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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549

FORM 10-QSB/A-1

[ x ]	Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
	FOR THE QUARTERLY PERIOD ENDED JUNE 30, 2004
	OR
[     ]	Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
	For the transition period from to

COMMISSION FILE NUMBER 0-30414

ALR TECHNOLOGIES INC.
(Exact name of registrant as specified in its charter)

NEVADA	88-0225807
(State of other jurisdiction of incorporation or organization)	(IRS Employer Identification Number)

114M Reynolda Village
Winston-Salem, North Carolina 27106
(Address of principal executive offices)

(336) 722-2254
(Registrant's telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes [ x ] No [     ]

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PART I. FINANCIAL INFORMATION

Item 1. Interim Financial Statements

ALR TECHNOLOGIES INC.
Balance Sheets
($ United States)
June 30, 2004 and December 31, 2003

		2004 (Unaudited)		2003
Assets
Current assets:
Cash	$	17,227	$	29,852
Accounts receivable, net of allowance of $2,163 (December 31, 2003 - $563)		54,220		128,903
Inventories (note 3)		92,293		113,633
Prepaid expenses and deposits		11,345		-
		175,085		272,388
Fixed assets, net of accumulated depreciation		9,480		8,210
	$	184,565	$	280,598
Liabilities and Shareholders' Deficiency
Current liabilities:
Accounts payable and accrued liabilities	$	2,478,020	$	2,161,133
Customer deposits		50,000		-
Promissory notes payable to a relatives of a director (note 4)		2,210,000		2,680,000
Promissory notes payable to directors		116,500		558,500
Current portion of promissory notes payable		2,566,500		2,534,903
		7,421,020		7,934,536
Promissory notes payable		270,912		270,912
Shareholders' deficiency
Capital stock
75,000,000 common shares with a par value of $0.001 per share authorized, 41,078,446 issued (December 31, 2003 - 21,078,446)		41,078		21,078
Additional paid-in capital		9,535,732		5,491,835
Deficit		(17,121,341)		(13,474,927)
Accumulated other comprehensive income: Cumulative translation adjustment		37,164		37,164
		(7,507,367)		(7,924,850)
Basics of presentation (note 1)
Commitments (note 5)
Contingency (note 6)
	$	184,565	$	280,598

See accompanying notes to interim financial statements

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ALR TECHNOLOGIES INC.
Statements of Loss and Deficit
($ United States)
Three month and six month periods ended June 30, 2004 and 2003
(Unaudited)

ALR TECHNOLOGIES INC.
Statements of Loss and Deficit
($ United States)
Three month and six month periods ended June 30, 2004 and 2003
(Unaudited)

		Three months ended				Six months ended
		2004		2003		2004		2003
Sales		$	59,999	$	26,578	$	266,533	$	39,044
Cost of sales			21,147		15,479		174,455		24,744
			38,852		11,099		92,078		14,300
Expenses:
	Depreciation		941		745		1,481		1,490
	Development costs		76,530		29,744		124,705		62,438
	Foreign exchange loss		--		3,361		--		5,629
	Interest		2,390,320		377,658		2,565,246		776,169
	Loss on settlement of debt (note 7)		400,000		--		400,000		--
	Professional fees		26,280		20,084		43,106		43,308
	Rent		14,229		8,849		16,539		19,958
	Selling, general and administrative		491,479		220,393		587,415		507,123
			3,399,779		660,834		3,738,492		1,416,115
Loss and comprehensive loss			(3,360,927)		(649,735)		(3,646,414)		(1,401,815)
Deficit, beginning of period			(13,760,414)		(11,451,108)		(13,474,927)		(10,699,028)
Deficit, end of period		$	(17,121,341)	$	(12,100,843)	$	(17,121,341)	$	(12,100,843)
Loss per share, basic and diluted			(0.09)		(0.03)		(0.13)		(0.07)
Weighted average shares outstanding, basic and diluted			36,902,622		21,078,446		28,990,534		21,078,446

See accompanying notes to interim financial statements

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ALR TECHNOLOGIES INC.
Statement of Shareholders' Deficiency and Comprehensive Loss
($ United States)
Six month period ended June 30, 2004
(Unaudited)

