007, the total amount owed by these customers was
              $997,000 or
              17.4%, $280,000 or 4.9% and $667,000, or 11.7%, respectively of the
              consolidated
              accounts receivables. The amounts owed at September 30, 2006 were $1,061,000,
              or
              19.1%, $136,000 or 2.5% and $657,000, or 11.8% of the consolidated
              accounts
              receivable, respectively. </font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Note
              9 - Related Party Transactions</strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#160;</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Stephen
              M. Merrick, Executive Vice President, Secretary and a Director of the
              Company,
              is of counsel to the law firm of Vanasco Genelly and Miller PC which
              provides
              legal services to the Company. Legal fees incurred by the Company with this firm
              for the first nine months of 2007 and 2006, respectively, were $85,000
              and
              $57,000. Legal fees incurred by the Company with this firm for the
              three months
              ended September 30, 2007 and 2006, respectively, were $11,000 and
              $21,000.</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">John
              H.
              Schwan, Chairman of the Company, is one of the owners of Shamrock Packaging
              and
              affiliated companies. The Company made purchases from Shamrock Packaging
              of
              approximately $388,000 during the nine months ended September 30, 2007
              and
              $184,000 during the nine months ended September 30, 2006. The Company
              made
              purchases from Shamrock Packaging of approximately $126,000 during
              the three
              months ended September 30, 2007 and $52,000 during the three months
              ended
              September 30, 2006.</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">John
              H.
              Schwan, Chairman of the Company, is one of the owners of White Horse
              Production,
              Inc.. The Company made purchases from White Horse of approximately
              $8,500 during
              the three and nine months ended September 30, 2007. The Company did
              not make any
              purchases from White Horse during the three and nine month periods
              ended
              September 30, 2006.</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
            <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
              <div id="FTR">
                <div id="GLFTR" style="WIDTH: 100%" align="left">
                </div>
              </div>
              <div id="PN" style="PAGE-BREAK-AFTER: always">
                <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">F-10</font></div>
                <div style="WIDTH: 100%; TEXT-ALIGN: center">
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                </div>
              </div>
              <div id="HDR">
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                </div>
              </div>
            </div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">John
              H.
              Schwan, Chairman of the Company, is the brother of Gary Schwan, one
              of the
              owners of Schwan Incorporated, which provides building maintenance
              and
              remodeling services to the Company. The Company made purchases from
              Schwan
              Incorporated of approximately $95,000 during the nine months ended
              September 30,
              2007. The Company made purchases from Schwan Incorporated of approximately
              $54,000 during the three months ended September 30, 2007. <font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
              company made purchases from Schwan Incorporated of approximately $21,000
              </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">during
              the nine months ended September 30, 2006. The Company made purchases
              from
</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Schwan
              Incorporated of approximately $6,000 during the three months ended
              September
</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">30,
              2006.</font></font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">On
              February 1, 2006, Mr. Schwan and Mr. Merrick advanced $500,000 each
              to the
              Company in exchange for (a) five year promissory notes bearing interest
              at 2%
              over the prime rate determined quarterly and (b) five year warrants
              to purchase
              an aggregate of 303,030 shares of common stock of the Company at the
              price of
              $3.30 per share. The fair value of each warrant was estimated as of
              the date of
              the grant using the Black-Scholes pricing model.</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Interest
              payments have been made to John H. Schwan and Stephen M. Merrick for
              loans made
              to the Company. These interest payments for the nine months ending
              September 30,
              2007 totaled $149,000 and $75,000, respectively. In 2006, for the nine
              months
              ending September 30, 2006, the amounts were $138,000 and $65,000, respectively.
              For the three month period ended September 30, 2007 these interest
              payment were
              $50,000 and $25,000 respectively. The payments for the same period
              in 2006 were
              $49,000 and $24,000 respectively. </font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Note
              10 - New Accounting Pronouncements</strong></font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><em><u>Fair
              Value Positions</u></em></font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">In
              September 2006, the FASB issued SFAS No. 157, &#8220;Fair Value Measurements&#8221; which
              defines fair value, establishes a framework for measuring fair value,
              and
              expands disclosures about fair value measurements. This statement clarifies
              how
              to measure fair value as permitted under other accounting pronouncements
              but
              does not require any new fair value measurements. The Company will
              be required
              to adopt SFAS No. 157 as of January 1, 2008. The Company is currently
              evaluating
              the impact of SFAS No. 157 and has determined the impact on its financial
              statements will not be material.</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">In
              February 2007, the FASB issued SFAS No. 159, The Fair Value Option
              for Financial
              Assets and Financial Liabilities--including an amendment of FASB Statement
              No.
              115 (&#8220;SFAS 159&#8221;). SFAS 159 permits companies to choose to measure many financial
              instruments and certain other items at fair value that are not currently
              required to be measured at fair value. The objective of SFAS 159 is
              to provide
              opportunities to mitigate volatility in reported earnings caused by
              measuring
              related assets and liabilities differently without having to apply
              hedge
              accounting provisions. SFAS 159 also establishes presentation and disclosure
              requirements designed to facilitate comparisons between companies that
              choose
              different measurement attributes for similar types of assets and liabilities.
