U.S. SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q Mark One [X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarter ended September 30, 2009 [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______ to _______ COMMISSION FILE NO. 000-53104 INFOSPI INC. ____________ (Name of small business issuer in its charter) NEVADA 51-0668045 ______ __________ State or other jurisdiction of incorporation (IRS Employer Identification No.) or organization) 5300 NW 12TH AVENUE, SUITE 1 FORT LAUDERDALE, FLORIDA 33309 ______________________________ (Address of principal executive offices) (858) 531-5723 ______________ (Issuer's telephone number) Securities registered pursuant to Section Name of each exchange on which 12(b) of the Act: registered: NONE Securities registered pursuant to Section 12(g) of the Act: COMMON STOCK, $0.001 ____________________ (Title of Class) Indicate by checkmark whether the issuer: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the past 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. Yes [X ] 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 (Section 229.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files. Indicate by check mark whether the registrant is a large accelerated filed, an accelerated filer, a non-accelerated filer, or a smaller reporting company. Large accelerated filer [ ] Accelerated filer [ ] Non-accelerated filer [ ] Smaller reporting company [X] Indicate by checkmark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes [ ] No [X] Applicable Only to Issuer Involved in Bankruptcy Proceedings During the Preceding Five Years. N/A Indicate by checkmark whether the issuer has filed all documents and reports required to be filed by Section 12, 13 and 15(d) of the Securities Exchange Act of 1934 after the distribution of securities under a plan confirmed by a court. Yes[ ] No[ ] Applicable Only to Corporate Registrants Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the most practicable date: Class Outstanding as of November 23, 2009 Common Stock, $0.001 61,838,753 1 INFOSPI INC. Form 10-Q Part 1. FINANCIAL INFORMATION Item 1. FINANCIAL STATEMENTS Consolidated Balance Sheets 4 Consolidated Statements of Operations 5 Consolidated Statements of Cash Flows 7 Notes to Consolidated Financial Statements 8 Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 11 Item 3. Quantitative and Qualitative Disclosures About Market Risk 16 Item 4. Controls and Procedures 17 Part II. OTHER INFORMATION Item 1. Legal Proceedings 18 Item 1A. Risk Factors 18 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 18 Item 3. Defaults Upon Senior Securities 18 Item 4. Submission of Matters to a Vote of Security Holders 19 Item 5. Other Information 19 Item 6. Exhibits 21 2 PART I ITEM 1. FINANCIAL STATEMENTS INFOSPI INC. FINANCIAL STATEMENTS SEPTEMBER 30, 2009 (Unaudited) 3 INFOSPI, INC. (A DEVELOPMENT STAGE COMPANY) BALANCE SHEET SEPTEMBER 30, 2009 As of As of 30-Sep-09 31-Dec-08 _________ _________ ASSETS CURRENT ASSETS Cash $ - $ - Receivable from others 1,000 1,000 Software 567 567 _________ _________ TOTAL ASSETS $ 1,567 $ 1,567 ========= ========= LIABILITIES AND STOCKHOLDERS' EQUITY TOTAL CURRENT LIABILITIES $ - $ - STOCKHOLDERS' EQUITY (DEFICIT) Common stock, $0.001 par value: 75,000,000 shares authorized, 5,567,324 shares issued and outstanding as of 9/30/2009 and 12/31/2008 5,567 5,567 Deficit (4,000) (4,000) _________ _________ TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 1,567 $ 1,567 ========= ========= See Notes to Financial Statements 4 INFOSPI, INC. (A DEVELOPMENT STAGE COMPANY) STATEMENT OF OPERATIONS (UNAUDITED) Inception 12/31/2007 Nine Months Ended Year Ended Through 9/30/2009 9/30/2008 12/31/2008 12/31/2007 9/30/2009 REVENUE - - - - - ________________ _________________ __________________ ________________ __________________ Total Revenue $ - $ - $ - $ - $ - ________________ _________________ __________________ ________________ __________________ EXPENSES Professional Expenses - 2,750 3,425 225 3,650 General & Admin Exps - - 350 - 350 ________________ _________________ __________________ ________________ __________________ OPERATING INCOME (LOSS) $ - $ (2,750) $ (3,775) $ (225) $ (4,000) OTHER INCOME (EXPENSES) $ - $ 2,750 $ (3,775) $ - $ - Current Income Tax - - - - - Income Tax Benefit - - - - - ________________ _________________ __________________ ________________ __________________ NET INCOME (LOSS) $ - $ 2,750 $ (3,775) $ (225) $ (4,000) ================ ================= ================== ================ ================== Basic (loss) per Share - 0.0005 0.0007 0.0004 Weighted Average number of Common shares outstanding 5,567,324 4,999,558 5,142,666 567,324 Diluted (loss) per Share assuming all 5,000,000 warrants were exercised - 0.0003 0.0004 - Weighted number of shares outstanding after exercise of 5,000,000 warrants 10,567,324 9,999,558 10,142,666 5,567,324 See Notes to Financial Statements 5 INFOSPI, INC. (A Development Stage Company) STATEMENT OF CHANGE IN STOCKHOLDERS' EQUITY September 30,2009 (unaudited) Accumulated Additional During the Total Common Stock Paid-In Development Stockholders Shares Amount Capital Stage Equity ______________ ______________ ______________ _______________ _______________ Common Stock Issued Per Court Order Dec. 31, 2007 567,324 $567 $0 $0 $567 Net Loss for the year Ended Dec. 31, 2007 (225) (225) ______________ ______________ ______________ _______________ _______________ Balance, Dec. 31, 2007 567,324 567 0 (225) 342 Common Stock Issued Per Court Order Jan. 15, 2008 1,000,000 1,000 0 1,000 Common Stock Issued For Cash Feb. 4, 2008 4,000,000 4,000 0 4,000 Net loss for year Ended Dec. 31, 2008 (3,775) (3,775) ______________ ______________ ______________ _______________ _______________ Balance, Dec 31. 