U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 10-Q

(Mark One)
[X]	QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 2016

OR

[ ]	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from N/A to .

Commission file number: 033-27508-LA

Insulcrete, Inc. (Exact Name of the Registrant as specified in its Charter)

Delaware (State or Other Jurisdiction of Incorporation or Organization)			33-0338441 (I.R.S. Employer Identification No.)

706 Orchid Drive, Unit D, Bakersfield, California 93308 (Address of principal executive office)

(661) 392-7982 Issuer's telephone number, including area code

(Former Name, Former Address, and Former Fiscal Year, If Changed Since Last Report)

Check whether the issuer (1) 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 [ ] No [X]

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 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).
Yes [X] No [ ]

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 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 [ ] No [X]

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of "large accelerated filer," "accelerated filer" and "smaller reporting company" in Rule 12b-2 of the Exchange Act.
Large accelerated filer		[ ]		Accelerated filer	[ ]
Non-accelerated filer (Do not check if a smaller reporting company)		[ ]		Smaller reporting company	[X]

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes [ ] No [X]

APPLICABLE ONLY TO CORPORATE ISSUERS:
Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the latest practicable date.
On March 31, 2016, 54,000 shares of the issuer's common stock were outstanding.

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Insulcrete, Inc.
TABLE OF CONTENTS


			Page Number


PART I -	FINANCIAL INFORMATION
	Item 1.	Financial Statements
		Condensed Balance Sheets March 31, 2016 and December 31, 2015 (unaudited)	F-1
		Condensed Statements of Operations Three Months Ended March 31, 2016 and Three Months Ended March 31, 2015 (unaudited)	F-2
		Condensed Statements of Cash Flows Three Months Ended March 31, 2016 and March 31, 2015 (unaudited)	F-3
		Notes to Condensed Financial Statements (unaudited)	F-4
	Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	10
	Item 3.	Quantitative and Qualitative Disclosures About Market Risk	13
	Item 4.	Controls and Procedures	14

PART II -	OTHER INFORMATION
	Item 1.	Legal Proceedings	15
	Item 1A.	Risk Factors	15
	Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	16
	Item 3.	Defaults Upon Senior Securities	16
	Item 4.	[Not Applicable]	16
	Item 5.	Other Information	16
	Item 6.	Exhibits and Reports on Form 8-K	16

PART I - Financial Information

Available Information

Information about our Company is available from the Company at the address shown on the first page of this Report. We are obligated to file reports with the Securities and Exchange Commission, or SEC. These reports include annual reports on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K and amendments to such reports, each of which is provided on our website after we electronically file such materials with or furnish them to the SEC. You can also read and copy any materials we file with the SEC at the SEC's Public Reference Room at 100 F Street, NE, Washington, DC 20549. You can obtain additional information about the operation of the Public Reference Room by calling the SEC at 1.800.SEC.0330. In addition, the SEC maintains a website (www.sec.gov) that contains reports, proxy and information statements, and other information regarding issuers that file electronically with the SEC, including us.

