Baltic Intl USA Inc (BISA)

[SSP]

Conversion of preferred expired, that's why they don't appear past the beginning of the year of 2003:

1) The Issuer's Convertible Redeemable Series A Preferred Stock has a par
value of $10.00 per share and are currently convertible into the Issuer's
common shares at a conversion price of $0.91 per share.

BALTIC INTERNATIONAL USA, INC. 
                     Consolidated Statements of Operations 
                                 (unaudited) 
  
  
  
                                   Three Months Ended June 30,      Six Months Ended June 30, 
                                      2004             2003             2004           2003 
                                                                        
 REVENUES                           $     -          $     -          $     -       $       - 
                                    -------          -------          -------       --------- 
  
 OPERATING EXPENSES: 
  General and administrative          3,448            4,905            7,730          22,212 
                                    -------          -------          -------       --------- 
  
 INCOME (LOSS) FROM OPERATIONS       (3,448)          (4,905)          (7,730)        (22,212) 
                                    -------          -------          -------       --------- 
 OTHER INCOME (EXPENSE): 
  Interest expense                     (630)            (506)          (1,251)        (10,971) 
                                    -------          -------          -------       --------- 
  Total other income (expense)         (630)            (506)          (1,251)        (10,971) 
                                    -------          -------          -------       --------- 
 INCOME (LOSS) BEFORE INCOME TAXES  
  AND DISCONTINUED OPERATIONS        (4,078)          (5,411)          (8,981)        (33,183) 
  
 INCOME TAX EXPENSE                       -                -                -               - 
                                    -------          -------          -------       --------- 
 INCOME (LOSS) FROM  
  CONTINUING OPERATIONS              (4,078)          (5,411)          (8,981)        (33,183) 
  
 DISCONTINUED OPERATIONS                  -                -                -         380,430 
                                    -------          -------          -------       --------- 
  
 NET INCOME (LOSS)                $  (4,078)       $  (5,411)      $   (8,981)     $  347,247 
                                    =======          =======          =======       ========= 
  
  
 PER SHARE AMOUNTS 
 Basic 
 Continuing operations              $ (0.00)         $ (0.00)         $ (0.01)        $ (0.01) 
 Discontinued operations            $    -           $    -           $    -          $  0.04 
 Total                              $ (0.00)         $ (0.00)         $ (0.01)        $  0.03 
  
 Diluted 
 Continuing operations              $ (0.00)         $ (0.00)         $ (0.01)        $ (0.01) 
 Discontinued operations            $    -           $    -           $    -          $  0.02 
 Total                              $ (0.00)         $ (0.00)         $ (0.01)        $  0.01 
  
 WEIGHTED AVERAGE OUTSTANDING  
  COMMON SHARES: 
   Basic                         10,975,760       10,975,760       10,975,760      10,544,821 
   Diluted                       10,975,760       10,975,760       10,975,760      25,123,672