              SFAS 159 will be effective in the first quarter of fiscal 2008. The
              adoption of
              SAS 159 is not expected to have a material impact on the Company&#8217;s financial
              position, results of operations or cash flows.</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Note
              11 - Standby Equity Distribution Agreement (SEDA)</strong></font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">In
              July
              2006, we entered into a Standby Equity Distribution Agreement (SEDA)
              with
              Cornell Capital Partners, LP (&#8220;Cornell Capital&#8221;) pursuant to which we may, at
              our discretion, periodically sell to Cornell Capital shares of common
              stock at a
              price equal to the volume weighted average price of our common stock
              on the
              NASDAQ Capital Market for the five days immediately following the date
              we notify
              Cornell Capital of our request. On December 28, 2006, we filed a Registration
              Statement with the SEC for the registration of 403,500 shares to be
              sold to
              Cornell Capital and Newbridge Securities (our placement agent). On
              January 26,
              2007, the registration statement was declared effective. In connection
              with the
              SEDA, we have received $378,000 and $977,000 in net proceeds during
              the three
              months and nine months ended September 30, 2007 </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">respectively</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.
              Cornell
              Capital has purchased from us an aggregate of 94,732 and 234,955 shares
              of our
              common stock for the three months and nine months then ended </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">respectively</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.</font></div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
            <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Note
                12 </strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>-
                </strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Subsequent
                Event</strong></font></div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">On
                  November 13, 2007, the Company entered into the Third Amendment
                  to Loan and
                  Security Agreement with RBS Citizens, N.A. successor by merger
                  with Charter One
                  Bank N.A. (the &#8220;Bank&#8221;) pursuant to which the Bank (i) waived certain loan
                  covenant violations as of September 30, 2007, (ii) increased the
                  maximum amount
                  available to the Company under the revolving line of credit from
                  $7 million to
                  $9 million, (iii) increased the maximum advance amount on inventory
                  from $3.5
                  million to $4.5 million, (iv) amended a financial covenant concerning
                  the ratio
                  of EBITDA to fixed payment obligations so that all proceeds from
                  the sale of
                  stock and the leasing line provided by the Bank which are used
                  in capital
                  investment will not affect the covenant determination, (v) amended
                  a financial
                  covenant concerning the ratio of EBITDA to senior debt and (vi)
                  authorized a
                  capital lease line of credit to the Company in the amount of $1.5
                  million.</font></div>
              </div>
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<DOCUMENT>
<TYPE>EX-10.1
<SEQUENCE>2
<FILENAME>v093200_ex10-1.htm
<TEXT>
<html>
  <head>
    <title>
      Unassociated Document
</title><!-- Licensed to: vintage-->
<!-- Document Created using EDGARizer HTML 3.0.4.0 -->
<!-- Copyright 2006 EDGARfilings, Ltd., an IEC company.-->
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    <div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>EXHIBIT
        10.1</strong></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong><u>THIRD
        AMENDMENT TO LOAN AND SECURITY AGREEMENT</u></strong></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">THIS
        THIRD AMENDMENT TO LOAN AND SECURITY AGREEMENT (the &#8220;Third Amendment&#8221;) is
        executed and entered into this 13th day of November, 2007 by and between
        CTI
        Industries Corporation, an Illinois corporation and CTI Helium, Inc., an
        Illinois corporation (collectively the &#8220;Borrower&#8221;) and RBS Citizens, N.A.,
        successor by merger to Charter One Bank, N.A., a national banking association
        (&#8220;Bank&#8221;) and amends, as of the effective date hereof, the Loan and Security
        Agreement between the parties dated February 1, 2006, as amended by the First
        Amendment to Loan and Security Agreement dated June 28th, 2006 and the Second
        Amendment to Loan and Security Agreement dated December 6, 2006 (collectively
        the &#8220;Loan Agreement&#8221;). Capitalized terms used herein without definition shall
        have the meanings ascribed to them in the Loan Agreement.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">For
        and
        in consideration of the mutual covenants and agreements set forth herein,
        and
        other good and valuable consideration, the receipt and sufficiency of which
        is
        hereby acknowledged, the Loan Agreement is hereby amended as
        follows:</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">1.</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
        definition of &#8220;Borrowing Base Amount&#8221; in </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Section
        1</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">
        of the
        Loan Agreement shall be amended in its entirety to read as follows:</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 81pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#8220;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Borrowing
        Base Amount</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#8221;
shall
        mean:</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 81pt; TEXT-INDENT: -45pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(a)</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">an
        amount
        equal to eighty-five percent (85%) of the net amount (after deduction of
        such
        reserves and allowances as the Bank deems proper and necessary including
        reasonable reserves for royalty fees payable by Borrower and for dilution)
        of
        all Eligible Accounts other than Eligible Foreign Accounts; </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>plus</u></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 81pt; TEXT-INDENT: -45pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 81pt; TEXT-INDENT: -45pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(b)</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">the
        lesser of (i) an amount equal to ninety percent (90%) of the net amount (after
        deduction of such reserves and allowances as the Bank deems proper and
        necessary) of all Eligible Foreign Accounts; and (ii) One Million and No/100
        Dollars ($1,000,000.00); </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>plus</u></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 81pt; TEXT-INDENT: -45pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 81pt; TEXT-INDENT: 27pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(c)</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">the
        lesser of (i) an amount equal to sixty percent (60%) of the lower of cost
        or
        market value (after deduction of such reserves and allowances as the Bank
        deems
        proper and necessary) of all Eligible Inventory; and (ii) Four Million Five
        Hundred Thousand and No/100 Dollars ($4,500,000.00).</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2.</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
        following definitions shall be inserted as new definitions in </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Section
