NEVADA
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88-0390828
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(State
or other jurisdiction of
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I.R.S.
Employer
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incorporation
or organization)
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Identification
No.
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GENMED
HOLDING CORP. AND SUBSIDIARIES
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CONSOLIDATED
BALANCE SHEETS
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June
30,
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December
31,
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|||||||
2009
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2008
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|||||||
(Unaudited)
|
||||||||
ASSETS
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||||||||
CURRENT
ASSETS
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||||||||
Cash
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$ | 2,480 | $ | 1,764 | ||||
Accounts
receivable
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28,097 | - | ||||||
VAT
receivable
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2,546 | 8,777 | ||||||
Total
Current Assets
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33,123 | 10,541 | ||||||
EQUIPMENT,
net accumulated depreciation of $3,896 and $2,206
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14,157 | 16,002 | ||||||
MEDICAL
REGISTRATION RIGHTS, net accumulated amortization
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||||||||
of
$1,460,000 and $736,000
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13,140,000 | 13,864,000 | ||||||
Total
Assets
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$ | 13,187,280 | $ | 13,890,543 | ||||
LIABILITIES
AND STOCKHOLDERS' EQUITY
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||||||||
CURRENT
LIABILITIES
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||||||||
Accounts
payable
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$ | 190,733 | $ | 169,096 | ||||
Accrued
salaries and related expenses
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353,387 | 331,420 | ||||||
Accrued
expenses
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327,277 | 516,074 | ||||||
Convertible
debentures
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925,000 | - | ||||||
Discount
on convertible debentures
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(462,500 | ) | - | |||||
Loans
payable to related parties
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237,874 | 848,416 | ||||||
Total
Current Liabilities
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1,571,771 | 1,865,006 | ||||||
STOCKHOLDERS'
EQUITY
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||||||||
Class
A Convertible Preferred Stock, par value $0.001;
authorized
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||||||||
500,000,000
shares; issued and outstanding- 0 and 2,179,533
at
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||||||||
June
30, 2009 and December 31, 2008, respectively.
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- | - | ||||||
Common
stock, par value $0.001; authorized 500,000,000 shares;
issued
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||||||||
and
outstanding- 123,211,739 and 125,611,739 shares at
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||||||||
June
30, 2009 and December 31, 2008, respectively
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123,212 | 125,612 | ||||||
Additional
paid-in capital
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66,129,966 | 65,563,066 | ||||||
Accumulated
deficit
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(54,628,745 | ) | (53,671,911 | ) | ||||
Accumulated
other comprehensive income (loss)
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(8,924 | ) | 8,770 | |||||
Total
Stockholders' Equity
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11,615,509 | 12,025,537 | ||||||
Total
Liabilities and Stockholders' Equity
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$ | 13,187,280 | $ | 13,890,543 |
See
accompanying notes to consolidated financial
statements
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GENMED
HOLDING CORP. AND SUBSIDIARIES
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CONSOLIDATED
STATEMENT OF OPERATIONS
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(UNAUDITED)
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For
the Three Months Ended
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For
the Six Months Ended
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|||||||||||||||
June
30,
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June
30,
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|||||||||||||||
2009
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2008
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2009
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2008
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|||||||||||||
NET
SALES
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$ | 49,775 | $ | - | $ | 49,775 | $ | - | ||||||||
COST
AND EXPENSES:
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||||||||||||||||
Selling,
general and administrative
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165,458 | 353,455 | 479,816 | 423,321 | ||||||||||||
Depreciation
and amortization
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364,873 | - | 725,702 | - | ||||||||||||
Impairment
of goodwill
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- | 9,863,647 | - | 9,863,647 | ||||||||||||
Research
