X0202 4 2005-03-02 0 0001133872 ZANETT INC ZANE 0001126694 MCCARTHY DAVID M 50 OAKRIDGE ROAD VERONA NJ 07044 0 0 1 0 Common Stock 2005-03-02 4 J 0 1600 D 7345630 D Common Stock 2005-11-30 4 J 0 14775 D 7330855 D Common Stock 2006-06-22 4 J 0 250000 D 7080855 D Common Stock 2006-07-14 4 S 0 2000 2.42 D 7078855 D Common Stock 2006-07-21 4 S 0 2000 2.89 D 7076855 D Common Stock 2006-07-25 4 S 0 1500 2.68 D 7075355 D Common Stock 2006-08-16 4 J 0 250000 D 6825355 D Common Stock 2006-11-18 4 J 0 50000 D 6775355 D Common Stock 2006-11-21 4 S 0 500 1.26 D 6774855 D Common Stock 2006-11-22 4 S 0 200 1.25 D 6774655 D Common Stock 2006-11-22 4 S 0 300 1.26 D 6774355 D Common Stock 2006-11-24 4 S 0 600 1.36 D 6773755 D Common Stock 2006-11-24 4 S 0 1000 1.36 D 6772755 D Common Stock 2006-11-24 4 S 0 100000 1 D 6672755 D Common Stock 2006-11-28 4 S 0 200 1.27 D 6672555 D Common Stock 2006-11-28 4 S 0 300 1.27 D 6672255 D Stock Options (right to buy) 1.27 2006-11-30 4 S 0 200000 D 2006-11-30 2007-11-30 Common Stock 200000 200000 D Stock Options (right to buy) 1.5 2006-12-01 4 S 0 1000000 D 2006-12-01 2007-12-01 Common Stock 1000000 1200000 D The reporting person transferred common stock as consideration for personal services provided to the reporting person by the recipient. As a result of an internal audit by the Issuer, the Issuer and the reporting person determined that 14,775 shares of common stock of the Issuer were issued to the reporting person in error upon the cancellation and reissuance of a stock certificate. The disposition reflects a reconciliation of the shares of common stock by the reporting person to the Issuer. The reporting person transferred options to purchase common stock beneficially owned by him as consideration for personal services provided to the reporting person by the recipient. /s/ David M. McCarthy 2007-01-30