	Capital Stock
	Number of Shares	Amount	Additional Paid in Capital	Deficit	Accumulated Other Comprehensive Income	Total Shareholders' Deficiency
Balance, December 31, 2003	21,078,446	$ 21,078	$ 5,491,835	$ (13,474,927)	$ 37,164	$ (7,924,850)
Common shares issued as full and final settlement of accounts payable and accrued liabilities to a director	1,160,000	1,160	56,840	-	-	58,000
Common shares issued as full and final settlement of promissory notes payable to a relative of a director and a director	18,840,000	18,840	1,323,160	-	-	1,342,000
Compensation cost of stock options irrevocably committed to be used to non-employees for services	-	-	92,000	-	-	92,000
Financing cost of stock options irrevocably committed to be issued in consideration of promissory notes payable	-	-	1,052,897	-	-	1,052,897
Financing cost of stock options irrevocably committed to be issued in consideration of accounts payable and accrued liabilities	-	-	496,000	-	-	496,000
Compensation cost related to modification of previous stock option commitments for services	-	-	315,000	-	-	315,000
Financing cost related to the modification of previous stock option and warrant commitments in consideration of promissory notes	-	-	708,000	-	-	708,000
Loss and comprehensive loss				(3,646,414)		(3,646,414)
	41,078,446	$   41,078	$   9,535,732	$   (17,121,341)	37,164	$   (7,507,367)

See accompanying notes to financial statements

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ALR TECHNOLOGIES INC.
Statements of Cash Flows
($ United States)
Three month and six month periods ended June 30, 2004 and 2003
(Unaudited)

		Three months ended				Six months ended
		2004		2003		2004		2003
Cash flows from operating activities (note 8):
	Cash received from customers	$	12,075	$	12,811	$	389,616	$	41,146
	Cash paid to suppliers and employees		(96,393)		(210,198)		(296,928)		(455,101)
	Interest paid		(91,741)		(22,307)		(147,562)		(166,278)
	Income taxes paid		-		-		-		-
	Net cash used in operating activities		(176,059)		(219,694)		(54,874)		(580,233)
Cash flows from financing activities:
	Promissory notes payable		70,000		255,000		100,000		615,470
	Repayment of promissory notes payable		(25,000)		-		(55,000)		-
	Net cash provided by financing activities		45,000		255,000		45,000		615,470
Cash flows from investing activities:
	Purchase of fixed assets		(2,751)		-		(2,751)		-
Increase (decrease) in cash during the period			(133,810)		35,306		(12,625)		35,237
Cash, beginning of period			151,037		910		29,852		979
Cash, end of period		$	17,227	$	36,216	$	17,227	$	36,216
Non-cash financing activities:
Common shares issued as full and final settlement of
promissory notes		$	1,342,000	$	-	$	1,342,000	$	-
Common shares issued as full and final settlement of accounts
payable and accrued liabilities			58,000		-		58,000		-
Financing cost of stock options irrevocably committed to be issued
in consideration for promissory notes			1,046,597		94,304		1,052,897		261,365
Compensation cost of options irrevocably committed to be issued
to non-employees for services			82,000		-		92,000		7,000
Financing cost of stock options irrevocably committed to be
issued in consideration of accounts payable and accrued liabilities			496,000		-		496,000		-
Compensation cost related to the modification of stock
option commitments to non-employees for services			315,000		-		315,000		-
Financing cost related to the modification of stock option
and warrant commitment in consideration of promissory notes			708,000		-		708,000		-
		$	4,047,597	$	94,304	$	4,063,897	$	268,365

See accompanying notes to interim financial statements

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ALR TECHNOLOGIES INC.
Notes to Interim Financial Statements
($ United States)
Three month and six month periods ended June 30, 2004 and 2003
(Unaudited)

1. Basis of presentation

These financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America on a going concern basis which presumes the realization of assets and the discharge of liabilities and commitments in the normal course of operations for the foreseeable future.

The Company's ability to continue as a going concern is dependent upon the continued financial support of its creditors and its ability to obtain financing to repay its current obligations and fund working capital and its ability to achieve profitable operations. A significant portion of the Company's debt financing is either due on demand or has a maturity date of less than one year. The Company will seek to obtain creditors' consents to delay repayment of these outstanding promissory notes payable until it is able to replace this financing with funds generated by operations, replacement debt or from equity financings through private placements or the exercise of options and warrants. While the Company's creditors have agreed to extend repayment deadlines in the past, there is no assurance that they will continue to do so in the future. Management plans to obtain financing through the issuance of shares on the exercise of options and warrants and through future common share private placements. Management hopes to realize sufficient sales in future periods to achieve profitable operations. The resolution of the going concern issue is dependent upon the realization of management's plans. There can be no assurance provided that the Company will be able to raise sufficient debt or equity capital, from the sources described above, on satisfactory terms. If management is unsuccessful in obtaining financing or in achieving profitable operations, the Company will be required to cease operations. The outcome of these matters cannot be predicted at this time.