        1</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">
        of the
        Loan Agreement:</font></div>
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      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#8220;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Capital
        Lease Loans</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#8221;
shall
        mean the advance or advances made by the Bank or one of its Affiliates to
        fund
        the Capital Leases between RBS Asset Finance, Inc. and Borrower pursuant
        to the
        Equipment Lease Documents.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#8220;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Capital
        Lease Loan Commitment</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#8221;
shall
        mean One Million Five Hundred Thousand and No/100 Dollars
        ($1,500,000.00).</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#8220;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Equipment
        Lease Documents</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#8221;
shall
        mean the Master Equipment Lease Agreement dated July 11, 2007 by and between
        RBS
        Asset Finance, Inc. and Borrower, and any and all documents executed by any
        of
        the Obligors in connection therewith or otherwise related thereto.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">3.</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
        definition of &#8220;Loans&#8221; in </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Section
        1</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">
        of the
        Loan Agreement shall be amended in its entirety to read as follows:</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: -36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#8220;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Loans</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#8221;
shall
        mean, collectively, all Capital Lease Loans, Revolving Loans, the Term Loan
        and
        Mortgage Loan made by the Bank or its Affiliates to the Borrower and all
        Letter
        of Credit Obligations, under and pursuant to this Agreement.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">4.</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
        definition of &#8220;Loan Documents&#8221; in </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Section
        1</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">
        of the
        Loan Agreement shall be amended in its entirety to read as follows:</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#8220;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Loan
        Documents</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#8221;
shall
        mean each of the agreements, documents, instruments and certificates set
        forth
        in </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Section
        3.1</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">
        hereof,
        and any and all such other instruments, documents, certificates and agreements
        from time to time executed and delivered by the Borrower, the Guarantors
        or any
        of the Borrower&#8217;s Subsidiaries for the benefit of the Bank pursuant to any of
        the foregoing, the Equipment Lease Documents, and all amendments, restatements,
        supplements and other modifications of any of the foregoing.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">5.</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
        definition of &#8220;Revolving Loan Commitment&#8221; in </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Section
        1</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">
        of the
        Loan Agreement shall be amended in its entirety to read as follows:</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: -36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#8220;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Revolving
        Loan Commitment</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#8221;
shall
        mean Nine Million and No/100 Dollars ($9,000,000.00).</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 81pt; TEXT-INDENT: -45pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">6.</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Section
        2.4</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">
        of the
        Loan Agreement shall be deleted in its entirety and the following shall be
        inserted in lieu thereof:</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2.4</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Capital
        Lease Loans</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.
        Subject
        to the terms and conditions of this Agreement and the other Loan Documents
        (including the terms of the Equipment Lease Documents), the Bank, directly
        or
        indirectly through one of its Affiliates, agrees to make available such Capital
        Lease Loans as the Borrower may from time to time request, and the Bank shall
        approve, until November 13, 2008; provided, however, that the aggregate
        principal balance of all Capital Lease Loans shall not exceed the Capital
        Lease
        Loan Commitment. The Capital Lease Loans shall be used to acquire such equipment
        as RBS Asset Finance, Inc. and Bank may approve.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 45pt; TEXT-INDENT: -45pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
        <div id="FTR">
          <div id="GLFTR" style="WIDTH: 100%" align="left">
          </div>
        </div>
        <div id="PN" style="PAGE-BREAK-AFTER: always">
          <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">2</font></div>
          <div style="WIDTH: 100%; TEXT-ALIGN: center">
            <hr style="COLOR: black" noshade size="2">
          </div>
        </div>
        <div id="HDR">
          <div id="GLHDR" style="WIDTH: 100%" align="right">
          </div>
        </div>
      </div>
      <div style="DISPLAY: block; MARGIN-LEFT: 45pt; TEXT-INDENT: -45pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">7.</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Upon
        the
        effective date of this Third Amendment, Bank hereby waives the following
        Events
        of Default or Unmatured Events of Defaults by Borrower for the period ending
        September 30, 2007: (a) the failure to maintain a ratio of Senior Debt to
        EBITDA
        of not greater than 3.00 to 1.00 under </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Section
        10.3</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">
        of the
        Agreement; and (b) the failure to maintain a fixed charge coverage ratio
        of not
        less than 1.15 to 1.00 under </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Section
        10.4</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">
        of the
        Agreement. Such limited waivers shall not be deemed a waiver of any further
        or
        additional violations of the Agreement, or a waiver of any other condition,
        requirement or provision of the Agreement.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">8.</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Section
        9.1(g)</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">
        of the
        Loan Agreement shall be amended in its entirety to read as follows:</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(g)</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Capitalized
        Lease Obligations, provided that the aggregate amount of all such Debt
        outstanding at any time shall not exceed Fifty Thousand and 00/100 Dollars
        ($50,000.00) in the aggregate (excluding the Obligations under the Equipment
        Lease Documents);</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">9.</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Section
        10.3</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">
        of the
        Loan Agreement shall be amended in its entirety to read as follows:</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">10.3</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 21pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Senior
        Debt to EBITDA</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.
