CIRQUE ENERGY, INC. - FORM 10-Q

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EX-31.1 - EX-31.1 - CIRQUE ENERGY, INC.	v239813_ex31-1.htm
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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

x QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2011

¨ TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT

Commission file number : 000-52438

E WORLD INTERACTIVE, INC.

(Exact name of small business issuer as specified in its charter)

Florida		65-0855736
(State or other jurisdiction of incorporation or organization)		(IRS Employer Identification No.)

2580 Anthem Village Drive

Henderson, Nevada, 89052

(Address of principal executive offices)

702 588 5971

(Issuer's telephone number)

(Former name, former address and former fiscal year, if changed since last report)

Indicate by check mark whether the issuer (1) filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act 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. x Yes ¨ No

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). x Yes ¨ No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the Definitions of “large accelerated filer”, “accelerated filer”, and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

¨ Large accelerated filer ¨ Accelerated filer ¨ Non-accelerated filer x Smaller reporting company

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ¨ No x

The number of shares outstanding of each of the issuer's classes of common equity as of October 31, 2011:

49,262,480 shares of common stock pre-split, 9,252,499 post split (Note 7 to the Financial Statements)

Contents

Part 1 Financial Information	3

Item 1. Financial Statements	3

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations	12

Item 3. Quantitative and Qualitative Disclosures about Market Risk	14

Item 4. Controls and Procedures	14

Part II. OTHER INFORMATION	15

Item 1. Legal Proceedings	15

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds	15

Item 3. Defaults upon Senior Securities	15

Item 4. Submission of matters to a Vote of Security Holders	15

Item 5. Other Information	15

Item 6. Exhibits	16

SIGNATURES	17

Part 1 Financial Information

Item 1 Financial Statements

E World Interactive, Inc.

(A Development Stage Company)

Consolidated Balance Sheets


	Septmeber 30,			Decemeber 31,
	2011			2010
	(Unaudited)			(Audited)
Assets:
Current assets:
Cash	$	114,944		$	721
Prepaid assets		13,500			-
Total current assets		128,444			721
Total assets	$	128,444		$	721

Liabilities and Stockholders' Equity:
Current liabilities:
Accounts and other payables	$	140,610		$	136,433
Accounts payable-related party		178,100			79,000
Due to related parties		149,522			88,204
Convertible notes-related party		150,000			150,000
Total current liabilities		618,232			453,637

Total liabilites		618,232			453,637

Stockholders' Deficit
Preferred stock, no par value 5,000,000 shares authorized and no shares issued.		-			-
Common stock, Par Value $0.001, 150,000,000 shares Authorized and 8,652,499 shares outstanding at September 30, 2011 and and December 31, 2010		8,652			8,652
Stock payable		150,000			-
Additional paid-in capital		4,206,628			4,206,628
Accumulated deficit		(4,514,336	)		(4,514,336	)
Accumulated deficit during development stage		(340,732	)		(153,860	)
Total stockholders' deficit		(489,788	)		(452,916	)

Total liabilities and stockholders' deficit	$	128,444		$	721

The accompanying notes are an integral part of these consolidated financial statements.

E WORLD INTERACTIVE , INC.

(A Development Stage Company)

Consolidated Statement of Operations

(Unaudited)

		Three Month Period Ended September 30,						Nine Month Period Ended September 30,						Development Stage
		2011			2010			2011			2010			April 01 2010 - Sept 30, 2011
					(Restated)						(Restated)			(Restated)
Sales		$	-		$	-		$	28		$	-		$	28

Operating expenses:
Bank service charges			339			310			727			330			1,193
Professional fees			59,526			61,753			169,673			97,971			296,149
Office rental and miscellaneous expense			481			7,029			1,381			7,554			3,728
Telephone expense			-			-			13			-			13
Storage costs			772			-			2,774			-			16,783
Investor relations			-			-			1,000			-			1,000
Travel expense			-			-			2,332			-			2,332
Impairment of intangible assets and license fees			-			-			-			-			449
	Total operating expense		61,118			69,092			177,900			105,855			321,647
	Operating loss		(61,118	)		(69,092	)		(177,872	)		(105,855	)		(321,619	)
Foreign exchange translation loss			-			-			-			-			(1,113	)
Interest expense			(3,000	)		(3,000	)		(9,000	)		(6,000	)		(18,000	)
	Net loss	$	(64,118	)	$	(72,092	)	$	(186,872	)	$	(111,855	)	$	(340,732	)

Net loss per common share-basic		$	(0.01	)	$	(0.01	)	$	(0.02	)	$	(0.01	)

Weighted average number of common shares outstanding-basic			8,652,499			8,651,499			8,652,499			7,984,496

The accompanying notes are an integral part of these consolidated financial statements.