The financial statements do not give effect to any adjustments which could be necessary should the Company be unable to continue as a going concern and, therefore, be required to realize its assets and discharge its liabilities in other than the normal course of business and at amounts differing from those reflected in the financial statements.

2. Significant accounting policies

The information included in the accompanying interim financial statements is unaudited and should be read in conjunction with the annual audited financial statements and notes thereto contained in the Company's Report on Form 10-KSB for the fiscal year ended December 31, 2003. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for fair presentation of the results of operations for the interim periods presented have been reflected herein. The results of operations for the interim periods presented are not necessarily indicative of the results to be expected for the entire fiscal year.

F-5

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ALR TECHNOLOGIES INC.
Notes to Interim Financial Statements
($ United States)
Three month and six month periods ended June 30, 2004 and 2003
(Unaudited)

(a) Stock based compensation:

The Company applies APB Opinion No. 25 in accounting for its stock options issued to directors and employees. Had the Company determined compensation costs for stock options issued to employees and directors based on the fair value of its stock options under SFAS No. 123, the Company's loss and loss per share for the three month and six month periods ended June 30, 2004 and 2003 would have been the proforma amounts below:

		Three months ended June 30,					Six months ended June 30,
			2004		2003		2004		2003
Loss
As reported	$		(3,360,927)	$	(649,735)	$	(3,646,414)	$	(1,401,815)
Add: Employee stock based compensation, as recorded			--		--		--		--
Deduct: Employee stock based compensation, fair value method			--		--		--		--
Pro forma	$		(3,360,927)	$	(649,735)	$	(3,646,414)	$	(1,401,815)
Loss per share, basic and diluted
As reported	$		(0.09)	$	(0.03)	$	(0.13)	$	(0.07)
Pro forma	$		(0.09)	$	(0.03)	$	(0.13)	$	(0.07)

3. Inventories

The Company has expended significant efforts introducing its Human Prescription Reminders ("Med Reminders") to specified retail chains, pharmaceutical manufacturers, Contract Research Organizations, Health Management Organizations, Pharmacy Benefits Managers and certain clinics treating specific disease conditions. Sales to June 30, 2004 have not been sufficient for the Company to realize its investment in these inventories. Management plans to recover its investment in inventories through sales via the channels indicated above and through other, non-traditional sales channels not yet identified by management. As of June 30, 2004, management had recorded a provision of $160,000 in respect of its Med Reminder inventory.

The alternate use of this inventory is limited and, accordingly, if management is not successful in its plans, they may be required to further write-down its investment in inventories in the near term. The outcome of this matter cannot be predicted at this time.

F-6

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ALR TECHNOLOGIES INC.
Notes to Interim Financial Statements
($ United States)
Three month and six month periods ended June 30, 2004 and 2003
(Unaudited)

4. Promissory notes payable

During the six month period ended June 30, 2004, the Company received $30,000 from a relative of a director in exchange for a promissory note payable. The promissory note bears interest at 1% per month, is unsecured and is due on demand. As further consideration, 120,000 options exercisable into common shares of the Company at an exercise price of $0.25 per share until March 31, 2009, were irrevocably committed to be issued (see note 5(b)).

During the three month period ended June 30, 2004 the Company received $70,000 in exchange for a promissory note payable. The promissory note bears interest at 1% per month, is unsecured and is due on demand. As further consideration, 280,000 options exercisable into common shares at the Company at an exercise price of $0.25 per share are until June 30, 2009, were irrevocably committed to be issued (see note 5(b)).