        As of
        the end of each of its fiscal quarters set forth below, the Borrower and
        its
        Subsidiaries shall maintain a ratio of (a) consolidated Senior Debt; to (b)
        consolidated EBITDA for the twelve month period ending on the last day of
        such
        fiscal quarter, of not greater than the following:</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div align="center">
        <table border="0" bordercolor="#000000" cellpadding="0" cellspacing="0" width="75%">

            <tr>
              <td align="justify" valign="top" width="27%" style="border-bottom: medium none;">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
              </td>
              <td align="justify" valign="top" width="27%" style="border-bottom: medium none;">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Senior
                  Debt</strong></font></div>
              </td>
            </tr>
            <tr>
              <td align="justify" valign="top" width="27%" style="border-bottom: medium none;">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong><u>Computation
                  Period Ending</u></strong></font></div>
              </td>
              <td align="justify" valign="top" width="27%" style="border-bottom: medium none;">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong><u>to
                  EBITDA</u></strong></font></div>
              </td>
            </tr>
            <tr>
              <td align="justify" valign="top" width="27%" style="border-bottom: medium none;">&#160;</td>
              <td align="justify" valign="top" width="27%" style="border-bottom: medium none;">&#160;</td>
            </tr>
            <tr>
              <td align="justify" valign="top" width="27%" style="border-bottom: medium none;">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">December
                  31, 2007</font></div>
              </td>
              <td align="justify" valign="top" width="27%" style="border-bottom: medium none;">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">4.00
                  to 1.00</font></div>
              </td>
            </tr>
            <tr>
              <td align="justify" valign="top" width="27%" style="border-bottom: medium none;">&#160;</td>
              <td align="justify" valign="top" width="27%" style="border-bottom: medium none;">&#160;</td>
            </tr>
            <tr>
              <td align="justify" valign="top" width="27%" style="border-bottom: medium none;">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">March
                  31, 2008</font></div>
              </td>
              <td align="justify" valign="top" width="27%" style="border-bottom: medium none;">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">3.25
                  to 1.00</font></div>
              </td>
            </tr>
            <tr>
              <td align="justify" valign="top" width="27%" style="border-bottom: medium none;">&#160;</td>
              <td align="justify" valign="top" width="27%" style="border-bottom: medium none;">&#160;</td>
            </tr>
            <tr>
              <td align="justify" valign="top" width="27%" style="border-bottom: medium none;">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">June
                  30, 2008 and thereafter</font></div>
              </td>
              <td align="justify" valign="top" width="27%" style="border-bottom: medium none;">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">3.00
                  to 1.00</font></div>
              </td>
            </tr>

        </table>
      </div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">10.</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Section
        10.4</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">
        of the
        Loan Agreement shall be amended in its entirety to read as follows:</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">10.4</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Fixed
        Charge Coverage</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">.
        As of
        the end of each fiscal quarter, the Borrower and its Subsidiaries shall maintain
        a ratio of (a) the total for the Computation Period (as defined below) ending
        on
        the last day of such fiscal quarter of EBITDA </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>minus</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">
        the sum
        of all income taxes paid in cash by the Borrower and its Subsidiaries and
        all
        Capital Expenditures which are not financed with Funded Debt or by the
        Contribution to Capital, to (b) the sum for such Computation Period of (i)
        Interest Charges </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>plus</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">
        (ii)
        required payments of principal of Borrower&#8217;s Funded Debt (including the Term
        Loan, Mortgage Loan, and the Capital Lease Loans, but excluding the Revolving
        Loans) for such period, of not less than 1.15 to 1.00. The &#8220;Computation Period&#8221;
as used herein shall mean twelve months.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
        <div id="FTR">
          <div id="GLFTR" style="WIDTH: 100%" align="left">
          </div>
        </div>
        <div id="PN" style="PAGE-BREAK-AFTER: always">
          <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">3</font></div>
          <div style="WIDTH: 100%; TEXT-ALIGN: center">
            <hr style="COLOR: black" noshade size="2">
          </div>
        </div>
        <div id="HDR">
          <div id="GLHDR" style="WIDTH: 100%" align="right">
          </div>
        </div>
      </div>
      <div style="DISPLAY: block; MARGIN-LEFT: 45pt; TEXT-INDENT: -45pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">11.</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
        effectiveness of this Third Amendment is subject to the satisfaction of all
        of
        the following conditions precedent:</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: -36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(a)</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Bank
        shall have accepted this Third Amendment in the spaces provided for that
        purpose
        below.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: -36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: -36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(b)</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
        Guaranties shall have been amended and reaffirmed by the
        Guarantors.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: -36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: -36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(c)</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
        Bank
        shall have received from the Borrower a new Revolving Note in the amount
        of up
        to $9,000,000.00.</font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: -36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
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        Borrower shall be in full compliance with the terms of the Loan Documents
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        Event of Default or Unmatured Event of Default shall have occurred or be
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        authorizing this Third Amendment.</font></div>
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        hereby
        and to the transaction contemplated hereby (including the delivery of ancillary
        documentation requested by Bank) shall be satisfactory to Bank and its
        counsel.</font></div>
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        Borrower the existing Revolving Note in the amount of
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        Agreement, the terms hereof shall be controlling. Except as specifically
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        hereby, the Loan Agreement shall remain unchanged and in full force and effect.