E WORLD INTERACTIVE , INC.

(A Development Stage Company)

Consolidated Statement of Cash Flows

(Unaudited)

	Nine Month Period Ended September 30,						Development Period from 01 April 2010 to 30 Sept
	2011			2010			2011
				(Restated)			(Restated)
Operating Activities
Cash flows from operating activities :

Net loss	$	(186,872	)	$	(111,855	)	$	(340,732	)
Adjustments to reconcile net loss to net cash used in operating activities:
Issuance of common stock for services		-			150			150
Issuance of subsidiary common stock for services prior to acquisition		-			50			50
Loss on foreign currency translations		-			-			1,113
Changes in operating assets and liabilities:
Prepaids expenses		(13,500	)		-			(13,500	)
Accounts and other payables		4,141			28,843			1,669
Accounts payable-related party		99,100			71,000			178,100
Cash used in operating activities		(97,131	)		(11,812	)		(173,150	)
Investing Activities
Issuance of subsidiary stock for cash prior to acquisition		-			950			950
Purchase of intangible assets		-			(449	)		-
Cash provided by investing activities		-			501			950
Financing Activities
Stock payable		150,000			-			150,000
Advances from shareholders/related parties		61,318			19,255			137,031
Bank overdraft		36			-			36
Cash provided by financing activities		211,354			19,255			287,067

Increase in Cash		114,223			7,944			114,867
Cash, beginning of period		721			77			77
Cash, end of period	$	114,944		$	8,021		$	114,944

Supplemental Disclosure of Non-Cash Investing and Financing Activities
Deemed distribution to majority shareholder	$	-		$	150,000		$	150,000

The accompanying notes are an integral part of these consolidated financial statements.

E World Interactive, Inc.

(A Development Stage Company)

Notes to Consolidated Financial Statements

(Unaudited)

Note 1 – Basis of Presentation

The unaudited consolidated interim financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and with the instructions to Form 10-Q and reflect all adjustments which, in the opinion of management, are necessary for a fair presentation. All such adjustments are of a normal recurring nature. The results of operations for the interim period are not necessarily indicative of the results to be expected for a full year. The interim financial statements should be read in conjunction with the financial statements and footnotes thereto included in our annual report on Form 10-K for the year ended December 31, 2010.

The consolidated interim financial statements include our wholly owned subsidiaries. All significant inter-company transactions and balances have been eliminated.

On April 1, 2010, the Company entered into development stage accumulating a net loss of $340,732 from April 1, 2010 to September 30, 2011.

Note 2 – Going Concern

The accompanying consolidated interim financial statements have been prepared assuming that we will continue as a going concern. The Company has incurred a total accumulated deficit of $4,855,068 at September 30, 2011 including a $340,732 accumulated deficit during development stage period from April 1, 2010 to September 30, 2011. Our ability to continue as a going concern is dependent upon the Company implementing its business plans resulting in profitable operations. The consolidated interim financial statements do not include any adjustments relating to the recoverability and classification of recorded assets and classification of liabilities that might be necessary should we be unable to continue in existence. The Company also intends to position itself so that it may be able to raise additional funds through the capital markets and to raise additional borrowings. However, there are no assurances that the Company will be successful in this or any of its endeavors or become financially viable and continue as a going concern.

Note 3 – Restatement

The Financial Statements at September 30, 2010 has the following restatements;

1. Acquisition of Media and Technology Solutions, Inc.:

On May 24, 2010, E World Interactive, Inc. entered into a purchase agreement to acquire 100% of Media and Technology Solutions, Inc., (“Media and Technology”). Upon completion of the Company’s financial statements as of December 31, 2010, an accounting error was discovered that required the restatement of amounts previously reported. Intangible assets purchased from Blue Atelier (majority stockholder of the Company) should have been recorded at the transferors’ historical cost basis determined under GAAP. On the date the intangible assets were purchased, the unsecured convertible note payable to Blue Atelier executed by the Company as consideration for the intangible assets exceeded the transferors’ historical cost basis by $150,000. This excess should have been recorded by the Company as a deemed distribution to Blue Atelier (majority stockholder). On the date of acquisition, Media and Technology was 95% owned by Blue Atelier, Inc., the majority shareholder of E World Interactive, Inc. and accordingly the acquisition should have been accounted for in a manner similar to a pooling of the entities under GAAP because the entities were under common control at the time of the transaction. The accompanying restated financial statements include the results of Media and Technology from the date of inception of Media and Technology on February 01, 2010 reducing our loss by $7,458.