MATTER OF FORWARD-LOOKING STATEMENTS

THIS FORM 10-Q CONTAINS "FORWARD-LOOKING STATEMENTS" THAT CAN BE IDENTIFIED BY THE USE OF FORWARD-LOOKING WORDS SUCH AS "BELIEVES," "EXPECTS," "MAY," "WILL," "SHOULD," OR "ANTICIPATES," OR THE NEGATIVE OF THESE WORDS OR OTHER VARIATIONS OF THESE WORDS OR COMPARABLE WORDS, OR BY DISCUSSIONS OF PLANS OR STRATEGY THAT INVOLVE RISKS AND UNCERTAINTIES. MANAGEMENT WISHES TO CAUTION THE READER THAT THESE FORWARD-LOOKING STATEMENTS, INCLUDING, BUT NOT LIMITED TO, STATEMENTS REGARDING THE COMPANY'S MARKETING PLANS, GOALS, COMPETITIVE AND TECHNOLOGY TRENDS AND OTHER MATTERS THAT ARE NOT HISTORICAL FACTS ARE ONLY PREDICTIONS. NO ASSURANCES CAN BE GIVEN THAT SUCH PREDICTIONS WILL PROVE CORRECT OR THAT THE ANTICIPATED FUTURE RESULTS WILL BE ACHIEVED. ACTUAL EVENTS OR RESULTS MAY DIFFER MATERIALLY EITHER BECAUSE ONE OR MORE PREDICTIONS PROVE TO BE ERRONEOUS OR AS A RESULT OF OTHER RISKS FACING THE COMPANY. FORWARD-LOOKING STATEMENTS SHOULD BE READ IN LIGHT OF THE CAUTIONARY STATEMENTS AND IMPORTANT FACTORS DESCRIBED IN THIS FORM 10-QSB FOR INSULCRETE, INC., INCLUDING, BUT NOT LIMITED TO "THE FACTORS THAT MAY AFFECT FUTURE RESULTS" SHOWN AS ITEM 1A AND IN MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS. THE RISKS INCLUDE, BUT ARE NOT LIMITED TO, THE RISKS ASSOCIATED WITH AN INSOLVENT EARLY-STAGE COMPANY THAT HAS ONLY A LIMITED HISTORY OF OPERATIONS, THE COMPARATIVELY LIMITED FINANCIAL AND MANAGERIAL RESOURCES OF THE COMPANY, THE INTENSE COMPETITION THE COMPANY FACES FROM OTHER ESTABLISHED COMPETITORS, TECHNOLOGICAL CHANGES THAT MAY LIMIT THE ABILITY OF THE COMPANY TO MARKET AND SELL ITS PRODUCTS AND SERVICES OR ADVERSELY IMPACT THE PRICING OF THESE PRODUCTS AND SERVICES, AND MANAGEMENT THAT HAS ONLY LIMITED EXPERIENCE IN DEVELOPING SYSTEMS AND MANAGEMENT PRACTICES. ANY ONE OR MORE OF THESE OR OTHER RISKS COULD CAUSE ACTUAL RESULTS TO DIFFER MATERIALLY FROM THE FUTURE RESULTS INDICATED, EXPRESSED, OR IMPLIED IN SUCH FORWARD-LOOKING STATEMENTS. WE UNDERTAKE NO OBLIGATION TO UPDATE OR REVISE ANY FORWARD-LOOKING STATEMENT TO REFLECT EVENTS, CIRCUMSTANCES, OR NEW INFORMATION AFTER THE DATE OF THIS FORM 10-Q OR TO REFLECT THE OCCURRENCE OF UNANTICIPATED OR OTHER SUBSEQUENT EVENTS.

Item 1. Financial Statements

See F-1

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INSULCRETE, INC. Balance Sheets (Unaudited)



			As of March 31, 2016		As of December 31, 2015

	ASSETS

Current Assets
	Cash		$	246	$	2,212
	Prepaid Expense			-		-

Total Current Assets				246		2,212

Land				180,000		180,000


	TOTAL ASSETS		$	180,246	$	182,212





LIABILITIES & STOCKHOLDERS' EQUITY (DEFICIT)

Current Liabilities
	Accounts Payable		$	5,500	$	4,500
	Note Payable - Related Party			295,052		295,052
	Accrued Interest Payable			52,853		50,639

Total Current Liabilities				353,405		350,191

Long-Term Liabilities

Total Long-Term Liabilities				-		-


	TOTAL LIABILITIES			353,405		350,191

Stockholders' Equity (Deficit)
	Preferred stock, ($.01 par value, 5,000,000 shares authorized;
		Series B - 334,000 shares issued and outstanding as of March 31, 2016 and December 31, 2015		3,340		3,340
		Series D - 180 shares issued and outstanding as of March 31, 2016 and December 31, 2015)		2		2
	Common stock ($.01 par value, 100,000,000 shares authorized;
		54,000 shares issued and outstanding as of March 31, 2016 and December 31, 2015)		540		540
	Additional paid-in capital			384,080		384,080
	Accumulated Deficit			(561,121)		(555,942)

Total Stockholders' Equity (Deficit)				(173,159)		(167,980)


	TOTAL LIABILITIES & STOCKHOLDERS' EQUITY (DEFICIT)		$	180,246	$	182,212

See Notes to Financial Statements.

F - 1

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INSULCRETE, INC. Statements of Operations (Unaudited)

		Three Months Ended

		March 31, 2016		March 31, 2015


Revenues
	Revenues	$	-	$	-

Total Revenues			-		-

Operating Costs
	Administrative Expenses		2,967		3,913

Total Operating Costs			2,967		3,913

Other Income & (Expenses)
	Other income		-		-
	Interest (expense)		(2,214)		(2,062)

Total Other Income & (Expenses)			(2,214)		(2,062)


Net Loss		$	(5,180)	$	(5,975)




Basic loss per share		$	(0.10)	$	(0.11)




Weighted average number of common shares outstanding			54,000		54,000

See Notes to Financial Statements.