        The Loan Agreement, as amended hereby, and all rights and powers created
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        and thereunder are in all respects ratified and confirmed. This Third Amendment
        may be executed in any number of counterparts and by different parties hereto
        on
        separate counterparts and each such counterpart shall be deemed an original,
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        all such counterparts together shall constitute but one and the same Third
        Amendment. This Third Amendment shall be binding upon and inure to the benefit
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        executed and delivered by their duly authorized officers as of the date first
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        <table align="center" bgcolor="#ffffff" border="0" cellpadding="0" cellspacing="0" width="100%">

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              <td width="5%">&#160;</td>
              <td width="40%">
              </td>
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            <tr valign="top" bgcolor="#ffffff">
              <td width="40%">&#160;</td>
              <td width="5%">&#160;</td>
              <td width="5%">&#160;</td>
              <td width="40%">&#160;</td>
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              <td width="5%">&#160;</td>
              <td width="5%">&#160;</td>
              <td width="40%"><font size="2">CTI Industries Corporation</font></td>
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              <td width="40%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
              <td width="5%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
              <td width="5%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
              <td width="40%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
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              <td width="5%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
              <td width="5%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
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              <td width="40%"><font size="2">Title: Executive Vice President</font></td>
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              <td width="5%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
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              <td width="40%">
                <div style="MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
                  <hr style="COLOR: black" align="left" noshade size="2" width="80%">&#160;</div>
              </td>
              <td width="5%">&#160;</td>
              <td width="5%">&#160;</td>
              <td width="40%">
                <div style="MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
                  <hr style="COLOR: black" align="left" noshade size="2" width="80%">&#160;</div>
              </td>
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      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">
        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">
          <table align="center" bgcolor="#ffffff" border="0" cellpadding="0" cellspacing="0" width="100%">

              <tr valign="top" bgcolor="#ffffff">
                <td width="40%">&#160;</td>
                <td width="5%">&#160;</td>
                <td width="5%">&#160;</td>
                <td width="40%"><font size="2"><strong>BANK</strong><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">:</font></font></td>
              </tr>
              <tr valign="top" bgcolor="#ffffff">
                <td width="40%">&#160;</td>
                <td width="5%">&#160;</td>
                <td width="5%">&#160;</td>
                <td width="40%">&#160;</td>
              </tr>
              <tr valign="top" bgcolor="#ffffff">
                <td width="40%">&#160;</td>
                <td width="5%">&#160;</td>
                <td width="5%">&#160;</td>
                <td width="40%">
                  <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">RBS
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                    One Bank, N.A.</font></div>
                </td>
              </tr>
              <tr valign="top" bgcolor="#ffffff">
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                <td width="5%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
                <td width="5%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
                <td width="40%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
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                <td width="40%">&#160;</td>
                <td width="5%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
                <td width="5%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
                <td width="40%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">By:&#160;
                  /s/ Erica Scully</font></td>
              </tr>
              <tr valign="top" bgcolor="#ffffff">
                <td align="left" width="40%">
                </td>
                <td width="5%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
                <td width="5%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
                <td align="left" width="40%">
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                    <hr style="COLOR: black" align="left" noshade size="2" width="80%">
                  </div>
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              <tr valign="top" bgcolor="#ffffff">
                <td width="40%">&#160;</td>
                <td width="5%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
                <td width="5%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
                <td width="40%"><font size="2">Title: Vice President</font></td>
              </tr>
              <tr valign="top" bgcolor="#ffffff">
                <td width="40%">
                  <div style="MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">&#160;</div>
                </td>
                <td width="5%">&#160;</td>
                <td width="5%">&#160;</td>
                <td width="40%">
                  <div style="MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
                    <hr style="COLOR: black" align="left" noshade size="2" width="80%">&#160;</div>
                </td>
              </tr>

          </table>
        </div>
        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
        <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
          <div id="FTR">
            <div id="GLFTR" style="WIDTH: 100%" align="left">
            </div>
          </div>
          <div id="PN" style="PAGE-BREAK-AFTER: always">
            <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">5</font></div>
            <div style="WIDTH: 100%; TEXT-ALIGN: center">
              <hr style="COLOR: black" noshade size="2">
            </div>
          </div>
          <div id="HDR">
            <div id="GLHDR" style="WIDTH: 100%" align="right">
            </div>
          </div>
        </div>
      </div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><br></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong><u>SECOND
        REPLACEMENT REVOLVING NOTE</u></strong></font></div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">
        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">
          <div align="left">
            <table border="0" bordercolor="#000000" cellpadding="0" cellspacing="0" width="100%">

                <tr>