2. Change in Par Value:

On March 25, 2011, E World Interactive, Inc. (the “Company”) sent to the Division of Corporations, Amendment Section, Florida Secretary of State an Amendment specifying the following: “This Corporation is authorized to issue one hundred and fifty million (150,000,000) shares, designated as “Common Stock” and five million (5,000,000) shares designated as “Preferred Stock,” both shall have $0.001 par value. The only change to the Articles of Incorporation consisted of adding a par value of $0.001 when previously the par value was $0. The change in par value has been retroactively reflected in the accompanying financial statements.

Extract from the Financial Statements and Restatement

1.	Extract from Statement of Operations

	3 Month Period Ended									9 Month Period Ended
	September 30,						September 30,			September 30,						September 30,
	2010			Error			2010			2010			Error			2010
	(Unaudited)			Correction			(Unaudited)			(Unaudited)			Correction			(Unaudited)
	(Previously Restated)						(Restated)			(Previously Restated)						(Restated)
Statement of Operations

Bank Charges	$	268		$	42		$	310		$	289		$	41		$	330
Office Rental		450			6,579			7,029			975			6,579			7,554
Professional Fees		50,682			11,071			61,753			86,898			11,072			97,971
Impairment of Intangibles		25,000			(25,000	)		-			25,000			(25,000	)		-
Office and Miscellaneous Expense		150			(150	)		-			150			(150	)		-

Total Operating Expense		76,550			(7,458	)		69,092			113,312			(7,458	)		105,855
Interest Expense		3,000			-			3,000			6,000			-			6,000

Net Loss	$	(79,550	)	$	7,458		$	(72,092	)	$	(119,312	)	$	7,458		$	(111,855	)

Net Profit/Loss Per Share	$	(0.01	)				$	(0.01	)	$	(0.01	)				$	(0.01	)

Weighted Average Shares Outstanding		8,651,499						8,651,499			7,984,496						7,984,496

2.	Extract from Statement of Cash Flows

Statement of Cash Flows				9 Month Period Ended
	September 30,						September 30,
	2010			Error			2010
	(Unaudited)			Correction			(Unaudited)
	(Previously Restated)						(Restated)
Operating Activities
Cash flows from operating activities :
Net Profit/(Loss)	$	(119,312	)	$	7,458		$	(111,855	)
Impairment of Intangible		25,000			(25,000	)
Issue of Stock for Services prior to acquisition		-			50			50
Changes in Operating Assets and Liabilities
Stock Issued for Services					150			150
Accounts and other payables		28,843						28,843
Accounts payable-related party		-			71,000			71,000

Cash used in Operating Activities		(65,468	)		53,658			(11,812	)
Investing Activities
Issuance of Subsidiary Stock Prior to Acquisition					950			950
Pre -acquisition loss at Media and Technology		(16,543	)		16,543
Purchase of intangibles		(449	)		-			(449	)
Cash (Used in) Provided Investing Activities		(16,992	)		17,493			501
Financing Activities
Advances from shareholders/related parties		90,255			(71,000	)		19,255
Stock Issued		150			(150	)		-
Cash Provided by Financing Activities		90,405			(71,150	)		19,255
Increase(Decrease) in Cash		7,945			(1	)		7,944
Cash at Beginning of Period		77						77
Cash, End of Period	$	8,022		$	(1	)	$	8,021
Supplemental Disclosure of Non-Cash Investing and Financing Activities
Deemed distribution to majority shareholder	$	-		$	150,000		$	150,000

Note 4 - Summary of Significant Accounting Policies

a)	Basis of Presentation

The accompanying consolidated interim financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”). Significant accounting policies followed by the Company in the preparation of the accompanying consolidated financial statements are summarized below.

b)	Basis of Consolidation

The consolidated financial statements include the accounts of E World and its wholly owned subsidiaries. On May 24, 2010, the Company acquired 100% of the outstanding stock of Media and Technology Solutions, Inc. On the date of acquisition, Media and Technology was 95% owned by Blue Atelier, Inc., the majority shareholder of E World Interactive, Inc. and the acquisition was accounted by means of a pooling of the entities from the date of inception of Media and Technology on February 1, 2010 because the entities were under common control. On July 27, 2011, the Company incorporated a new wholly owned subsidiary, E World Corp. All significant inter-company transactions and balances have been eliminated.

c)	Inter-Company Transactions E World Interactive Inc. and E World Corp.

By way of an assignment agreement between E World Corp and E World Interactive, a number of agreements, letters of intent and various rights and any obligation relating to these rights held by E World Interactive, Inc. were assigned to and accepted by E World Corp. In addition, Media and Technology Solutions, Inc. become a wholly owned subsidiary of E World Corp with the transfer of the stock held by E World Interactive Inc. to E World Corp. In an additional agreement between E World Interactive, Inc. and E World Corp, E World Corp. assumed all existing liabilities of E World Interactive, Inc. as of the agreement date in exchange for a note receivable from E World Interactive. The note which is unsecured and does not include a provision for interest will remain in effect between the two companies after closing of the transaction currently contemplated under the letter of intend dated September 17, 2011 with Green Renewable Energy Solutions, Inc. (see note 6). The liabilities assumed by E World Corp. included accounts payable to unrelated third parties, accounts payable to related parties, amounts due to related parties and a convertible note due to a related party. This assignment and transfer of stock between entities included in the consolidated group had no impact on the consolidated financial statements.