F - 2

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INSULCRETE, INC. Statements of Cash Flows (Unaudited)

		Three Months Ended



		March 31, 2016		March 31, 2015
		March 31, 2016		March 31, 2015


CASH FLOWS FROM OPERATING ACTIVITIES
	Net income (loss)	$	(5,180)	$	(5,975)
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
	Common stock issued for bonus		-		-
Changes in operating assets and liabilities:
	(Increase) decrease in prepaid expenses		-		1,600
	Increase (decrease) in accounts payable		1,000		(500)
	Increase (decrease) in interest payable		2,214		2,062

	*Net cash provided by (used in) operating activities*		(1,967)		(1,189)

CASH FLOWS FROM INVESTING ACTIVITIES

	*Net cash provided by (used in) investing activities*		-		-

CASH FLOWS FROM FINANCING ACTIVITIES
	Proceeds from issuance of common stock		-		-
	Proceeds from issuance of preferred stock		-		-
	Note payable - related party		-		6,500

	*Net cash provided by (used in) financing activities*		-		6,500


	*Net increase (decrease) in cash*		(1,967)		2,087

	*Cash at beginning of period*		2,212		146


	*Cash at end of period*	$	246	$	2,233

SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
	Interest paid	$	-	$	-



	Income taxes paid	$	-	$	-



Non-cash transactions affecting Operating, Investing and Financing activities
	Preferred Stock series D issued for Land	$	-	$	180,000

See Notes to Financial Statements.

F - 3

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INSULCRETE, INC.
Notes to Condensed Unaudited Financial Statements
As of March 31, 2016

NOTE 1. ORGANIZATION AND DESCRIPTION OF BUSINESS

Insulcrete, Inc (the Company) was incorporated under the laws of the State of Delaware on May 3, 1988.

Business Services Prior to June 30, 1995

Prior to June 30, 1995, we had three wholly-owned subsidiary corporations, Sun Harbor Mortgage, Inc. ("SHMI"), Peninsula Funding Corporation ("PFC") and Sun Harbor Leasing, Inc. ("SHLI"). SHMI, PFC and SHLI are California corporations. SHMI was a Mortgage Banking and Brokerage firm, PFC was a Trustee corporation and SHLI offers vehicle leasing services. Through its operating subsidiaries, we had seven business services: (1) Equity Lending; (2) Loan Servicing (3) Residential Mortgage Banking Services; (4) Commercial Loan Brokering Services; (5) Re-conveyance and Trustee Fee Services; (6) Escrow Services; and (7) Vehicle Leasing Services.

Current Plan of Operation

In this context, we may, if circumstances allow, undertake efforts to become involved in the residential housing industry or, otherwise remain, pending the approval of our shareholders, a "clean public shell" and thereby seek to either merge with or acquire an operating company with operating history and assets or, in the alternative, we may undertake efforts to become involved in the residential housing industry. The exact form and nature of any investment or activity that we may undertake in any industry has not yet been determined.

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. Use of Estimates

The preparation of financial statements in conformity with U.S. 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. The Company regularly evaluates estimates and assumptions related to the useful life and valuation of long-lived assets and deferred income tax asset valuation allowances. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the accrual of costs and expenses that are not readily apparent from other sources. The actual results experienced by the Company may differ materially and adversely from the Company's estimates. To the extent there are material differences between the estimates and the actual results, future results of operations will be affected.

c. Basic Earnings per Share

The basic earnings (loss) per share are calculated by dividing the Company's net income available to common shareholders by the weighted average number of common shares during the year. The diluted earnings (loss) per share is calculated by dividing the Company's net income (loss) available to common shareholders by the diluted weighted average number of shares outstanding during the year. The diluted weighted average number of shares outstanding is the basic weighted number of shares adjusted for any potentially dilutive debt or equity.

Because the Company does not have any potentially dilutive securities, the accompanying presentation is only of basic loss per share. Diluted earnings (loss) per share are the same as basic earnings (loss) per share due to the lack of dilutive items in the Company.