5. Capital stock

a) Authorized common shares

The Company's issued common shares (41,078,446) plus common share issuance commitments related to outstanding stock options (75,701,463) exceeds the Company's authorized common shares of 75,000,000. The Company is in the process of increasing its authorized common shares, which it expects to complete by December 31, 2004.

b) Stock options:

The Company has irrevocably committed to grant options to purchase common shares of the Company as follows:

		2004		2003
	Number of Shares	Weighted Average Exercise Price	Number of Shares	Weighted Average Exercise Price
Outstanding, beginning of period	35,259,000	$0.25	28,460,000	$0.25
Granted	40,442,463	0.25	1,465,000	0.25
Expired or cancelled	-		-
Outstanding, end of period	75,701,463	$0.25	29,925,000	$0.25

The number of options outstanding and exercisable and the remaining contractual lives (in years) of the options at June 30, 2004 were as follows:

	Options Outstanding
Exercise Price	Number of Options Outstanding	Contractual Lives Remaining	Number of Options Exercisable
$0.25	75,701,463	0.75 to 5.00	71,701,463

Unvested options at June 30, 2004 consist of 4,000,000 options which will vest based on achieving certain sales and performance targets. Compensation cost related to the unvested options is recorded over the service period or in the period in which the sales or performance targets are achieved or probable of being achieved.

F-7

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ALR TECHNOLOGIES INC.
Notes to Interim Financial Statements
($ United States)
Three month and six month periods ended June 30, 2004 and 2003
(Unaudited)

5. Capital stock (continued)

b) Stock options (continued):

During the six month period ended June 30, 2004, the Company irrevocably committed to grant 1,450,000 options to non-employees in exchange for services. All of the options vested at the time of commitment and are exercisable into common shares of the Company at an exercise price of $0.25 per share for a period of five years. The compensation cost related to these options, being the fair value of the options, has been estimated to be $92,000, of which $25,000 has been charged to product development expense and $67,000 has been charged to selling, general and administrative expense. The weighted average per share fair value of the options irrevocably committed to be issued in the period was $0.06. The fair value of the options was determined using the Black Scholes option pricing model, using the expected life of the options, a volatility factor of 111%, a risk free rate of 3.00% and no assumed dividend rate.

During the six month period ended June 30, 2004, the Company irrevocably committed to grant 400,000 options, in consideration of promissory notes payable (note 4). All of the options vested immediately and are exercisable into the Company's common shares at an exercise price of $0.25 for a period of five years. Financing, being the gross proceeds of the promissory notes allocated to options, based on the relative fair value of the options, has been estimated to be $23,300 and has been charged to interest expense. The weighted average per share fair value of the options irrevocably committed to be issued in the period was $0.06. The fair value of the options was determined using the Black Scholes option pricing model, using the expected life of the options, a volatility factor of 111%, a risk free rate of 3.00% and no assumed dividend rate.

Also for consideration of promissory note proceeds received previously, the Company irrevocably committed to grant 16,516,500 options. All of the options vest immediately and are exercisable into the Company's common shares at an exercise price for a period of five years. Financing cost related to these options, being the fair value of the options, has been estimated to be $1,013,000, which charged to interest expense. The weighted average per share fair value of the options irrevocably committed to be issued in the period was $0.06. The value was determined using the Black Scholes option pricing model, using the expected life of the options, a volatility factor of 111%, a risk free rate of 3.00% and no assumed dividend rate.

During the six month period ended June 30, 2004, interest expense includes $16,597 of amortized promissory note discounts related to options irrevocably committed to be issued in the year ended December 31, 2003.

During the six month period ended June 30, 2004, the Company irrevocably committed to grant 8,075,963 options in consideration of outstanding accounts payable and accrued liabilities. All of the options vested immediately and are exercisable into the Company's common shares at an exercise price of $0.25 per share for a period of five years. Financing cost, being the fair value of the options, has been estimated to be $496,000 and has been charged to interest expense. The weighted average per share fair value of the options irrevocably committed to be issued in the period was $0.06. The fair value of the options was determined using the Black Scholes option pricing model, using the expected life of the options, a volatility factor of 111%, a risk free rate of 3.00% and no assumed dividend rate.

F-8

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ALR TECHNOLOGIES INC.
Notes to Interim Financial Statements
($ United States)
Three months and six month periods ended June 30, 2004 and 2003
(Unaudited)

5. Capital stock (continued)

b) Stock options (continued):

During the six months ended June 30, 2004, the Company modified the terms of 7,300,000 previous options commitments for services and 13,850,000 previous option commitments in consideration of promissory notes to extend the expiry date of the options to June 30, 2009. In addition, the Company issued 12,000,000 options to purchase common shares, with an exercise price of $0.25 per share to June 30, 2009, in exchange for previous warrant commitments on promissory note financings. Compensation cost related to the modification of previous option commitments for services was estimated to be $315,000, of which $10,000 has been charged to product development expense and $305,000 has been charged to selling, general and administrative expense. Financing cost related to the modification of previous option and warrant commitments in consideration of promissory notes payable has been estimated to be $708,000, which has been charged to interest expense. Compensation cost and financing cost have been estimated as the fair value of the options, using the Black Scholes option pricing model, using the expected lives of the options, a volatility factor of 111%, a risk free rate of 3.0% and no assumed dividend rate.