These transactions were to facilitate the agreement entered into between E World Interactive, Inc. and Green Renewable Energy Solutions, Inc. on August, 27, 2011 and which was subsequently cancelled and replaced by a new agreement on September 17, 2011 (see note 6). As part of this agreement, E World Corp will be spun out as a separate independent company and E World Interactive, Inc. will change its name to Green Energy Renewable Solutions, Inc.

e)	Use of Estimates

The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates, judgments and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.

f)	Cash and Cash Equivalents

The Company considers all highly liquid instruments with maturity of three months or less at the time of issuance to be cash equivalents

g)	Significant Risks and Uncertainties

The Company's management believes that changes in any of the following areas could have a material adverse effect on the Company's future financial position, results of operations or cash flows: the Company's limited operating history; the Company’s ability to generate profits and cash flow; advances and trends in new technologies and industry standards; competition from other competitors; regulatory or related factors; risks associated with the Company's ability to attract and retain employees necessary to support its growth; and risks associated with the Company's growth strategies and the risks associated with the Company’s ability to raise finance on satisfactory terms to implement its business plan.

h)	Basic and Diluted Net Earnings (Loss) Per Share

The Company computes net income (loss) per share in accordance with ASC 260-10, which requires presentation of both basic and diluted earnings per share (“EPS”) on the face of the income statement. Basic EPS is computed by dividing net income (loss) available to common shareholders (numerator) by the weighted average number of shares outstanding (denominator) during the period. Diluted EPS gives effect to all potentially dilutive common shares outstanding during the period. In computing diluted EPS, the average stock price for the period is used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants. Diluted EPS excludes all potentially dilutive shares if their effect is anti-dilutive and is not presented in the accompanying statements.

i)	Fair Value of Financial Instruments

The carrying value of the Company’s financial instruments, including cash, due to shareholders/related parties and accounts and other payables approximate their fair values due to the immediate or short-term maturity of these instruments. It is management’s opinion that the Company is not exposed to significant interest, price or credit risks arising from these financial instruments.

j)	Concentration of Credit Risk

The Company’s financial instruments that are exposed to concentrations of credit risk primarily consist of its cash. The Company places its cash with financial institutions of high credit worthiness. At times, its cash and cash equivalents with a particular financial institution may exceed any applicable government insurance limits. The Company’s management also routinely assesses the financial strength and credit worthiness of any parties to which it extends funds and as such, it believes that any associated credit risk exposures are limited.

k)	Reclassifications

Certain reclassifications have been made to the prior years’ financial statements to conform to the current year presentation. These reclassifications had no effect on previously reported results of operations or retained earnings. The Company reclassified advances from shareholders from the operating activities section of the statement of cash flows to the financing section.

l)	Recent Accounting Pronouncements

The Company has evaluated recent pronouncements through Accounting Standards Updates “ASU” 2011-09 and believes that none of them will have a material impact on the Company’s financial position, results of operations or cash flows.

m)	Revenue Recognition

The Company recognizes revenues and the related costs when persuasive evidence of an arrangement exists, delivery and acceptance has occurred or service has been rendered, the price is fixed or determinable, and collection of the resulting receivable is reasonably assured. Amounts invoiced or collected in advance of product delivery or providing services are recorded as deferred revenue. The Company accrues for warranty costs, sales returns, bad debts, and other allowances based on its historical experience.

Note 5 – Related Party Transactions

The Company records transactions of commercial substance with related parties at amounts agreed to between the related parties and management, which are meant to approximate fair value. Amounts due to shareholders/related parties are non-interest bearing, unsecured, and due upon demand. Media and Technology Solutions, Inc., a wholly owned subsidiary, holds an unsecured 8% convertible note with Blue Atelier, Inc., the majority shareholder of E World. The convertible note was issued in connection with the purchase of intangible assets. The maturity date for the note has been extended by agreement with |Blue Atelier, the beneficiary of the note from September 30, 2011 to March 31, 2012. The note may be converted to E World common stock at a price to be agreed.

The following is a list of related party balances as of September 30, 2011 and December 31, 2010:

	September 30, 2011		December 31, 2010
Due to shareholders	$	149,522	$	88,204
Accounts payable - related party	$	178,100	$	79,000
Convertible note - related party	$	150,000	$	150,000

Amounts due to shareholders include advances from Blue Atelier, Inc. of $142,074 during the nine months ended September 30, 2011. These advances are unsecured, non-interest bearing and due on demand.