F - 4

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d. Cash Equivalents

The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents.

e. Stock Based Compensation

We follow ASC 718-10, "Stock Compensation", which addresses the accounting for transactions in which an entity exchanges its equity instruments for goods or services, with a primary focus on transactions in which an entity obtains employee services in share-based payment transactions. ASC 718-10 is a revision to SFAS No. 123, "Accounting for Stock-Based Compensation," and supersedes Accounting Principles Board ("APB") Opinion No. 25, "Accounting for Stock Issued to Employees," and its related implementation guidance. SC 718-10 requires measurement of the cost of employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award (with limited exceptions). Incremental compensation costs arising from subsequent modifications of awards after the grant date must be recognized. The Company has not adopted a stock option plan and has not granted any stock options. The Company granted stock awards, at par value, to its officers, directors and advisors for services rendered in its formation. Accordingly, stock-based compensation has been recorded to date.

f. Income Taxes

The Company recognizes deferred tax liabilities and assets for the expected future tax consequences of events that have been recognized in the Company's financial statements or tax returns using the liability method. Under this method, deferred tax liabilities and assets are determined based on the temporary differences between the financial statement carrying amounts and tax bases of assets and liabilities using enacted rates in effect in the years during which the differences are expected to reverse and upon the possible realization of net operating loss carry-forwards. Additionally, the Company has not recognized any amount for a tax position taken or expected to be taken on its tax return, or for any interest or penalties.

g. Revenue Recognition
:

The Company uses the accrual method of accounting. Under this method, revenues are recognized when earned and expenses are recorded when incurred.

h. Fixed Assets:

Fixed Assets are recorded at their cost of acquisition.

i. New Accounting Pronouncements:

In June 2014, the FASB issued ASU 2014-10, "Development Stage Entities (Topic 915): Elimination of Certain Financial Requirements" The objective of the amendments in this Update is to improve financial reporting by reducing the cost and complexity associated with the incremental reporting requirements for development stage entities. Users of financial statements of development stage entities told the Board that the development stage entity distinction, the inception-to-date information, and certain other disclosures currently required under U.S. generally accepted accounting principles (GAAP) in the financial statements of development stage entities provide information that has limited relevance and is generally not decision useful. As a result, the amendments in this Update remove all incremental financial reporting requirements from U.S. GAAP for development stage entities, thereby improving financial reporting by eliminating the cost and complexity associated with providing that information. The Company has elected to early adopt these amendments and accordingly have not labeled the financial statements as those of a development stage entity and have not presented inception-to-date information on the respective financial statements.

In August 2014, the FASB issued ASU 2014-15 "Presentation of Financial Statements - Going Concern (Subtopic 205-40) Disclosure of Uncertainties about an Entity's Ability to Continue as a Going Concern". Under generally accepted accounting principles (GAAP), continuation of a reporting entity as a going concern is presumed as the basis for preparing financial statements unless and until the entity's liquidation becomes imminent. Preparation of financial statements under this presumption is commonly referred to as the going concern basis of accounting. If and when an entity's liquidation becomes imminent, financial statements should be prepared under the liquidation basis of accounting in accordance with Subtopic 205-30, Presentation of Financial Statements-Liquidation Basis of Accounting.

In January 2015, the FASB issued ASU 2015-01 "Income Statement - Extraordinary and Unusual Items (Subtopic 225-20) Simplifying Income Statement Presentation by Eliminating the Concept of Extraordinary Items". This update eliminates from GAAP the concept of extraordinary items. Subtopic225-20, Income Statement-Extraordinary and Unusual Items, required that an entity separately classify, present, and disclose extraordinary events and transactions

Management does not believe that any other recently issued, but not yet effective accounting pronouncements, if adopted, would have a material effect on the accompanying consolidated financial statements.

NOTE 3. WARRANTS AND OPTIONS

There are no warrants or options outstanding to acquire any additional shares of common.

NOTE 4. GOING CONCERN

The accompanying financial statements have been prepared assuming that the Company will continue as a going concern. The Company generated net losses of $561,121 during the period from May 3, 1988 (inception) to March 31, 2016. This condition raises substantial doubt about the Company's ability to continue as a going concern. The Company's continuation as a going concern is dependent on its ability to meet its obligations, to obtain additional financing as may be required and ultimately to attain profitability. The financial statements do not include any adjustments that might result from the outcome of this uncertainty.

Management plans to raise additional funds through debt or equity offerings. There is no guarantee that the Company will be able to raise any capital through any type of offerings.

F - 5

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NOTE 5. LAND

	March 31, 2016	March 31, 2015


Land	$ 180 000	$ 180 000

Land acquired per NOTE 6 consists of a .20 acre lot in a residential mobile home park in Indio, California. Improvements to the property include city utilities, landscaping and a concrete pad to accommodate a mobile home. The Land was acquired in exchange for the Company's issuance of 180 shares of our newly designated Series D Preferred Stock.