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                      November 13th, 2007</font></div>
                  </td>
                </tr>
                <tr>
                  <td align="left" valign="top" width="1%" style="border-bottom: medium none;">
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                  <td align="left" valign="top" width="1%" style="border-bottom: medium none;">&#160;</td>
                </tr>

            </table>
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          <div>&#160;</div>
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        VALUE
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        CTI
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        the &#8220;Borrower&#8221;), whose address is 22160 North Pepper Road, Barrington, Illinois
        60010, promises to pay to the order of RBS CITIZENS, N.A. successor by merger
        to
        CHARTER ONE BANK, N.A., a national banking association (hereinafter, together
        with any holder hereof, the &#8220;Bank&#8221;), whose address is 71 South Wacker Drive,
        Suite 2900, Chicago, Illinois 60606, on the Revolving Loan Maturity Date,
        the
        lesser of (i) Nine Million and 00/100 Dollars ($9,000,000.00), or (ii) the
        aggregate principal amount of all Revolving Loans outstanding under and pursuant
        to that certain Loan and Security Agreement dated as of February 1, 2006,
        executed by and between the Borrower and the Bank, as amended from time to
        time
        (as amended, supplemented or modified from time to time, the &#8220;Loan Agreement&#8221;),
        and made available by the Bank to the Borrower at the maturity or maturities
        and
        in the amount or amounts stated on the records of the Bank, together with
        interest (computed on the actual number of days elapsed on the basis of a
        360
        day year) on the aggregate principal amount of all Revolving Loans outstanding
        from time to time as provided in the Loan Agreement. Capitalized words and
        phrases not otherwise defined herein shall have the meanings assigned thereto
        in
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        Second Replacement Revolving Note (the &#8220;Revolving Note&#8221;) evidences the Revolving
        Loans, Letters of Credit and other indebtedness incurred by the Borrower
        under
        and pursuant to the Loan Agreement, to which reference is hereby made for
        a
        statement of the terms and conditions under which the Revolving Loan Maturity
        Date or any payment hereon may be accelerated. The holder of this Revolving
        Note
        is entitled to all of the benefits and security provided for in the Loan
        Agreement. All Revolving Loans shall be repaid by the Borrower on the Revolving
        Loan Maturity Date, unless payable sooner pursuant to the provisions of the
        Loan
        Agreement.</font></div>
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        and interest shall be paid to the Bank at its address set forth above, or
        at
        such other place as the holder of this Revolving Note shall designate in
        writing
        to the Borrower. Each Revolving Loan made, and all Letters of Credit issued
        by
        the Bank, and all payments on account of the principal and interest thereof
        shall be recorded on the books and records of the Bank and the principal
        balance
        as shown on such books and records, or any copy thereof certified by an officer
        of the Bank, shall be rebuttably presumptive evidence of the principal amount
        owing hereunder.</font></div>
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        for such notices as may be required under the terms of the Loan Agreement,
        the
        Borrower waives presentment, demand, notice, protest, and all other demands,
        or
        notices, in connection with the delivery, acceptance, performance, default,
        or
        enforcement of this Revolving Note, and assents to any extension or postponement
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                  being afforded or hereafter to be afforded to the Borrower by the
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</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: WP TypographicSymbols">A</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Third
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                  THEREFORE, FOR VALUE RECEIVED, it is agreed that the preceding
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                  and recitals are an integral part hereof and that this Guaranty
                  shall be
                  construed in light thereof, and in consideration of advances, credit
                  or
                  other financial accommodation heretofore afforded, concurrently
                  herewith
                  being afforded or hereafter to be afforded to the Borrower by the
                  Bank,
                  the Guarantor hereby unconditionally and absolutely guarantees
                  to the Bank
                  or other person paying or incurring the same, irrespective of the
                  validity, regularity or enforceability of any instrument, writing,
                  arrangement or credit agreement relating to or the subject of any
                  such
                  financial accommodation, the payment in full, promptly on demand
                  of the
                  Bank or such other person paying or incurring the same, of up to
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                  all other respects, the Limited Continuing Unconditional Guaranty
                  remains
                  unchanged and in full force and
                  effect.</font></div>
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                <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">5.</font></div>
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                <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Reaffirms
                  and ratifies the Subordination Agreement between the Bank, Guarantor
                  and
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                  Agreement&#8221;), confirms that the Subordination Agreement remains in full
                  force and effect and that the increased Revolving Loan Commitment
                  amount
                  implemented by the Third Amendment shall be included in the Senior
                  Debt,
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              <tr valign="top" bgcolor="#ffffff">
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                <td>&#160;</td>
                <td><font size="2">/s/ John H. Schwan</font></td>
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                  <hr style="COLOR: black" align="left" noshade size="2" width="80%"><font size="2">John
                  H Schwan</font></td>
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<DOCUMENT>
<TYPE>EX-31.1
<SEQUENCE>3
<FILENAME>v093200_ex31-1.htm
<TEXT>
<html>
  <head>
    <title>

</title>
</head>
  <body bgcolor="#ffffff"><br><br>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>EXHIBIT
      31.1</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><a name="fis_certification"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>CERTIFICATIONS</strong></font></a></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">I,
      Howard
      W. Schwan, President of CTI Industries Corporation, certify that: </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">1.