Other related party transactions during the period include consultancy fee charges for the nine month period ending September 30, 2011 and for the Development Period from April 1, 2010 to September 30, 2011:

		Nine months ended September 30,				Development Stage
		2011		2010
Gerry Shirren	Director, E World Interactive Inc.	$	45,000	$	40,000	$	90,000
Frank O Donnell	President, Blue Atelier, Inc.	$	90,000	$	30,000	$	150,000

Note 6 – Agreement with Green Renewable Energy Solutions

On September 17, 2011, E World Interactive, Inc. (“E World” or the “Company”) entered into a letter of intent (the “LOI”) with Green Renewable Energy Solutions, Inc. (“GRES”) the purpose of which was to cancel the Binding Letter of Intent entered into between the Parties on July 27, 2011 and to replace this with a new agreement. The new agreement entered into by E World and GRES is summarized below:

E World will acquire the assets of GRES including contracts entered into by GRES with regard to the acceptance, processing and disposal of construction and demolition waste dated May 19, 2011 and Municipal Solid Waste agreement dated September 07, 2011 and other agreements relating to the financing of energy and waste disposal projects.

ii.	E World will change its name immediately to Green Energy Renewable Solutions Inc.

iii.	The consideration for the acquisition of GRES will be the issue of new common stock of E World such that on completion of the issue, the existing shareholders of both E World and GRES will own the Company in equal amount.

iv.	The board of the Company will change with immediate effect to reflect this 50/50 ownership and Joe DuRant will be appointed as Chief Executive Officer of the Company.

Prior to the completion of the transaction and the issue of E World stock, E World will spin out its wholly owned subsidiaries, Media and Technology Solutions, Inc. and E World Corp as independent public companies. E World Corp will retain the ownership of the E World name, websites and all existing agreements, licenses and projects in development other than the project being developed by GRES.

Note 7 – Stockholders Equity

As of September 30, 2011, the Company had 150,000,000 shares of common stock authorized at a par value of $0.001.

On October 4, 2011, the Board of Directors approved a 5 to 1 reverse stock split of its issued and outstanding common stock. The stock split has been retroactively applied to these financial statements resulting in a decrease in the number of shares outstanding and a decrease in the par value of common stock with a corresponding increase in additional paid-in capital. All share amounts have been retroactively restated to reflect this reverse stock split.

As of September 30, 2011 and December 31, 2010, the Company had 8,652,499 shares of common stock outstanding.

Stock Payable

On August 24, 2011, the Company received cash consideration in the amount $150,000 from non-related individuals for the purchase of 3,000,000 (pre-split) shares of common stock. As of September 30, 2011 the shares have not been issued by the Company. On a post stock split basis of the shares, the investor will receive 600,000 shares of common stock.

Note 8 - Subsequent Events

On October 04, 2011, the Board approved a 5:1 reverse split of the E World Interactive Inc. common stock, the reverse split having been approved by Blue Atelier Inc., the owner of more than 75% of the outstanding stock. The reverse split will take place prior to the issue of stock to GRES under the agreement referred to in Note 5. All shares have been retroactively restated to reflect this reverse stock split in the accompanying financial statements.

E World is now proceeding with the completion of the reverse split, the spin-out of the subsidiary operations E World Corp and the change of name to Green Energy Renewable Solutions, Inc. In this spin-out, for convenience, E World Corp acquired 100% of the ownership of Media and Technology Solutions, Inc. from E World Interactive, Inc.

On October 30, 2011, E World Interactive Inc. entered into an agreement to purchase a total of 15 acres of real estate in the City of Highland Park, Wayne County, Michigan. This will be the location of the operation for the acceptance, processing and disposal of construction and demolition waste as anticipated in the agreement with GRES in Note 6.

On October 31, 2011, the Company issued 3,000,000 shares of common stock (pre-split) in fulfillment of a $150,000 stock payable. On a post stock split basis of the shares, the investor received 600,000 shares of common stock.

Item 2 Management's Discussion and Analysis of Financial Condition and Results of Operations

This statement may include projections of future results and “forward-looking statements” as that term is defined in Section 27A of the Securities Act of 1933 as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934 as amended (the “Exchange Act”). All statements that are included in this Quarterly Report, other than statements of historical fact, are forward looking statements. Although management believes that the expectations reflected in these forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct.

The key factors that are not within our control and that may have a direct bearing on operating results include, but are not limited to, acceptance of our services, our ability to expand our customer base, managements’ ability to raise capital in the future, the retention of key employees and changes in the regulation of our industry.