NOTE 6. RELATED PARTY TRANSACTION

On October 14, 2014, the Company acquired .20 acres of land in a residential development located at 80501 Avenue 48, #59, Indio, California 92201. The Land, which has an appraised value of $180,000 (as of June 25, 2014) was acquired from International Credit Bureau, Inc. ("ICBI"), a Nevada corporation. ICBI is an affiliate of the Company. The Real Property was acquired in exchange for the Company's issuance of 180 shares of our newly designated Series D Preferred Stock.

A director provides office services without charge. Such costs are immaterial to the financial statements and accordingly, have not been reflected therein. The officers and directors of the Company are involved in other business activities and may, in the future, become involved in other business opportunities as they become available, such persons may face a conflict in selecting between the Company and their other business interests. The Company has not formulated a policy for the resolution of such conflicts.

As of March 31, 2016 the Company has a note payable due to ICBC in the amount of $295,052. This is an unsecured loan with an interest rate of 3%. Total interest recorded for the period ended March 31, 2016 was $2,214. As of March 31, 2016 accrued interest expense is $52,853.

NOTE 7. INCOME TAXES

	As of March 31, 2016	As of March 31, 2015

Deferred tax assets:
Net operating tax carryforwards	$ 189,133	$ 180,865
Other	-0-	-0-

Gross deferred tax assets	189,133	180,865
Valuation allowance	(189,133)	(180,865)


Net deferred tax assets	$ -0-	$ -0-

Realization of deferred tax assets is dependent upon sufficient future taxable income during the period that deductible temporary differences and carryforwards are expected to be available to reduce taxable income. As the achievement of required future taxable income is uncertain, the Company recorded a valuation allowance.

F - 6

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NOTE 8. PREFERRED STOCK

Preferred stock, $ 0.01 par value: 5,000,000 shares authorized.

Series "B" Preferred stock, 900,000 shares authorized, 334,000 shares issued and outstanding

Series "D" Preferred stock, 500 shares authorized, 180 shares issued and outstanding

On October 14, 2014, the Company designated 500 of the Company's authorized preferred stock (par value $0.01 as series "D" Preferred Stock and issued 180 shares of series "D" Preferred Stock to an affiliate of the Company to acquire certain real property located in Indio, California.

In general, the Series D Preferred Stock has the following rights and privileges: (1) no voting rights, (2) rights to receive dividends solely in the form of shares of our Common Stock in the amount of 1,200 shares of our Common Stock as an annual dividend per year; (3) liquidation rights of $1,200.00 per share; (4) no right to convert the Preferred Stock into shares of our Common Stock; (5) a redemption right exercisable no later than July 15, 2016; (6) a right to preclude us from undertaking any sale, transfer, or encumbrance of the Real Property; and (7) certain default rights upon the occurrence or the reasonable belief of the later occurrence of any one or more Events of Default such as an "Encumbrance Event," an "Insolvency Event," or a "Change of Control Event."

Subject to the Default Rights granted to the holder of the Series D Preferred Stock hereunder, the Company shall have the right to call and redeem the Series D Preferred Shares at any time after issuance but no later than July 15, 2016 provided that the Corporation transfer all right, title, and interest in and to that certain parcel of real property located 80501 Avenue 48 #59, Indio, California 92201 to the holder of the Series D Preferred Stock.

In general, the Series B Preferred Stock has the following rights and privileges: (i) each share of the Series B Preferred Stock has the right to two votes per share and to vote with the Company's common stockholders on any matter presented before them; (ii) each share of the Series B Preferred Stock has the right to convert into four shares of the Company's Common Stock at any time after July 1, 2007; and (iii) the number of shares of the Company's Common Stock that are to be issued upon conversion of the Series B Preferred Stock are not to be reduced or increased by reason of any forward or reverse stock split or other recapitalization. The Series B Preferred Stock is not redeemable by the Company on or after July 1, 2008. In the event that the Company's Board of Directors declares any dividends, the holders of the Series B Preferred Stock have the same rights and privileges and are entitled to share ratably with the holders of the Company's Common Stock in any such dividend.

NOTE 9. COMMON STOCK

Common stock, $ 0.01 par value: 100,000,000 shares authorized; 54,000 shares issued and outstanding

On April 14, 2009, the Company increased the number of authorized shares of common stock from 30,000,000 to 100,000,000.

On April 14, 2009, the Company declared a 500 to 1 "reverse split" of its issued and outstanding common stock. The result of the "reverse split" was the retirement of all of its outstanding shares; 27,000,000 and the issuance of 54,000 new common shares. All share numbers have been retroactively adjusted for all periods presented giving effect to the 500-for-1 reserve stock split.