& development
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7,826 | 24,607 | 40,687 | 24,607 | ||||||||||||
Total
Costs and Expenses
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538,157 | 10,241,709 | 1,246,205 | 10,311,575 | ||||||||||||
NET
OPERATING LOSS
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(488,382 | ) | (10,241,709 | ) | (1,196,430 | ) | (10,311,575 | ) | ||||||||
OTHER
INCOME (EXPENSE)
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||||||||||||||||
Gain
on cancellation of consulting agreement
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285,000 | - | 285,000 | - | ||||||||||||
Loss
on foreign exchange
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(5,806 | ) | - | (12,227 | ) | - | ||||||||||
Interest
expense
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(16,495 | ) | (12,003 | ) | (33,177 | ) | (23,644 | ) | ||||||||
Total
Other Income (Expense)
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262,699 | (12,003 | ) | 239,596 | (23,644 | ) | ||||||||||
NET
LOSS
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$ | (225,683 | ) | $ | (10,253,712 | ) | $ | (956,834 | ) | $ | (10,335,219 | ) | ||||
NET
LOSS PER COMMON SHARE
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||||||||||||||||
(BASIC
AND DILUTED)
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$ | - | $ | (0.20 | ) | $ | (0.01 | ) | $ | (0.20 | ) | |||||
WEIGHTED
AVERAGE COMMON
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||||||||||||||||
SHARES
OUTSTANDING
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123,478,406 | 51,198,552 | 124,545,072 | 51,198,552 |
See
accompanying notes to consolidated financial
statements
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GENMED
HOLDING CORP. AND SUBSIDIARIES
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CONSOLIDATED
STATEMENT OF CASH FLOWS
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(UNAUDITED)
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For
the six months ended
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||||||||
June
30,
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||||||||
2009
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2008
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|||||||
CASH
FLOWS FROM OPERATING ACTIVITIES
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||||||||
Net
loss
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$ | (956,834 | ) | $ | (10,335,219 | ) | ||
Adjustments
to reconcile net loss to cash flows used in operating
activities:
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||||||||
Depreciation
and amortization
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725,702 | - | ||||||
Impairment
of goodwill
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- | 9,863,647 | ||||||
Stock
Based Compensation
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102,000 | 102,000 | ||||||
Changes
in operating assets and liabilities:
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||||||||
Accounts
receivable
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(28,097 | ) | - | |||||
VAT
receivable
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6,231 | 15,334 | ||||||
Accounts
payable
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21,637 | 46,325 | ||||||
Accrued
salaries and related expenses
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21,967 | 208,643 | ||||||
Accrued
expenses
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(188,797 | ) | 67,385 | |||||
Net
Cash Used in Operating Activities
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(296,191 | ) | (31,885 | ) | ||||
CASH
FLOWS FROM INVESTING ACTIVITIES
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||||||||
Purchase
of equipemt
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- | (18,407 | ) | |||||
Net
Cash Used in Investing Activities
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- | (18,407 | ) | |||||
CASH
FLOWS FROM FINANCING ACTIVITIES
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||||||||
Cash
acquired in acquisition
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- | 4,993 | ||||||
Advances
from notes payable to related parties
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314,458 | 48,670 | ||||||
Net
Cash Provided by Investing Activities
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314,458 | 53,663 | ||||||
EFFECT
OF EXCHANGE RATE
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(17,551 | ) | (1,481 | ) | ||||
INCREASE
(DECREASE) IN CASH
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716 | 1,890 | ||||||
CASH,
BEGINNING OF PERIOD
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1,764 | 976 | ||||||
CASH,
END OF PERIOD
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$ | 2,480 | $ | 2,866 | ||||
SUPPLEMENTAL
DISCLOSURES OF CASH FLOW INFORMATION
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||||||||
Non
cash activities:
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||||||||
Conversion
of related party debt to preferred stock
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- | 600,000 | ||||||
Conversion
of related party debt to convertible debenture
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925,000 | - | ||||||
Beneficial
conversion feature on convertible debenture
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462,500 | |||||||
Cancellation
of common stock
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2,400 |
See
accompanying notes to consolidated financial
statements
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Shareholder
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Common Stock
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Total
Look B.V.