There may be other risks and circumstances that management may be unable to predict. When used in this Quarterly Report, words such as, "believes," "expects," "intends," "plans," "anticipates," "estimates" and similar expressions are intended to identify forward-looking statements, although there may be certain forward-looking statements not accompanied by such expressions.

INTRODUCTION AND COMPANY UPDATE

INTRODUCTION

E World Interactive, Inc. (OTC BB: EWRL), a Florida corporation, is a publicly traded company. Its headquarters are located at 2580 Anthem Village Drive, Henderson, Nevada 89052. On October 4, 2011 the Board of Directors approved a 5 to 1 reverse stock split of its issued and outstanding common stock. The stock split has been retroactively applied to the financial statements resulting in a decrease in the number of shares outstanding and a decrease in the par value of common stock with a corresponding increase in additional paid-in capital. All share amounts have been retroactively restated to reflect this reverse stock split. As of September 30, 2011 and December 31, 2010, on a post stock split basis, the Company had 8,652,499 shares of common stock outstanding from an authorized 150 million shares and no Preferred Shares outstanding from an authorized 5 million Preferred Shares. EWRL’s common stock is currently traded on the OTC Bulletin Board. On October 31, 2011 the Company issued 3,000,000 shares of common stock (pre-split) in fulfillment of a $150,000 stock payable. On a post stock split basis of the shares, the investor received 600,000 shares of common stock.

PLAN OF OPERATION

E World Interactive Inc. (E World) has an integrated business model with a number of key areas of business, each closely connected with business operations in the US and China. The key area of E World business is planned to be green energy driven business, with a series of opportunities in solar and wind energy generation and storage projects, integrated municipal energy related projects, green energy ‘net zero’ housing developments and TV based media and marketing programs. E World has extensive relationships and partnerships in China for product sourcing and fulfillment as well as holding a number of rights to US media brands for China and will continue to develop and exploit the various media related interests owned by the Company’s wholly owned subsidiary, Media and Technology Solutions, Inc. The company’s website is available at www.eworldcorp.net. The company’s subsidiary Media and Technology Solution’s website is available at www.mediaandtechnology.net.

E World operates in a low risk manner with limited financial exposure on its downside risk while maintaining major upside potential. E World’s key expertise from its Board members, its management and its associates gives it a major advantage to successfully exploit this ‘green energy’ business focus and it has a pipeline of opportunities, some of which have rights to proprietary technologies.

ii.	E World will change its name immediately to Green Energy Renewable Solutions Inc.

iii.	The consideration for the acquisition of GRES will be the issue of new common stock of E World such that on completion of the issue, the existing shareholders of both E World and GRES will own the Company in equal amount.

iv.	The board of the Company will change with immediate effect to reflect this 50/50 ownership and Joe DuRant will be appointed as Chief Executive Officer of the Company.

Renewable Energy, Storage and Related Business

Renewable energy creation and storage will be a key area of future business for E World. Combining major strategic partnerships with proprietary technology owners, E World is the agent for these technologies for our E World locations and has exclusivity for some applications. In addition, E World partnering with Global Earth Sciences has developed proprietary wind solutions. The energy generation and storage partnerships will include the following

(i)

Proprietary wind turbine generation systems.

(ii)

Other energy generation technologies including integrated ‘waste to energy’ solutions on a utility scale for municipal authorities.

(iii)

Geo-polymer technologies, producing products with patented designs for large and small scale civil construction, transportation and housing projects.

(iv)

Proprietary energy storage systems. This is a lithium ion phosphate based re-chargeable battery system which is scalable and integrates with the grid for balancing of surplus and deficits of power needs.

(v)

Electric vehicles and other renewable energy consumer products.

E World Media and the E World Store

E World has a long history and expertise in media, especially in TV projects and is developing a weekly TV show to showcase green energy developments, advise on the latest technologies, give cost saving advise and provide information on government incentives and rebates. E World also plans to be both a retailer and wholesaler of green energy products, including those that it will have propietary technology rights to for some applications and will seek to add a complete range of green energy products with direct, online and TV direct response sales.

E World will launch its online store at www.eworldstore.tv in conjunction with its planned ‘Green TV’ television show which will showcase developments in green energy for both business and residential energy consumers.

RESULTS OF OPERATIONS

NINE MONTH PERIOD ENDED SEPTEMBER 30, 2011 COMPARED TO NINE MONTH PERIOD ENDED SEPTEMBER 30, 2010

Revenues for the nine month period ended September 30, 2011were $28 compared to $0 for the nine month period ended September 30, 2010.

Total operating expense for the nine month period ended September 30, 2011 increased by $72,045 from $105,855 for the nine months ended September 30, 2010 to $177,900 for the same period in 2011. The increase was primarily due to an increase in professional fees and operational activity.