2008 5,567,324 5,567 0 (4,000) 1,567 Common Stock Issued - - - Net loss for period Ended June 30, 2009 - - ______________ ______________ ______________ _______________ _______________ Balance, Mar. 31, 2009 5,567,324 $ 5,567 $ - $(4,000) $ 1,567 ============== ============== ============== ============== ============== See Notes to Financial Statements 6 INFOSPI, INC. (A DEVELOPMENT STAGE COMPANY) STATEMENT OF CASH FLOWS SEPTEMBER 30, 2009 (UNAUDITED) Inception 12/31/2007 Nine Months Ended Year Ended Through 9/30/2009 9/30/2008 12/31/2008 12/31/2007 9/30/2009 _____________ _____________ ____________ ___________ __________ CASH FLOWS FROM OPERATING ACTIVITIES Net Income (Loss) $ - $ (2,750) $ (3,775) $ (225) $ (4,000) _____________ _____________ ____________ ___________ __________ Adjustments to reconcile net income (loss) to net cash (used in) operations - (225) - - - Changes in operating Assets and liabilities Increase (Decrease) in Receivable from Other - (1,000) (1,000) - (1,000) _____________ _____________ ____________ ___________ __________ NET CASH PROVIDED BY (USED IN) OPERATIONS - (3,975) (4,775) (225) (5,000) _____________ _____________ ____________ ___________ __________ CASH FLOWS FROM INVESTING ACTIVITIES NET CASH PROVIDED BY INVESTING ACTIVITIES - - - - - Acquisitions of software - - - (567) (567) _____________ _____________ ____________ ___________ _________ CASH FLOWS FROM FINANCING ACTIVITIES Common stock issuance - 5,000 5,000 567 5,567 _____________ _____________ ____________ ___________ _________ NET CASH PROVIDED BY FINANCING ACTIVITIES - 5,000 5,000 567 5,567 _____________ _____________ ____________ ___________ _________ NET INCREASE (DECREASE) - 1,025 - - - _____________ _____________ ____________ ___________ _________ CASH BEGINNING OF PERIOD - - - - - _____________ _____________ ____________ ___________ _________ CASH END OF PERIOD $ - $ 1,025 $ - $ - $ - ============== ============= ============ =========== ========= Supplemental Disclosures of Cash Flow Information Interest paid $ - $ - $ - $ - _____________ _____________ ____________ ___________ Income taxes paid $ - $ - $ - $ - _____________ _____________ ____________ ___________ See Notes to Financial Statements 7 INFOSPI, INC. (A Development Stage Company) Notes to Financial Statements September 30, 2009 NOTE 1. NATURE AND BACKGROUND OF BUSINESS InfoSpi, Inc. ("the Company" or "the Issuer") was organized under the laws of the State of Nevada on December 31, 2007. The Company was established as part of the implementation of the Chapter 11 plan of reorganization of Arrin Systems, Inc. ("Arrin"). Arrin filed for Chapter 11 Bankruptcy in April 2007 in the U.S. Bankruptcy Court for the Southern District of California. Arrin's plan of reorganization was confirmed by the Court on December 12, 2007 and became effective on December 30, 2007. The plan of reorganization provided for the establishment of the Issuer and the sale to the Issuer of Arrin's proprietary software (used in the employee background screening industry) in exchange for 567,324 shares of InfoSpi's common stock which were distributed to Arrin's general unsecured creditors. The Company has been in the development stage since its formation and has not yet realized any revenues from its planned operations. Management believes the Company lacks the resources to effectively market its services on its own and is therefore engaged in a search for a merger or acquisition partner with the resources to either develop this business or enter another line of business which will bring value to the Issuer's shareholders. NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES a. BASIS OF ACCOUNTING The Company's financial statements are prepared using the accrual method of accounting. The Company has elected a December 31 year-end. b. BASIC EARNINGS PER SHARE In February 1997, the FASB issued SFAS No. 128, "Earnings Per Share", which specifies the computation, presentation and disclosure requirements for earnings (loss) per share for entities with publicly held common stock. SFAS No. 128 supersedes the provisions of APB No. 15, and requires the presentation of basic earnings (loss) per share and diluted earnings (loss) per share. Basic net loss per share amounts are computed by dividing the net loss by the weighted average number of common shares outstanding. Diluted earnings per share are computed by dividing the net loss by the weighted average number of common shares potentially outstanding, assuming that all outstanding warrants, options, etc. were exercised. The Company has warrants outstanding which are exercisable for a total of 5,000,000 common shares. c. ESTIMATES The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. d. CASH and CASH EQUIVALENT For the Balance Sheet and Statements of Cash Flows, all highly liquid investments with maturity of three months or less are considered to be cash equivalents. e. GOODWILL AND OTHER INTANGIBLE ASSETS Goodwill represents the excess of the cost of businesses acquired over the fair value of the identifiable net assets at the date of acquisition. Goodwill and intangible assets acquired in a purchase or business combination and determined to have indefinite useful lives are not amortized, but instead are evaluated for impairment annually and if events or changes in circumstances indicate, the carrying amount may be impaired per Statement of Financial Accounting Standards, No.142 ("SFAS 142"), "Goodwill and Other Intangible Assets". An impairment loss would generally be recognized when the carrying amount of the reporting unit's net assets exceeds the estimated fair value of the reporting unit. The estimated fair value is determined using a discounted cash flow analysis. SFAS 142 also requires that intangible assets with estimable useful lives be amortized over their respective estimated useful lives to their estimated residual values, and reviewed for impairment in accordance with SFAS No. 144, "Accounting for Impairment or Disposal of Long-Lived Assets". f. 