6. Contingency

Accounts payable and accrued liabilities, as of June 30, 2004, includes $180,666 of amounts owing to a supplier, which the Company disputes. The outcome of this matter cannot be determined at this time. The gain on settlement of the account payable, if any, will be recorded in the period that an agreement with the supplier is reached and the amount becomes determinable.

F-9

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ALR TECHNOLOGIES INC.
Notes to Interim Financial Statements
($ United States)
Three months and six month periods ended June 30, 2004 and 2003
(Unaudited)

7. Related party transaction

Related party transactions for the six month period ended June 30, 2004, included the following:

		2004		2003
10,000,00 common shares issued to a relative of a director for full
and final settlement of outstanding promissory notes payable	$	700,000	$	-
10,000,000 common shares issued to a director for full and final
settlement of outstanding promissory notes payable and accounts
payable and accrued liabilities		700,000		-
Financing cost related to options irrevocably committed to be issued
to relatives of directors in consideration of promissory notes payable		6,300		-
Financing cost related to options irrevocably committed to be issued
to directors and relatives of directors in consideration of promissory
note proceeds received previously		276,000		-
Financing cost related to options irrevocably commited to be issued
to directors and relatives of directors in consideration of outstanding
accounts payable and accrued liabilities		385,000		-
Compensation and financing costs related to modification of previous
option and warrant commitments to directors and relatives of directors		717,000		-
	$	2,784,300	$	-

During the three month June 30, 2004, the Company issued 20,000,000 common shares to a director and a relative of a director in formal settlement of promissory notes payable and accounts payable and accrued liabilities of $1,000,000. The fair value of the common shares considered of $1,400,000 was determined based on the quoted market priced of the common shares at the issue date, resulting in a loss on debt settlement of $400,000. Common shares issued are restricted from sale for a period of one year from the issue date in accordance with securities regulations.

F-11

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ALR TECHNOLOGIES INC.
Notes to Interim Financial Statements
($ United States)
Three month and six month periods ended June 30, 2004 and 2003
(Unaudited)

8. Reconciliation of loss to net cash used in operating activities

	Three months ended June 30,							Six months ended June 30,
				2004			2003		2004		2003
Loss		$	(3,360,927)		$	(649,735)		$	(3,646,414)	$	(1,401,815)
Adjustments to reconcile loss to net cash used in operating activities:
Depreciation			941			745			1,481		1,490
Amortization of discount related to options issued in consideration for promissory notes			6,640			224,072			16,597		478,612
Common shares issued as full and final settlement of outstanding accounts payable and accrued liabilities			58,000			-			58,000		-
Loss on settlement of debt			400,000			-			400,000		-
Compensation cost of options irrevocably committed to be issued for services			82,000			-			92,000		7,000
Financing of options irrevocably committed to be issued in consideration of promissory notes payable			1,046,597			-			1,052,897		-
Financing cost of options irrevocably committed to be issued in consideration of accounts payable and accrued liabilities			496,000			-			496,000		-
Compensation cost related to the modification of previous option commitments for services			315,000			-			315,000		-
Financing cost related to the modification of previous option and warrant commitments in consideration of promissory notes			708,000			-			708,000		-
Increase (decrease) in accounts receivable			(47,924)			(13,767)			74,683		2,102
Decrease (increase) in inventories			18,869			12,795			21,340		(95,859)
(Increase) decrease in prepaid expenses			(4,325)			(35,629)			(11,345)		53,248
Increase in accounts payable and accrued liabilities			105,070			241,825			316,887		374,989
Increase in customer deposits			-			-			50,000		-
Net cash used in operating activities		$	(176,059)		$	(219,694)		$	(54,874)	$	(580,233)

F-13

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Item 2. Management Discussion and Analysis

Forward Looking Statements

The following information must be read in conjunction with the unaudited Financial Statements and Notes thereto included in Item 1 of this Quarterly Report and the audited Consolidated Financial Statements and Notes thereto and Management's Discussion and Analysis or Plan of Operations contained in the Company's Annual Report on Form 10-KSB for the year ended December 31, 2003. Except for the description of historical facts contained herein, the Form 10-QSB contains certain forward-looking statements concerning future applications of the Company's technologies and the Company's proposed services and future prospects, that involve risk and uncertainties, including the possibility that the Company will: (i) be unable to commercialize services based on its technology, (ii) ever achieve profitable operations, or (iii) not receive additional financing as required to support future operations, as detailed herein and from time to time in the Company's future filings with the Securities and Exchange Commission and elsewhere. Such statements are based on management's current expectations and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements.

