ParaFin Corporation (PFNO)

[jcald]

10k piece: Consultin­g and Management Fees $5,194,000 $ 741,200 $4,452,800

Stock Option Expense 4,050,000 450,000 3,600,000

$9,244,000 $1,191,200 $8,052,800

The increase is explained by the increase of the common stock issued for Consulting Fees and employee stock options from the issue price to the market price at the time of issue.

2006 - 200,000 shares (1)

2005 - 28,500,000 shares

(1) adjusted for a 1 for 10 reverse stock split