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. g. STOCK-BASED COMPENSATION Statement of Financial Accounting Standards No. 123 ("SFAS 123"), "Accounting for Stock-Based Compensation", provides for the use of a fair value based method of accounting for stock-based compensation. However, SFAS 123 allows the measurement of compensation cost for stock options granted to employees using the intrinsic value method of accounting prescribed by Accounting Principles Board Opinion No. 25 ("APB 25"), "Accounting for Stock Issued to Employees", which only requires charges to compensation expense for the excess, if any, of the fair value of the underlying stock at the date a stock option is granted (or at an appropriate subsequent measurement date) over the amount the employee must pay to acquire the stock. The Company has elected to account for employee stock 8 options using the intrinsic value method under APB 25. By making that election, the Company is required by SFAS 123 to provide pro forma disclosures of net loss as if a fair value based method of accounting had been applied. h. INCOME TAXES Income taxes are provided for using the liability method of accounting in accordance with SFAS No. 109 "ACCOUNTING FOR INCOME TAXES." A deferred tax asset or liability is recorded for all temporary differences between financial and tax reporting. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax basis. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effect of changes in tax laws and rates on the date of enactment. i. IMPACT OF NEW ACCOUNTING STANDARDS The Company does not expect the adoption of recently issued accounting pronouncements to have a significant impact on the Company's results of operations, financial position, or cash flow. NOTE 3. GOING CONCERN The Company's financial statements are prepared in accordance with generally accepted accounting principles applicable to a going concern. This contemplates the realization of assets and the liquidation of liabilities in the normal course of business. Currently, the Company does not have significant cash or other material assets, nor does it have operations or a source of revenue sufficient to cover its operation costs and allow it to continue as a going concern. The officers and directors have committed to advancing certain operating costs of the company. Management plans to seek a merger or acquisition target with adequate funds to support operations. Management has yet to identify a merger or acquisition target, and there is no guarantee that the Company will be able to identify such a target business in the future. NOTE 4. STOCKHOLDERS' EQUITY - COMMON STOCK The authorized common stock of the Company consists of 75,000,000 shares with $0.001 par value. No other class of stock is authorized. As of June 30, 2009, there were a total of 5,567,324 common shares issued and outstanding. The Company's first and second stock issuances took place pursuant to the Plan of Reorganization confirmed by the Bankruptcy Court: On December 12, 2007, the Court ordered the distribution of shares in InfoSpi, Inc. to all general unsecured creditors of Arrin Systems, Inc. ("Arrin"), with these creditors to receive one share in InfoSpi for each $2.94 of Arrin's debt which they held. These creditors received an aggregate of 567,324 shares in the Company on December 31, 2008. 9 The Court also ordered the distribution of shares and warrants in InfoSpi, Inc. to all administrative creditors of Arrin, with these creditors to receive one share and five warrants in InfoSpi for each $0.10 of Arrin's administrative debt which they held. On January 15, 2008, these creditors received an aggregate of 1,000,000 common shares in the Company and 5,000,000 warrants consisting of 1,000,000 "A Warrants" each convertible into one share of common stock at an exercise price of $1.00; 1,000,000 "B Warrants" each convertible into one share of common stock at an exercise price of $2.00; 1,000,000 "C Warrants" each convertible into one share of common stock at an exercise price of $3.00; 1,000,000 "D Warrants" each convertible into one share of common stock at an exercise price of $4.00; and 1,000,000 "E Warrants" each convertible into one share of common stock at an exercise price of $5.00. On February 4, 2008 the Company issued a total of 4,000,000 shares of common stock to an Officer and Director in exchange for $4,000 in cash to be used as operating capital for the Company. The shares were issued at a price of $0.001 per share which is their par value. As a result of these issuances there were a total 5,567,324 common shares issued and outstanding, and a total of 5,000,000 warrants issued and outstanding, at the end of the Third quarter, September 30, 2009. NOTE 5. INCOME TAXES The Company had no business activity and made no U.S. federal income tax provision for the period ended September 30, 2009. NOTE 6. RELATED PARTY TRANSACTIONS The Company neither owns nor leases any real or personal property. An officer of the corporation provides office services without charge. Such costs are immaterial to the financial statements and accordingly, have not been reflected therein. The officers and directors for the Company are involved in other business activities and may, in the future, become involved in other business opportunities. If a specific business opportunity becomes available, such persons may face a conflict in selecting between the Company and their other business interest. The Company has not formulated a policy for the resolution of such conflicts. NOTE 7. WARRANTS AND OPTIONS There were 5,000,000 warrants outstanding, each to acquire one share of common stock of the Company, as at September 30, 2009. These warrants are more fully described above in Note 4: Stockholders' Equity. NOTE 8. COMMITMENT AND CONTINGENCY There is no commitment or contingency to disclose during the period ended September 30, 2009, other than the warrants described above. NOTE 9. SUBSEQUENT EVENTS There are no subsequent events to disclose. 