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62,678,826
shares
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Dojo
Enterprises, Ltd.
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1,120,107
shares
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Hyperion
Fund, L.P.
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1,760,428
shares
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Diane
Breitman, as Trustee of The Morpheus 2005 Trust
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2,720,000
shares
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Burton
Partners, LLC
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2,240,213
shares
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Picasso,
LLC
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2,240,213
shares
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Glacier,
LLC
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2,240,213
shares
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TOTAL
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75,000,000
shares
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Cash
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$
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4,993
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||
Receivables
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17,513
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|||
Fair
Value of Medical Registration Rights
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14,600,000
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|||
Liabilities
Assumed
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(6,153
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)
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||
14,616,353
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||||
Fair
value of 48,000,000 shares @ $0.51 per share and
24,000,000
warrants valued at 9,881,923
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34,361,923
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|||
Impairment
of Goodwill
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$
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19,745,570
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2009
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$
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1,460,000
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||
2010
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1,460,000
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|||
2011
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1,460,000
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|||
2012
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1,460,000
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|||
2013
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1,460,000
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Shareholder
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Common Stock
|
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Total
Look B.V.
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62,678,826
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shares
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Dojo
Enterprises, Ltd.
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1,120,107
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shares
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Hyperion
Fund, L.P.
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1,760,428
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shares
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Diane
Breitman, as Trustee of The Morpheus 2005 Trust
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2,720,000
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shares
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Burton
Partners, LLC
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2,240,213
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shares
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Picasso,
LLC
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2,240,213
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shares
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Glacier,
LLC
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2,240,213
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shares
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TOTAL
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75,000,000
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shares
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Exhibit 10.1
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Stock
Exchange Agreement between the Company and Joost de Metz (“de Metz”),
Willem Blijleven (“Blijleven”), Erwin R. Bouwens (“Bouwens”) and Medical
Network Holding BV dated April 17, 2008, incorporated herein by reference
to Exhibit 9.2 to the Form 8-K current report of the Company
filed on May 2, 2008.
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Exhibit 10.2
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General
Release and Settlement Agreement, incorporated herein by reference to
Exhibit 9.1 to the Form 8-K current report of the Company filed on May 2,
2008.
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Exhibit 10.3
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Consulting
Agreement between the Company and London Finance Group,
Ltd., incorporated
herein by reference to Exhibit 9.1 to the Form 8-K current report of the
Company filed on May 2, 2008.
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Exhibit 10.4
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Release
and Settlement Agreement between the Company, Joost de Metz, Willem
Blijleven, E.R. Bouwens Beheermaatschappij B.V., Medical
Network Holding BV, Total Look, BV, London Finance Group,
Ltd., Dojo Enterprises, LLC, Hyperion Fund,
L.P., The Palisades Capital, LLC 401(k) Profit Sharing Trust,
The Morpheus 2005 Trust dated December 1, 2005, Burton Partners, LLC,
Picasso, LLC and Glacier, LLC, incorporated herein by reference
to Exhibit 10.2 to the Form 10-K annual report of the Company filed on May
15, 2009.
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Exhibit
10.5
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Premium
Secured Convertible Note Agreement between the Company, G.M.W. Hibma, and
Total Look B.V. dated June 30,
2009.
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Exhibit 31.1
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Certification
of the Chief Executive Officer pursuant to Section 302 of the
Sarbanes-Oxley Act of 2002.
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Exhibit 31.2
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Certification
of the Chief Financial Officer pursuant to Section 302 of the
Sarbanes-Oxley Act of 2002.
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Exhibit 32
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Certification
of the Chief Executive Officer pursuant to U.S.C. Section 1350 as adopted
pursuant to Section 906 of the Sarbanes-Oxley Act of
2002.
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Dated: August
19, 2009
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Genmed
Holding Corp.
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By: /s/ Randy
Hibma
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Randy
Hibma, Chief Financial Officer, Vice President, and
Secretary
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