Statement of Assets, Liabilities and Equity
Ag Services (a wholly-owned subsidiary of US Biotec, Inc.)
For the year ending December 31, 2002 (unaudited)

ASSETS        
CURRENT ASSETS
....Cash
$85,564
....Accounts Receivable
$320,041
....Inventory
$156,402
........TTotal Current Assets
$563,007
 
FIXED ASSETS
....Land
$8,000
....Buildings
$30,000
....Machinery & Equipment
$90,437
....Less: Accumulated Depreciation
$83,637
........TNet Fixed Assets
$44,800
 
........TTOTAL ASSETS
$607,807
 
 
LIABILITIES
CURRENT LIABILITIES
....Accounts Payable
$211,654
....Notes Payable - Short Term
$224,550
........TTotal Current Liabilities
$436,204
 
NON-CURRENT LIABILITIES
....Notes Payable - Long Term
$0
........TTotal Non-Current Liabilities
$0
 
........TTOTAL LIABILITIES
$436,204
 
 
EQUITY
$171,603
........TTOTAL EQUITY
$171,603
 
 
TOTAL LIABILITIES AND EQUITY
$607,807
     
     

Statement of Income
Ag Services (a wholly-owned subsidiary of US Biotec, Inc.)
For the year ending December 31, 2002 (unaudited)
REVENUES
....Sales
$1,142,994
 
COST OF GOODS SOLD
$863,128
 
GROSS PROFIT
$279,866
 
OPERATING EXPENSES
....Sales and Marketing
$12,671
....General and Administrative
$227,523
....Depreciation of Property and Equipment
$7,409
...
....TOTAL OPERATING EXPENSES
$247,603
 
INCOME FROM OPERATIONS
$32,263
 
OTHER INCOME (EXPENSE)
....Interest Expense
($20,189)
 
NET INCOME
$12,074