10 FORWARD LOOKING STATEMENTS Statements made in this Form 10-Q that are not historical or current facts are "forward-looking statements" made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933 (the "Act") and Section 21E of the Securities Exchange Act of 1934. These statements often can be identified by the use of terms such as "may," "will," "expect," "believe," "anticipate," "estimate," "approximate" or "continue," or the negative thereof. We intend that such forward-looking statements be subject to the safe harbors for such statements. We wish to caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. Any forward-looking statements represent management's best judgment as to what may occur in the future. However, forward-looking statements are subject to risks, uncertainties and important factors beyond our control that could cause actual results and events to differ materially from historical results of operations and events and those presently anticipated or projected. We disclaim any obligation subsequently to revise any forward-looking statements to reflect events or circumstances after the date of such statement or to reflect the occurrence of anticipated or unanticipated events. ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS GENERAL InfoSpi Inc. was organized under the laws of the State of Nevada on December 31, 2007. We were established as part of the implementation of the Chapter 11 plan of reorganization of Arrin Systems, Inc. ("Arrin"). Arrin filed for Chapter 11 Bankruptcy in April 2007 in the U.S. Bankruptcy Court for the Southern District of California. Arrin's plan of reorganization was confirmed by the Court on December 12, 2007 and became effective on December 30, 2007. The plan of reorganization provided for our establishment and the sale to us of Arrin's proprietary software (used in the employee background screening industry) in exchange for 567,324 shares of our common stock, which were distributed to Arrin's general unsecured creditors. We have been in the development stage since its formation and has not yet realized any revenues from its planned operations. Please note that throughout this Quarterly Report, and unless otherwise noted, the words "we," "our," "us," the "Company," or "InfoSpi," refers to InfoSpi Inc. AGREEMENT FOR THE PURCHASE OF COMMON STOCK AND WARRANTS Effective September 16, 2009, Daniel C. Masters, Attorney at Law, representing certain selling shareholders and warrant holders (collectively, the "Sellers") and Westmount Securities Corp., a corporation organized under the laws of the Province of Quebec, representing certain purchasers (collectively, the "Purchasers") entered into that certain agreement for the purchase of common stock and warrants (the "Purchase Agreement"). In accordance with the terms and provisions of the Purchase Agreement, the Sellers sold 4,990,000 shares of our common stock (the "Common Stock") and 5,000,000 warrants to purchase shares of our Common Stock (the "Warrants") in exchange for $275,000. In further accordance with the terms and provisions of the Purchase Agreement, the initial $10,000 was deposited on or before September 22, 2009 and the remaining final 11 payment of $265,000 was to be paid by September 30, 2009. All funds were paid accordingly. See "Part II. Item 2. Unregistered Sales of Equity Securities and Use of Proceeds." The screening software and a receivable of $1,000 are our assets. Additional web site development and sales and marketing of the software for the background screening industry can be a costly process. Management has concluded that we may not have the resources to compete in this market unless we raise substantial financing. OUR BUSINESS Based upon our change in control, our business operations currently involve the implementation of proprietary processes through strategic alliances. Our purpose is to commercialize proven technologies which have been developed to address such areas as sewer and sludge conversion and used tires and plastic recovery. The objective is to minimize and reverse the impact of these products on the environment. We do not engage in research and development but seeks innovations that can clearly demonstrate the viability of large scale implementations with sustainable benefits to the environment. We have an office in Fort Lauderdale with five employees and additional offices in the United Kingdom and Valencia. We are currently setting up a fabrication center in Israel to take advantage of important technology. The key areas of business will be: o Waste management and treatment o Recycling o Alternate fuels We plan to implement two revolutionary technologies in the United States that will eliminate some of the most challenging contamination problems. USED TIRES AND PLASTIC RECYCLING Our revolutionary equipment enables the recovery of up to 95% of raw materials from tires and plastics through pyrolysis technology with no environmental contamination. Pyrolysis is the chemical decomposition of organic materials by heat in the absence of oxygen. This process allows for the treatment of plastic and used tires to be converted to liquid fuel oil and carbon. The system has the following advantages over the procedure that is currently utilized: (i) elimination of contaminated waste being transported to landfills; (ii) neither pollutant outputs nor wasted materials require final disposal; (iii) the pyrolysis technology uses low temperatures; (iv) the exhaust can be completely recycled to the heating system; and (v) reduced environmental hazards by burning tires. SEWAGE AND SLUDGE TREATMENT The technology that we intend to bring to the North American market allows sludge and sewer conversion into