      I have
      reviewed this Quarterly report on Form 10-Q of CTI Industries Corporation.
      </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2.
      Based
      on my knowledge, this report does not contain any untrue statement of a material
      fact or omit to state a material fact necessary to make the statements made,
      in
      light of the circumstances under which such statements were made, not misleading
      with respect to the period covered by this report; </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">3.
      Based
      on my knowledge, the financial statements, and other financial information
      included in this report, fairly present in all material respects the financial
      condition, results of operations and cash flows of the registrant as of, and
      for, the periods presented in this report; </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">4.
      The
      registrant's other certifying officer and I are responsible for establishing
      and
      maintaining disclosure controls and procedures (as defined in Exchange Act
      Rules
      13a-15(e) and 15d-15(e)) for the registrant and we have: </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">a)
      Designed such disclosure controls and procedures, or caused such disclosure
      controls and procedures to be designed under our supervision, to ensure that
      material information relating to the registrant, including its consolidated
      subsidiaries, is made known to us by others within those entities, particularly
      during the period in which this report is being prepared; </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">b)
      Omitted; </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">c)
      Evaluated the effectiveness of the registrant's disclosure controls and
      procedures presented in this report our conclusions about the effectiveness
      of
      the disclosure controls and procedures, as of the end of the period covered
      by
      this report based on such evaluation; and </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">d)
      Disclosed in this report any change in the registrant's internal control over
      financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f))
      that occurred during the registrant's most recent fiscal quarter (the
      registrant's fourth fiscal quarter in the case of an annual report) that has
      materially affected, or is reasonably likely to materially affect, the
      registrant's internal control over financial reporting. </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">5.
      The
      registrant's other certifying officer and I have disclosed, based on our most
      recent evaluation of internal control over financial reporting, to the
      registrant's auditors and the audit committee of the registrant's board of
      directors (or persons performing the equivalent functions): </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">a)
      All
      significant deficiencies and material weaknesses in the design or operation
      of
      internal control over financial reporting which are reasonably likely to
      adversely affect the registrant's ability to record, process, summarize and
      report financial information; and </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">b)
      Any
      fraud, whether or not material, that involves management or other employees
      who
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      November 13, 2007 </font></div>
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            <td><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">By:&#160;&#160;</font></td>
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                W. Schwan, President</em></font></div>
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<DOCUMENT>
<TYPE>EX-31.2
<SEQUENCE>4
<FILENAME>v093200_ex31-2.htm
<TEXT>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><a name="d60879_ex31_2_txt"/><a name="fis_exhibit_31_2"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>EXHIBIT
      31.2</strong></font></a></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">I,
      Stephen M. Merrick, Executive Vice-President and Chief Financial Officer of
      CTI
      Industries Corporation certify that: </font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">1.
      I have
      reviewed this Quarterly report on Form 10-Q of CTI Industries Corporation.
      </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2.
      Based
      on my knowledge, this report does not contain any untrue statement of a material
      fact or omit to state a material fact necessary to make the statements made,
      in
      light of the circumstances under which such statements were made, not misleading
      with respect to the period covered by this report; </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">3.
      Based
      on my knowledge, the financial statements, and other financial information
      included in this report, fairly present in all material respects the financial
      condition, results of operations and cash flows of the registrant as of, and
      for, the periods presented in this report; </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">4.
      The
      registrant's other certifying officer and I are responsible for establishing
      and
      maintaining disclosure controls and procedures (as defined in Exchange Act
      Rules
      13a-15(e) and 15d-15(e)) for the registrant and we have: </font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">a)
      Designed such disclosure controls and procedures, or caused such disclosure
      controls and procedures to be designed under our supervision, to ensure that
      material information relating to the registrant, including its consolidated
      subsidiaries, is made known to us by others within those entities, particularly
      during the period in which this report is being prepared; </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">b)
      Omitted; </font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">c)
      Evaluated the effectiveness of the registrant's disclosure controls and
      procedures presented in this report our conclusions about the effectiveness
      of
      the disclosure controls and procedures, as of the end of the period covered
      by
      this report based on such evaluation; and </font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">d)
      Disclosed in this report any change in the registrant's internal control over
      financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f))
      that occurred during the registrant's most recent fiscal quarter (the
      registrant's fourth fiscal quarter in the case of an annual report) that has
      materially affected, or is reasonably likely to materially affect, the
      registrant's internal control over financial reporting. </font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">5.