Interest expense for the nine months ended September 30, 2011 increased by $3,000 from $6,000 for the nine months ended September 30, 2010 to $9,000 for the same period in 2011. The interest arose from an 8% convertible note held by Media & Technology with Blue Atelier, Inc., the majority shareholder of E World, issued in connection with the purchase of intangible assets. The note matures on March 31, 2012 with interest due on maturity.

Due to the factors described above, the Company's net loss increased by $75,017 from net loss of $111,855 for the nine months ended September 30, 2010 to a net loss of $186,872 for the same period in 2011.

THREE MONTH PERIOD ENDED SEPTEMBER 30, 2011 COMPARED TO THREE MONTH PERIOD ENDED SEPTEMBER 30, 2010

Revenues for the three month period ended September 30, 2011were $0 compared to $0 for the three month period ended September 30, 2010.

Total operating expense for the three month period ended September 30, 2011 reduced by $7,974 from $69,092 for the three months ended September 30, 2010 to $61,118 for the same period in 2011. The decrease was primarily due to a reduction in office and miscellaneous expense for the period.

Interest expense for the three months ended September 30, 2011 was $3,000, the same as for the three months ended September 30, 2010. The interest arose from an 8% convertible note held by Media & Technology with Blue Atelier, Inc., the majority shareholder of E World, issued in connection with the purchase of intangible assets. The note matures on March 31, 2012 with interest due on maturity.

Due to the factors described above, the Company's net loss reduced by $7,974 from net loss of $72,092 for the three months ended September 30, 2010 to a net loss of $64,118 for the same period in 2011.

LIQUIDITY AND CAPITAL RESOURCES

The Company's consolidated interim financial statements have been prepared, assuming that the Company will continue as a going concern. The Company incurred a net loss of $186,872, used cash flow from operations of $97,131 for the nine months ended September 30, 2011, had a working capital deficiency of $489,788, an accumulated deficit of $4,514,336 along with an accumulated deficit of $340,732 during development stage for the period from April 1, 2010 to September 30, 2011. These conditions raise substantial doubt about the Company's ability to continue as a going concern.

Cash totaled $114,944 on September 30, 2011 compared to $721 as of December 31, 2010.

During the nine months ended September 30, 2011, net cash used by operating activities totaled $97,131, compared to net cash used by operating activities of $11,812 for the comparable nine month period in 2010. Net cash provided by investing activities for the nine months ended September 30, 2011 totaled $0 compared to $501 for the comparable nine month period in 2010. Net cash provided by financing activities for the nine months ended September 30, 2011 totaled $211,354 compared to $19,255 for the comparable nine month period in 2010.

The above cash flow activities yielded a net cash increase of $114,223 during the nine months ended September 30, 2011 compared to an increase of $7,944 during the comparable prior year period.

GOING CONCERN

The consolidated interim financial statements have been prepared assuming that we will continue as a going concern. The Company had minimal operating revenue and our ability to continue as a going concern is dependent upon the company implementing its business plans resulting in profitable operations. The consolidated interim financial statements do not include any adjustments relating to the recoverability and classification of recorded assets and classification of liabilities that might be necessary should we be unable to continue in existence.

The Company also intends to position itself so that it may be able to raise additional funds through the capital markets and to raise additional borrowings. However, there are no assurances that the Company will be successful in this or any of its endeavours or become financially viable and continue as a going concern.

Item 3. Quantitative and Qualitative Disclosures about Market Risk

Not Applicable

Item 4. Controls and Procedures

Evaluation of Disclosure Controls and Procedures

We carried out an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) as of September 30, 2011. This evaluation was carried out under the supervision of the Company’s Principal Financial Officer, Gerry Shirren. Based upon that evaluation, the Principal Financial Officer concluded that, as of September 30, 2011, our disclosure controls and procedures were effective.

Accordingly, we believe that the financial statements included in this report fairly present, in all material respects, our financial condition, results of operations, changes in stockholders’ deficit and cash flows for the periods presented.

Disclosure controls and procedures are controls and other procedures that are designed to ensure that information required to be disclosed in our reports filed or submitted under the Exchange Act are recorded, processed, summarized and reported, within the time periods specified in the SEC's rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed in our reports filed under the Exchange Act is accumulated and communicated to management, including our Principal Executive Officer and Principal Financial Officer, to allow timely decisions regarding required disclosure. Such disclosure controls and procedures are limited in their effect by the limitation of the numbers of staff available to allow for the desirable level of division of responsibilities and oversight of the controls and procedures.

Inherent Limitations on the Effectiveness of Controls

A control system, no matter how well conceived or operated, can provide only reasonable, not absolute, assurance that the objectives of the control system are met.

