Acquired Sales Corporation (OTC:AQSP)

At March 31, 2012 our current liabilities exceeded our current assets by $1,919,186 and Acquired Sales Corp. had a capital deficiency of $2,088,051 accordingly, Acquired Sales Corp. was insolvent at March 31, 2012. The company completed two contracts during the three months ended March 31, 2012 for total revenue net of costs of $626,044. The Company has three contracts in process for estimated billings of $730,000. The Company has billed approximately $529,000 on these contracts through March 31, 2012 and expects the remainder to be realized through the second quarter of 2012.

The Company continues to be insolvent. The current contracts closed and in process were not substantial enough to alleviate the Company’s lack of cash flow. Acquired Sales Corp. currently has operating liabilities that it cannot pay and without an additional infusion of cash it is unlikely that the Company will be able to continue as a going concern. In addition, without a significant capital infusion it will be very difficult for the Company to perform on any new material contracts or multiple simultaneous contracts, as the Company does not have the necessary infrastructure in place due to the lack of cash flow. Significant lead time is necessary to hire and train employees on the Cogility Software platform. In addition, material capital expenditures are needed to enable the Company to perform under a new single material contract or multiple simultaneous contracts.