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      March 31, 2013 and 2012, the Company had net deferred tax

      assets of approximately $858,966 and $806,622 principally

      arising from net operating loss carryforwards for income tax

      purposes. As management of the Company cannot determine that

      it is more likely than not that the Company will realize the

      benefit of the net deferred tax asset, a valuation allowance

      equal to the net deferred tax asset has been established at

      March 31, 2013 and 2012. At March 31, 2013, the Company has

      net operating loss carry forwards totaling approximately

      $6,880,000 which will begin to expire in the year

      2015.&lt;/font&gt;

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