biocrude. Under an exclusive agreement with IBS of Spain, we shall manufacture and install a series of sewage re-treatment 12 plants in North America. This technology permits the process to plug into existing sewage treatment plants prior to the initial stage of the current sewage treatment process at the point where the normal procedure would be to transport the residual sludge to local landfill sites. This process allows for the treatment of the whole biomass obtained at the sewage treatment plants. Management believes that the results of such a process is a biofuel of a high energy content. The system has the following advantages over anaerobic digestion treatment, the only alternative currently used: (i) elimination of costly anaerobic digesters; (ii) neither pollutant outputs nor wasted materials require final disposal; (iii) reduced production costs; (iv) the water treatment component can recuperate up to 80% of the volume of sludge input as potable water; (v) there is no waste sent to landfills and no waste water; (vi) all inputs are converted into biopetroleum, which, once burned, does not add to the net Co2 tin the environment; and (vii) methane gas release, which is a direct consequence of anaerobic digesters, is avoided. Methane gas is a greenhouse pollutant 14 times more potent than carbon dioxide. ALTERNATE FUELS Alternate energy crops for biofuel production is also one of our key objectives. We are developing a strategy with regard to both micro algae feed stock and jatropha/castor feedstock. RESULTS OF OPERATION We have not realized revenues and have incurred recurring losses to date. Our financial statements have been prepared assuming that we will continue as a going concern and, accordingly, do not include adjustments relating to the recoverability and realization of assets and classification of liabilities that might be necessary should we be unable to continue in operation. We expect we will require additional capital to meet our long term operating requirements. We expect to raise additional capital through, among other things, the sale of equity or debt securities. The summarized financial data set forth in the table below is derived from and should be read in conjunction with our unaudited financial statements for the nine month periods ended September 30, 2009 and September 30, 2008, including the notes to those financial statements which are included in this Quarterly Report. The following discussion contains forward-looking statements that reflect our plans, estimates and beliefs. Our actual results could differ materially from those discussed in the forward looking statements. Our audited financial statements are stated in United States Dollars and are prepared in accordance with United States Generally Accepted Accounting Principles. 13 The following table sets forth selected financial information for the periods indicated. RESULTS OF OPERATION NINE MONTH PERIOD ENDED SEPTEMBER 30, 2009 __________________________________________ AND SEPTEMBER 30, 2008 REVENUES Total Revenue $-0- $-0- EXPENSES Professional expenses -0- 2,750 General and Administrative -0- -0- OPERATING INCOME (LOSS) -0- (2,750) __________________________________________ NET INCOME (LOSS) -0- (2,750) We have incurred recurring losses to date. Our financial statements have been prepared assuming that we will continue as a going concern and, accordingly, do not include adjustments relating to the recoverability and realization of assets and classification of liabilities that might be necessary should we be unable to continue in operation. We expect we will require additional capital to meet our long term operating requirements. We expect to raise additional capital through, among other things, the sale of equity or debt securities. NINE MONTH PERIOD ENDED SEPTEMBER 30, 2009 COMPARED TO NINE MONTH PERIOD ENDED SEPTEMBER 30, 2008. Our net operating loss for the nine month period ended September 30, 2009 was ($-0-) compared to a net loss of ($2,750) during the nine month period ended September 30, 2008 (a decrease in net loss of $2,750). During the nine month period ended September 30, 2009, we incurred operating expenses of $-0- compared to $2,750 incurred during the nine month ended September 30, 2008 (a decrease of $2,750). These operating expenses incurred during the nine month period ended September 30, 2008 consisted of professional expenses of $2,750.00. We did not have any business operations during the nine month period ended September 30, 2009 as a result of the bankruptcy. Our net income (loss) during the nine month period ended September 30, 2009 was ($-0-) compared to a net loss of ($2,750) during the nine month period ended September 30, 2008. . The weighted average number of shares outstanding was 10,567,324 for the nine month period ended September 30, 2009 compared to 9,999,558 for the nine month period ended September 30, 2008. LIQUIDITY AND CAPITAL RESOURCES 14 NINE MONTH PERIOD ENDED SEPTEMBER 30, 2009 As at the nine month period ended September 30, 2009, our current assets were $1,567 and our current liabilities were $-0-, which resulted in a working capital surplus of $1,567. As at the nine month period ended September 30, 2009, total assets were comprised of: (i) $1,000 in receivable from others; and (ii) $567 in software. Stockholders' equity (deficit) was $1,567 at both the nine month period ended September 30, 2009 and fiscal year ended December 31, 2008. CASH FLOWS FROM OPERATING ACTIVITIES We have not generated positive cash flows from operating activities during the period. For the nine month period ended September 30, 2009, net cash flows used in operating activities was ($-0-). For the nine month period ended September 30, 2008, net cash flows used in operating activities was ($3,975) consisting primarily of a net loss of ($2,750). Net cash flows used in operating activities was