Critical Accounting Policies

The preparation of our financial statements in conformity with generally accepted accounting policies in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the reported periods. Actual results may differ from these estimates under different assumptions or conditions. We believe the accounting polices that are most critical to our financial condition and results of operations and involve management's judgment and/or evaluation of inherent uncertain factors are as follows:

Basis of Presentation. The financial statements have been prepared on the going concern basis, which assumes the realization of assets and liquidation of liabilities in the normal course of operations. If the Company were not to continue as a going concern, it would likely not be able to realize on its assets at values comparable to the carrying value or the fair value estimates reflected in the balances set out in the preparation of the financial statements. As described note 1 to the interim financial statements, at June 30, 2004, there are certain conditions that exist which raise substantial doubt about the validity of this assumption. The Company's ability to continue as a going concern is dependent upon continued financial support of its creditors and its ability to obtain financing to repay its current obligations and fund working capital and its ability to achieve profitable operations. The Company will seek to obtain creditors consent to delay repayment of its outstanding promissory notes payable until it is able to replace this financing with funds generated from operations, replacement debt or from equity financing through private placements or the exercise of options and warrants. While the Company's creditors have agreed to extend repayment deadlines in the past, there is no assurance that they will continue to do so in the future. Management plans to obtain financing through the issuance of additional debt, the issuance of shares on the exercise of options and warrants and through future common share private placements. Management hopes to realize sufficient sales in future years to achieve profitable operations. Failure to achieve management's plans may result in the Company curtailing operations or writing assets and liabilities down to liquidation values, or both.

-15-

Inventories. Inventories are recorded at the lower of cost, determined on a weighted average cost basis, and net realizable value. Net realizable value reflects the current estimated net selling price or value in used of the item in inventory in a non-forced sale. The Company assesses the need for inventory write-downs based on its assessment of the estimated net realizable value using assumptions about future demand and market conditions. When the results of these assumptions differs from the Company's projections, an additional inventory write-down may be required.

Options and warrants issued in consideration for debt. The Company allocates the proceeds received from long term debt between the liability and the options and warrants issued in consideration for the debt, based on their relative fair values, at the time of issuance. The amount allocated to the options or warrants is recorded as additional paid in capital and as a discount to the related debt. The discount is amortized to interest expense on a yield basis over the term of the related debt.

Revenue recognition. The Company recognizes sales revenue at the time of delivery when title has transferred to the customer, persuasive evidence of an arrangement exists, the fee is fixed and determinable and the sales proceeds are collectible. Provisions are recorded for product returns based on historical experience. Sales revenue, in transactions for which the Company does not have sufficient historical experience, are recognized when the return privilege period has expired.

Stock-based compensation. The Company accounts for its employee stock-based compensation arrangements in accordance with provisions of Accounting Principles Board ("APB") Opinion No. 25. "Accounting for Stock Issued to Employees", and related interpretations. As such, compensation expense for stock options, common stock and other equity instruments issued to non-employees for services received based upon the fair value of the equity instruments issued, as the services are provided and the securities earned.

Results of Operations

Management is focusing the majority of its efforts on introducing and marketing its line of medication reminders and compliance systems to the health management industry. ALRT Med Reminders are being marketed and sold directly to disease management companies, health insurance providers, pharmaceutical manufacturers, retail pharmacy chains, contract research organizations, and through distribution companies for resale to independent pharmacies. The Company is first targeting customers located in United States because of market potential but has also established selling operations/agreements for sales and distribution in Canada, Europe, Australia and South America.

Contracts with companies that will provide selling support to medical supply companies and health services providers as well as contracts with companies that sell directly to institutions and large medical practices have been completed in first half of 2004. An agreement with one entity was completed in 2002 and two additional agreements were completed in 2003. Company management will provide much of the selling activity to contract research organizations and to pharmaceutical manufacturers. The company will also utilize advertising/promotion and publicity activities to pharmaceutical manufacturers, contract research organizations, independent pharmacies and consumers.