Management does not expect that our disclosure controls and procedures or our internal control over financial reporting will prevent or detect all errors and all fraud. A control system, no matter how well conceived and operated, can provide only reasonable, not absolute, assurance that the objectives of the control systems are met. Further, the design of a control system must reflect the fact that there are resource constraints, and the benefits of controls must be considered relative to their costs. Because of the inherent limitations in a cost-effective control system, no evaluation of internal control over financial reporting can provide absolute assurance that misstatements due to error or fraud will not occur or that all control issues and instances of fraud, if any, have been or will be detected.

These inherent limitations include the realities that judgments in decision-making can be faulty and that breakdowns can occur because of a simple error or mistake. Controls can also be circumvented by the individual acts of some persons, by collusion of two or more people, or by management override of the controls. The design of any system of controls is based in part on certain assumptions about the likelihood of future events, and there can be no assurance that any design will succeed in achieving its stated goals under all potential future conditions. Projections of any evaluation of controls effectiveness to future periods are subject to risks. Over time, controls may become inadequate because of changes in conditions or deterioration in the degree of compliance with policies or procedures.

Changes in Internal Controls

Our management, with the participation of our Principal Executive Officer and Principal Financial Officer, performed an evaluation to determine whether any change in our internal controls over financial reporting occurred during the nine month period ended September 30, 2011. Based on that evaluation, our Principal Executive Officer and Principal Financial Officer concluded that no change occurred in the Company's internal controls over financial reporting during the nine months ended September 30, 2011 that has materially affected, or is reasonably likely to materially affect, the Company's internal controls over financial reporting.

Part II. Other Information

Item 1. Legal Proceedings

None, for the nine month period ending September 30, 2011.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

The company sold 3,000,000 shares of Common Stock for a total of $150,000 during nine month period ending September 30, 2011 and the stock relating to this sale was pending issuance as of September 30, 2011.

Item 3. Defaults upon Senior Securities

None, for the nine month period ending September 30, 2011.

Item 4. Submission of matters to a Vote of Security Holders

None, for the nine month period ending September 30, 2011.

Item 5. Other Information

None

Item 6. Exhibits

E World Interactive, Inc. includes by reference the following exhibits:

3.1	Articles of Incorporation, exhibit 3.1 filed with the registrant’s Registration Statement on Form SB-2, as amended; filed with the Securities and Exchange Commission on December 27, 2005.

3.2	Amendment to Articles of Incorporation, exhibit 3.2 filed with the registrant’s Registration Statement on Form SB-2, as amended; filed with the Securities and Exchange Commission on December 27, 2005.

3.3	Amendment to Articles of Incorporation, exhibit 3.3 filed with the registrant’s Registration Statement on Form SB-2, as amended; filed with the Securities and Exchange Commission on December 27, 2005.

3.4	Bylaws, filed as exhibit 3.4 with the registrant’s Registration Statement on Form SB-2, as amended; filed with the Securities and Exchange Commission on December 27, 2005.

3.5	Amendment to Articles of Incorporation, filed as exhibit 3.5 with the registrant’s Registration Statement on Form 8-A; filed with the Securities and Exchange Commission on December 14, 2006.

3.6	Amendment to Articles of Incorporation, filed as Exhibit Bylaws, filed as exhibit 3.1 filed on Form 8-K, filed with the Securities and Exchange commission on August 24, 2009.

3.7	Amendment to Articles of Incorporation, filed as Exhibit Bylaws, filed as exhibit 3.1 filed on Form 8-K, filed with the Securities and Exchange commission on April 5, 2011.

10.1	Stock purchase agreement - Between E World Interactive, Inc. and Blue Atelier, Inc. March 30, 2009 and filed as exhibit 10.1 with the registrants Current Report on Form 8-K filed with the Securities and Exchange Commission on April 03, 2009.

10.2	Purchase Agreement - between E Wold Interactive Inc. and the shareholders of Media and Technology Solutions, Inc. for the purchase of 100% of the outstanding stock of Media and Technology.

10.3	Letter of Intent between E World Interactive, Inc. and Green Renewable Energy Solutions, Inc. (“GRES”) the purpose of which was to cancel the Binding Letter of Intent entered into between the Parties on July 27, 2011 and to replace this with a new agreement relating to the acquisition of the assets of GRES, change of name, reverse split and spin out of subsidiaries.

31.1	Certification of Principal Executive Officer and Principal Financial Officer Rule 13a-14(a) or 15d-14(a).

32.1	Certifications of Principal Executive Officer and Principal Financial Officer (18 U.S.C. Section 1350)

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.

		E World Interactive, Inc.

Date: November 14, 2011		By: /s/ Joe DuRant, Chief Executive Officer
		Joe DuRant
		Chief Executive Officer

		By: /s/ Gerry Shirren, Chief Financial Officer
		Gerry Shirren
		Chief Financial Officer

Attached files

CIRQUE ENERGY, INC. Reports

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