adjusted by ($225) in loss to net cash used in operations. Net cash flows used in operating activities was further changed by a decrease of $1,000 in receivable from other. CASH FLOWS FROM INVESTING ACTIVITIES For the nine month periods ended September 30, 2009 and September 30, 2008, net cash flows used in investing activities was ($-0-). CASH FLOWS FROM FINANCING ACTIVITIES We have financed our operations primarily from the generation of revenues and from either advancements or the issuance of equity and debt instruments. For the nine month period ended September 30, 2009, net cash flows provided from financing activities was $-0- compared to $5,000 for the nine month period ended September 30, 2008. Cash flows from financing activities for the nine month period ended September 30, 2008 consisted of $5,000 in proceeds from common stock issuance. We expect that working capital requirements will continue to be funded through a combination of our existing funds, revenues, cash flow, debt financing and further issuances of securities. Our working capital requirements are expected to increase in line with the growth of our business. PLAN OF OPERATION AND FUNDING Management intends to finance our 2009 operations primarily with any potential revenue and any cash short falls will be addressed through equity or debt financing, if available. Thereafter, we expect we will need to raise additional capital and generate revenues to meet long-term operating requirements. Additional issuances of equity or convertible debt securities will result in dilution to our current shareholders. Further, such securities might have rights, preferences or privileges senior to our common stock. Additional financing may not be available upon acceptable terms, or at all. If adequate 15 funds are not available or are not available on acceptable terms, we may not be able to take advantage of prospective new business endeavors or opportunities, which could significantly and materially restrict our business operations. Management expects revenues will commence but not reach the point of profitability in the short term. We will need to continue to raise additional capital, both internally and externally, to cover cash shortfalls and to potentially compete in our markets. These operating costs will include cost of sales, general and administrative expenses, salaries and benefits and professional fees. We have insufficient financing commitments in place to meet our expected cash requirements for 2009 and we cannot assure you that we will be able to obtain financing on favorable terms. If we cannot obtain financing to fund our operations in 2009, then we may be required to reduce our expenses and scale back our operations. MATERIAL COMMITMENTS As of the date of this Quarterly Report, we do not have any material commitments. PURCHASE OF SIGNIFICANT EQUIPMENT We do not intend to purchase any significant equipment during the next twelve months. OFF-BALANCE SHEET ARRANGEMENTS As of the date of this Quarterly Report, we do not have any off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that are material to investors. GOING CONCERN The independent auditors' report accompanying our December 31, 2008 and December 31, 2007 financial statements contains an explanatory paragraph expressing substantial doubt about our ability to continue as a going concern. The financial statements have been prepared "assuming that we will continue as a going concern," which contemplates that we will realize our assets and satisfy our liabilities and commitments in the ordinary course of business. ITEM III. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK. Market risk represents the risk of loss that may impact our financial position, results of operations or cash flows due to adverse change in foreign currency and interest rates. EXCHANGE RATE Our reporting currency is United States Dollars ("USD"). Since we plan to distribute and market our products outside of the United States, the fluctuation of exchange rates may have positive or negative impacts on our results of 16 operations. However, all revenue and expenses will be denominated in U.S. Dollars, and the net income effect of appreciation and devaluation of the currency against the U.S. Dollar will be limited to our costs of goods sold. INTEREST RATE Interest rates in the United States are generally controlled. Any potential future loans will relate mainly to acquisition of properties and will be mainly short-term. However our debt may be likely to rise in connection with expansion and if interest rates were to rise at the same time, this could have a significant impact on our operating and financing activities. We have not entered into derivative contracts to hedge existing risks for speculative purposes. ITEM IV. CONTROLS AND PROCEDURES EVALUATION OF DISCLOSURE CONTROLS AND PROCEDURES We have performed an evaluation under the supervision and with the participation of our management, including our Chief Executive Officer and Chief Financial Officer, of the effectiveness of our disclosure controls and procedures, (as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act). Based on that evaluation, our management, including our Chief Executive Officer and Chief Financial Officer, concluded that our disclosure controls and procedures were effective as of September 30, 2009 to provide reasonable assurance that information required to be disclosed by us in the reports filed or submitted by us under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the SEC's rules and forms. MANAGEMENT'S ANNUAL REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING Our management is responsible for establishing and maintaining adequate internal control over financial reporting (as defined in Rule 13a-15(f) under the Exchange Act). Under the supervision and with the participation of our management, including the