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Development costs increased to $76,530 in the quarter ended June 30, 2004 and $124,705 for the six months ended June 30, 2004 from $29,744 in the second quarter of 2003 and $62,438 for the six months ended June 30, 2003. Development costs incurred in the second quarter of 2004 relate to the allocation of additional programming resources required for the development of the PC 500 LCD (Liquid Crystal Display) Med Reminders and the ALRT Interactive Response System (AIRS). Development costs for the three months and six months ended June 30, 2004 include $25,000 and $35,000 of non-cash compensation costs related to options issued for services in the period.

Interest expense increased to $2,390,320 for the quarter ended June 30, 2004 and $2,565,246 for the six months ended June 30, 2004 as compared with $377,658 for the quarter ended June 30, 2003 and $776,169 for the six months ended June 30, 2003. During the three months and six months ended June 30, 2004, Company incurred non-cash interest expense of $2,240,640 and 2,256,897, respectively. The non-cash interest consisted of the following; $1,046,597 (three months) and $1,052,897 was expensed for options irrevocably committed to be issued in consideration for promissory notes payable, $496,000 for options irrevocably committed to be issued in consideration of accounts payable and accrued liabilities, and $708,000 was expensed relating to the modification of previous option and warrant commitments in consideration of promissory notes Interest expense also includes the amortization of discounts related to stock options and warrants committed to be issued in consideration for promissory notes payable amounted to $6,640 in the second quarter of 2004 and $16,597 for the six months ended June 30, 2004 as compared to $224,072 and $478,612, respectively, in 2003. The overall increase in interest expense result of the Company's increased reliance on debt financing and cost to obtain extensions on debt obligations.

Loss on settlement of debt

During the three month June 30, 2004, the Company issued 20,000,000 common shares to a director and a relative of a director in formal settlement of promissory notes payable and accounts payable and accrued liabilities of $1,000,000. The fair value of the common shares considered of $1,400,000 was determined based on the quoted market priced of the common shares at the issue date, resulting in a loss on debt settlement of $400,000.

Professional fees were $26,280 for the quarter ended June 30, 2004 and $43,106 for the six months ended June 30, 2004 as compared with $20,084 and $43,308 for the same periods in 2003. Fees were higher in the second quarter of 2004 primarily due to fees for accounting services obtained in the period.

The selling, general and administrative expenses were $491,749 for the quarter ended June 30, 2004 and $587,415 for the six months ended June 30, 2004 as compared to $220,393 and $507,123 for the same periods in 2003. Included in selling, general and administrative expenses is $397,000 (three months) and $407,000 (six months) related to options committed to be issued in exchange for services provided by non-employees as compared to $nil and $7,000 over the same periods in 2003. The increase relates primarily to the Company's commitment to irrevocably modify options previously issued for services during the quarter ended June 30, 2004.

The loss of $3,360,927 for the quarter ended June 30, 2004 and $3,646,414 for the six months ended June 30, 2004 has increased from a loss of $649,753 and $1,401,815 for the same periods in 2003. The largest component of this increase was due to an increase in non-cash interest and compensation costs related to options committed to be issued as consideration for promissory notes payable, services, and modifications of previous option and warrant commitments.

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Liquidity and Capital Resources

Cash Balances and Working Capital

As of June 30, 2004, the Company's cash balance was $17,227 compared to $151,037 at March 31, 2004 and $29,852 as at December 31, 2003. As of June 30, 2004, the Company had a working Capital deficiency of $7,245,935 as compared to a working capital deficiency of $7,930,795 as of March 31, 2004 and $7,662,148 as at December 31, 2003.

Short and Long Term Liquidity

As at June 30, 2004, the Company does not have the current financial resources and committed financing to enable it to meet its overheads, purchase commitments and debt obligations over the next 12 months.

The majority of the Company's debt financing is either due on demand or has a maturity date of less than one year. The Company will seek to obtain creditors' consents to delay repayment of these loans until it is able to replace these financings with funds generated by operations, replacement debt or from equity financings through private placements or the exercise of options and warrants. While the Company's creditors have agreed to extend repayment deadlines in the past, there is no assurance that they will continue to do so in the future. Failure to obtain either replacement financing or creditor consent to delay the repayment of existing financing could result in the Company having to curtail operations.