      The
      registrant's other certifying officer and I have disclosed, based on our most
      recent evaluation of internal control over financial reporting, to the
      registrant's auditors and the audit committee of the registrant's board of
      directors (or persons performing the equivalent functions): </font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">a)
      All
      significant deficiencies and material weaknesses in the design or operation
      of
      internal control over financial reporting which are reasonably likely to
      adversely affect the registrant's ability to record, process, summarize and
      report financial information; and </font></div>
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      Any
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      who
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Date:
      November 13, 2007 </font></div>
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      <table align="center" bgcolor="#ffffff" border="0" cellpadding="0" cellspacing="0" width="100%">

          <tr valign="top" bgcolor="#ffffff">
            <td width="50%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#160;</font></td>
            <td width="1%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#160;</font></td>
            <td width="49%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#160;</font></td>
          </tr>
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              <div style="MARGIN-LEFT: 18pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt"><strong><font size="2">CTI
                INDUSTRIES CORPORATION </font></strong></div>
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          </tr>
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            <td><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#160;<br>&#160;</font></td>
            <td><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#160;<br>&#160;</font></td>
          </tr>
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            <td>&#160;</td>
            <td><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">By:&#160;&#160;</font></td>
            <td><font size="2"><em>/s/ Stephen M. Merrick</em></font></td>
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            <td align="left">
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              M. Merrick, Executive</font></em></td>
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          <tr valign="top" bgcolor="#ffffff">
            <td colspan="2"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#160;</font></td>
            <td>
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                and Chief Financial</em></font></div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><em>Officer</em></font></div>
            </td>
          </tr>

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<DOCUMENT>
<TYPE>EX-32.1
<SEQUENCE>5
<FILENAME>v093200_ex32-1.htm
<TEXT>
<html>
  <head>
    <title>
      Unassociated Document
</title><!-- Licensed to: vf-->
<!-- Document Created using EDGARizer HTML 3.0.4.0 -->
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><a name="d60879_ex32_1_txt"/><a name="fis_exhibit_32"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>EXHIBIT
      32.1 </strong></font></a></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><a name="fis_certification_3"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>CERTIFICATION
      PURSUANT TO </strong></font></a></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>18
      U.S.C. SECTION 1350, </strong></font></div>
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      ADOPTED PURSUANT TO </strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>SECTION
      906 OF THE SARBANES-OXLEY ACT OF 2002</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">In
      connection with the Quarterly Report of CTI Industries Corporation (the
      "Company") on Form 10-Q for the period ending September 30, 2007 as filed with
      the Securities and Exchange Commission on the date hereof (the "Report"), I,
      Stephen M. Merrick, Chief Financial Officer of the Company, certify, pursuant
      to
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      of
      2002, that: </font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(1)
      The
      Report fully complies with the requirements of section 13(a) or 15(d) of the
      Securities Exchange Act of 1934; and </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(2)
      The
      information contained in the Report fairly presents, in all material respects,
      the financial condition and result of operations of the Company. </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">
        <table align="center" bgcolor="#ffffff" border="0" cellpadding="0" cellspacing="0" width="100%">

            <tr valign="top" bgcolor="#ffffff">
              <td width="50%">&#160;</td>
              <td width="1%">&#160;</td>
              <td width="49%">&#160;</td>
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              <td><font size="2"><em>/s/ Stephen M. Merrick</em></font></td>
            </tr>
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                M. Merrick</em></font></td>
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              <td><font size="2"><em>Chief Financial
                Officer</em></font></td>
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  </body>
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</DOCUMENT>
<DOCUMENT>
<TYPE>EX-32.2
<SEQUENCE>6
<FILENAME>v093200_ex32-2.htm
<TEXT>
<html>
  <head>
    <title>

</title>
</head>
  <body bgcolor="#ffffff">
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>EXHIBIT
      32.2</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><a name="fis_certification_4"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>CERTIFICATION
      PURSUANT TO </strong></font></a></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>18
      U.S.C. SECTION 1350, </strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>AS
      ADOPTED PURSUANT TO </strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>SECTION
      906 OF THE SARBANES-OXLEY ACT OF 2002</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">In
      connection with the Quarterly Report of CTI Industries Corporation (the
      "Company") on Form 10-Q for the period ending September 30, 2007 as filed with
      the Securities and Exchange Commission on the date hereof (the "Report"), I,
      Howard W. Schwan, Chief Executive Officer of the Company, certify, pursuant
      to
      18 U.S.C. Sec.1350, as adopted pursuant to Sec.906 of the Sarbanes-Oxley Act
      of
      2002, that: </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(1)
      The
      Report fully complies with the requirements of section 13(a) or 15(d) of the
      Securities Exchange Act of 1934; and </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(2)
      The
      information contained in the Report fairly presents, in all material respects,
      the financial condition and result of operations of the Company. </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">
      <table align="center" bgcolor="#ffffff" border="0" cellpadding="0" cellspacing="0" width="100%">

          <tr valign="top" bgcolor="#ffffff">
            <td width="50%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
            <td width="1%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
            <td width="49%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
          </tr>
          <tr valign="top" bgcolor="#ffffff">
            <td>&#160;</td>
            <td>&#160;</td>
            <td><font size="2"><em>/s/ Howard W. Schwan</em></font></td>
          </tr>
          <tr valign="top" bgcolor="#ffffff">
            <td colspan="2"><font style="FONT-FAMILY: " size="1">&#160;</font></td>
            <td align="left">
              <hr style="COLOR: black" align="left" noshade size="2" width="80%"><em><font size="2">Howard
              W. Schwan</font></em></td>
          </tr>
          <tr valign="top" bgcolor="#ffffff">
            <td colspan="2"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
            <td><font size="2"><em>Chief Executive
              Officer</em></font></td>
          </tr>

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    </div>
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