chief executive officer and chief financial officer, we evaluated the effectiveness of our internal control over financial reporting as of August 31, 2009. In making this assessment, management used the criteria set forth by the Committee of Sponsoring Organizations of the Treadway Commission ("COSO") in Internal Control-Integrated Framework. This Quarterly Report does not include an attestation report of our registered public accounting firm regarding internal control over financial reporting. Management's report was not subject to attestation by our registered public accounting firm pursuant to temporary rules of the SEC that permit us to provide only management's report in this Quarterly Report on Form 10-Q. INHERENT LIMITATIONS ON EFFECTIVENESS OF CONTROLS We believe that a control system, no matter how well designed and operated, cannot provide absolute assurance that the objectives of the controls system are met, and no evaluation of controls can provide absolute assurance that all control issues and instances of fraud, if any, within a company have been 17 detected. Our disclosure controls and procedures are designed to provide reasonable assurance of achieving their objectives, and our Chief Executive Officer and our Chief Financial Officer have concluded that these controls and procedures are effective at the "reasonable assurance" level. CHANGES IN INTERNAL CONTROLS No significant changes were implemented in our internal controls over financial reporting during the period covered by this report that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting. AUDIT COMMITTEE REPORT Our Board of Directors has not established an audit committee. The respective role of an audit committee has been conducted by our Board of Directors. We are contemplating establishment of an audit committee during fiscal year 2009. When established, the audit committee's primary function will be to provide advice with respect to our financial matters and to assist our Board of Directors in fulfilling its oversight responsibilities regarding finance, accounting, and legal compliance. The audit committee's primary duties and responsibilities will be to: (i) serve as an independent and objective party to monitor our financial reporting process and internal control system; (ii) review and appraise the audit efforts of our independent accountants; (iii) evaluate our quarterly financial performance as well as its compliance with laws and regulations; (iv) oversee management's establishment and enforcement of financial policies and business practices; and (v) provide an open avenue of communication among the independent accountants, management and our Board of Directors. PART II. OTHER INFORMATION ITEM 1. LEGAL PROCEEDINGS Management is not aware of any legal proceedings contemplated by any governmental authority or any other party involving us or our properties. As of the date of this Quarterly Report, no director, officer or affiliate is (i) a party adverse to us in any legal proceeding, or (ii) has an adverse interest to us in any legal proceedings. Management is not aware of any other legal proceedings pending or that have been threatened against us or our properties ITEM 1A. RISK FACTORS No report required. ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS In accordance with the terms and provisions of the Purchase Agreement, the Sellers sold 4,990,000 shares of Common Stock and 5,000,000 Warrants to purchase shares of our Common Stock in exchange for $275,000. The Warrants were created by Order of the U.S. Bankruptcy Court for the Southern District of California as 18 part of the Chapter 11 Plan of Reorganization of the Company's former parent, Arrin Systems, Inc. Certain Sellers are the holders of Warrants Class A-1 through A-5, Class B-1 through B-5, Class C-1 through C-5, Class D-1 through D-5 and Class E-1 through E-5 (collectively, the "Warrant Holders"), with each Warrant reflecting an aggregate of 250,000 Warrants convertible into shares of our common stock at either $1.00 per share or at any conversion price as may be determined by the vote of our Board of Directors. The Warrant Holders assigned their respective class of Warrants to certain individuals (collectively, the "Assignees") in accordance with those certain assignment of warrant agreements dated November 11, 2009 (collectively, the "Assignments"). Effective November 13, 2009, our Board of Directors pursuant to unanimous written consent acknowledged the Warrants and the respective assignments pursuant to the Assignments, established the conversion price of the Warrants at $0.175 per share, and authorized the issuance of an aggregate 28,571,429 shares of our common stock in accordance with receipt of those certain notices of conversion dated November 13, 2009 from the respective Assignees (collectively, the "Notices of Conversion"). The 28,571,429 shares of common stock were issued to approximately thirteen non-United States investors in reliance on Regulation S promulgated under the United States Securities Act of 1933, as amended (the "Securities Act"). The shares of common stock have not been registered under the Securities Act or under any state securities laws and may not be offered or sold without registration with the United States Securities and Exchange Commission or an applicable exemption from the registration requirements. The Assignees acknowledged that the securities to be issued have not been registered under the Securities Act, that they understood the economic risk of an investment in the securities, and that they had the opportunity to ask questions of and receive answers from the Company's management concerning any and all matters related to acquisition of the securities. Therefore, as of the date of this Quarterly Report, there are approximately 61,838,753 shares of common stock issued and outstanding. ITEM 3. DEFAULTS UPON SENIOR SECURITIES No report required. ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS No report required. ITEM 5. OTHER INFORMATION DEPARTURE OF DIRECTORS OR PRINCIPAL OFFICERS; ELECTION OF DIRECTORS; APPOINTMENT OF PRINCIPAL OFFICERS. Following the Purchase Agreement: (i) Harold Hartley resigned as our President/Chief Executive Officer and a director effective as of September 23, 2009; (ii) William R. Willard resigned as our Chief Financial Officer/Treasurer, Secretary and as a director effective as of September 23, 2009; (iii) Haim Mayan 19 consented to act as our President/Chief Operations Officer and a director effective as of October 28, 2009; (iv) Chris Hamilton consented to act as our Vice President/Chief Executive Officer and a director effective as of October 28, 2009; (v) Olivier Danan consented to act as our Vice President/Chief Operating Officer and a director effective as of October 28, 2009; and (vi) Michel Brunet consented to act as our Secretary and a director effective as of October 28, 2009. The biographies of each of the new directors and officers are set forth below as follows: NAME AGE POSITION WITH THE COMPANY ______________ ___ ______________________________________________________ Haim Mayan 43 President and /Chief Operations Officer and a Director Chris Hamilton 51 Vice President/Chief Executive Officer and a Director Olivier Danan 35 Vice President/Chief Operating Officer and a Director Michel Brunet 66 Secretary and a Director. Directors hold office until the annual meeting of our stockholders and the election and qualification of their successors. Officers hold office, subject to removal at any time by the Board, until the meeting of directors immediately following the annual meeting of stockholders and until their successors are appointed and qualified. HAIM MAYAN. Since 1990, Mr. Mayan has been engaged in executive roles with private and/or public companies. Prior to joining us, Mr. Mayan served as president of Mayan group LLC in Miami, Florida. Mayan Group LLC owned and operated a large condo community and home rentals. From 1991 to present, Mr. Mayan owned and managed a construction company and several real-estate development and commercial properties including, Oxembergeve LTD, Gvahim LTD in Tel Aviv, and Mayan Group LLC, which had several other successful development. Since 2005, Haim has made exhaustive research into the conversion of existing products into oil especially into the tire to oil market and the conversion of algae into oil for bio-diesel. CHRIS HAMILTON. Mr. Hamilton has had a varied career involving a variety of positions and industries. Mr. Hamilton served three years with Her Majesty's forces (Parachute Regiment). He subsequently held senior positions in several companies. During the past eighteen years, Mr. Hamilton has held the position of Managing Director in two PLC business's. Effective communicating skills together with a broad business sense enabled Mr. Hamilton to match and bring together key partners with complementary skills. In January 2002, Mr. Hamilton entered the property development under his own banner, `Allied Developments'. He started out consulting with the Barchetta Group who at the time operated out of Naples Florida and then joined International Housing Developments Group Inc (IHDG) based in Ft. Lauderdale. He also created one of the UK's most substantial residential developments, Bay Pointe Limited, where he still acts as Managing Director. Prior to joining us, Mr. Hamilton researched extensively the business of biofuel production and has enthusiastic insight to renewable energy brought about due to the strict guidelines in development within Europe. Since joining us, Mr. Hamilton has focused on further research into this field in order to best understand how to position us going forward on a global basis. 20 OLIVIER DANAN. As our Vice-President and Chief Operating Officer, Mr. Danan is responsible for new development, manufacturing and research. Prior to joining us, Mr. Danan served as lead architect and designer for the Danan Group, where he coordinated the building of several projects from 2003 to 2007. From approximately 1998 to 2003, Mr. Danan worked as an architect for several companies including Sehres & Danan Inc., and Rivers & Christian in Los Angeles, California. MICHEL A. BRUNET. Mr. Brunet is a fully bilingual administrator with a facility to organize teams and for interpersonal relationships. For the past ten years, Mr. Brunet was an associate founder of the firm Montaigne Group, which administered properties belonging to the city of Montreal, Quebec. Within Montaigne Group, he worked on creating an aviation maintenance facility in Plattsburg, New York. He was also a consultant with HyperSecure in establishing a relationship within the various governmental levels. Mr. Brunet earned a degree is administrative specializing in finance and marketing in 1969 and a Master of Business Administration in finance at the University of Laval in 1970. .. ITEM 6. EXHIBITS Exhibits: 31.1 Certification of the registrant's Principal Executive Officer under the Exchange Act Rules, 12a-14(a) or 15d-14(a), as adopted pursuant to Section 302 of the Sarbanes-Oxley Act 2002. 31.2 Certification of the registrant's Principal Financial Officer under the Exchange Act Rules, 12a-14(a) or 15d-14(a), as adopted pursuant to Section 302 of the Sarbanes-Oxley Act 2002. 32.1 Certifications of the registrant's Principal Executive Officer and Principal Financial Officer under 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. 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. INFOSPI INC. Dated: November 23, 2009 By: /s/ HAIM MAYAN ______________________________________________ Haim Mayan, President Dated: November 23, 2009 By: /s/ HAIM MAYAN ______________________________________________ Haim Mayan, interim Chief Financial Officer 21