Cash Used in Operating Activities

Cash used by the Company in operating activities during the three months and six months ended June 30, 2004 totaled $176,059 and $54,874, respectively, as compared with cash used by operating activities of $219,649 and $580,233 for the same periods in 2003. The decrease in cash used in operations relates primarily to a decrease in cash amounts paid to suppliers due to the Company's lack of funds.

Cash Proceeds from Financing Activities

In the first and second quarters of fiscal 2004, the Company received loans totaling $100,000,which consisted of $30,000 in the first quarter from a relative of a director and $70,000 in the second quarter from two individuals . In addition, a total of 20,000,000 common shares were issued in the quarter ending June 30, 2004. 10,000,000 restricted shares of common stock were issued to Stanley Cruitt, the Company's president, in consideration of his forgiveness of promissory notes and accounts payable owed to Mr. Cruitt by the Company in the amount of $500,000 and 10,000,000 restricted shares of common stock to Christine Kan, the wife of Sidney Chan, the Company's chief executive officer, in consideration of her foregiveness of promissory notes owed to Ms. Kan by the Company in the amount of $500,000. A loss on the settlement of the accounts payable and accrued liabilities and promissory notes payable of $400,000 has been included in the Company's statement of operations for the three months and six months ended June 30, 2004.

Off Balance Sheet Arrangements.

The Company has no off balance sheet financing arrangements that have or are reasonably likely to have a current or future effect on the Company s financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources, that is material to investors.

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Item 3. Controls and Procedures

Disclosure Controls and Procedures

Sidney Chan, the Company's Chief Executive Officer and Chief Financial Officer has evaluated the effectiveness of the Company s disclosure controls and procedures (as such term is defined in Rules 13a-15 and 15d-15 under the Securities Exchange Act of 1934, as amended (the Exchange Act )) as of the end of the period covered by this quarterly report (the Evaluation Date ). Based on such evaluation, such officers have concluded that, as of the Evaluation Date, the Company s disclosure controls and procedures are effective in alerting them on a timely basis to material information relating to the Company required to be included in our reports filed or submitted under the Exchange Act.

Changes in Internal Controls

There were no significant changes in the Company's internal controls or, to the Company's knowledge, in other factors that could significantly affect the Company's disclosure controls and procedures subsequent to the date the Company carried out this evaluation.

Part II - Other Information

Item 1. Legal proceedings

There were no legal proceedings in the quarter.

Item 2. Changes in securities

A total of 20,000,000 common shares were issued in the quarter ending June 30, 2004. 10,000,000 restricted shares of common stock were issued to Stanley Cruitt, the Company's president, in consideration of his forgiveness of promissory notes and accounts payable owed to Mr. Cruitt by the Company in the amount of $500,000 and 10,000,000 restricted shares of common stock to Christine Kan, the wife of Sidney Chan, the Company's chief executive officer, in consideration of her foregiveness of promissory notes owed to Ms. Kan by the Company in the amount of $500,000.

Item 3. Defaults upon senior securities

There were no defaults upon senior securities in the quarter. However there are liabilities totaling $4,893,000 for outstanding promissory notes that are due on demand or are due prior to June 30, 2005. The promissory note holders have not demanded payment as of the date of this report.

Item 4. Submission of matters to vote of Security Holders

No matters were submitted to security holders for a vote during the quarter.

Item 5. Other Matters

None

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Item 6. Exhibits and Reports on Form 8K

(a) The following Exhibits are attached hereto:

	Exhibit No.	Document Description
	31.1	Certification of Principal Executive Officer and Principal Financial Officer pursuant to Rule 13a-15(a) and Rule 15d-15(a), promulgated under the Securities Exchange Act of 1934, as amended.
	32.1	Certification of Chief Executive Officer and Chief Financial Officer Pursuant To 18 U.S.C. Section 1350, as adopted pursuant to Section 302 Of The Sarbanes-Oxley Act of 2002.

(b) Reports on Form 8-K

The Company filed no reports on Form 8K during the three month period ended June 30, 2004.

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SIGNATURES

In accordance with the requirements of the Exchange Act, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized on this 15^th day of October, 2004.

	ALR TECHNOLOGIES INC. (Registrant)
	BY:	/s/ Sidney Chan
		Sidney Chan, Principal Executive Officer, Treasurer, Principal Financial Officer and a member of the Board of Directors
	BY:	________________________________________
		Stanley Cruitt President and a Member of the Board of Directors

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