NOTE 10. SUBSEQUENT EVENTS

The Company has evaluated all events that occur after the balance sheet date through the date when the financial statements were issued to determine if they must be reported. The Management of the Company determined that there were no reportable subsequent event(s) to be disclosed.

F - 7

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Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations

As used herein, the term "we," "us," "our," and the "Company" refers to Insulcrete, Inc., a Delaware corporation and any subsidiaries, unless otherwise noted.

We are an insolvent since our Total Current Liabilities exceeds our Total Current Assets. We may be perceived as a "shell company" (as that latter term is defined in Rule 144(i) of the Securities Act of 1933, as amended) although we do own a parcel of real estate that we acquired in November 2014.

Although we acquired the real estate in November 2014, we remain a company of meager resources. Our past history, limited managerial and financial resources, among several other factors, limit the opportunities that we may discover or otherwise pursue. Currently our common stock does not trade in any known stock market and it has not traded in any such market for many years.

Some may view our modest financial profile and conclude that we are a "shell company." In that event, persons who hold our common stock may encounter additional problems in connection with any re-sale of any shares of our common stock. For as long as the Company remains or is perceived to be a "shell company," all stockholders of the Company will likely continue to encounter difficulties in selling their shares. If the Company were deemed a "shell company" then such stockholders would not be able to use or claim the exemption provided by Rule 144. In effect, that means that stockholders will not have an effective ability to undertake any public re-sale of any of the Company's common stock pursuant to that exemption.

Further, we do not currently have a trading symbol and we may not have any eligibility with the Depository Trust Company. In that event, it may be difficult for us to regain tradability in our common stock in any market.

Finally, we are insolvent in that we have, as of March 31, 2016, only $180,246 in Total Assets versus $354,405 in Total Liabilities. As a result, we are exposed to a clear risk of bankruptcy and all of the consequences associated with bankruptcy.

Company Background

We were originally named Sun Harbor Financial Resources, Inc., a Delaware Corporation ("the Company") and we were incorporated in the State of Delaware on May 3, 1988. On August 25, 1988, we effectuated a tax free reorganization ("the Acquisition") under Section 368(a)(1)(B) of the Internal Revenue Code of 1986, as amended. As a result of the Acquisition, we acquired Sun Harbor Mortgage, Inc., a California Corporation ("SHMI"), incorporated in the State of California on January 26, 1981, which became our wholly-owned subsidiary.

SHMI was a financial intermediary and operates a mortgage banking firm with activities in San Diego, California. In addition, at that time our second wholly-owned subsidiary, Peninsula Funding Corporation ("PFC"), was a trustee corporation that SHMI specified in it's Deeds of Trust to represent the beneficiary, supervise foreclosure proceedings, and issue re-conveyances. At that time the Company derived re-conveyance and trustee fee revenues through PFC operations. On September 11, 1989 a third wholly-owned subsidiary, Pacific Empire Escrow, Inc. ("PEEI") was incorporated as a California corporation. Pacific Empire Escrow, Inc. was intended to be an independent Escrow company operating in the state of California. However, Pacific Empire Escrow never became operational, and SHMI formed an Escrow Department to provide Escrow Services for loans that directly involve SHMI. On July 27, 1993, Pacific Empire Escrow, Inc. formally amended its Articles of Incorporation to change its name to Sun Harbor Insurance Services, Inc. ("SHISI"). SHISI offered insurance agency services within San Diego County during the final two quarters of 1993 and for a portion of the first quarter of 1994. However, as a result of a management decision, SHISI's operations were terminated in March 1994.

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1995 Actions RE: Divestiture

On October 31, 1995, our Board of Directors approved the proposed sale of our three wholly-owned subsidiaries, Sun Harbor Mortgage, Inc., Sun Harbor Leasing, Inc., and Peninsula Funding Corporation (collectively, the "Subsidiaries"). The proposed sale of the Subsidiaries was and remains subject to the approval of the Company's shareholders for which the Company plans to file a proxy statement with the U.S. Securities and Exchange Commission.

The sale was undertaken pursuant to a Board of Director's resolution previously adopted in May 1995 and after the Board of Directors reviewed the cumulative history of losses incurred by the Company over the past five years and the limited profitable business opportunities that the Board of Directors identified in the Company's mortgage banking business. On this basis, the Board of Director retained the services of an independent valuation expert retained to establish the fair market value of the three subsidiaries as of June 29, 1995.

After review of the valuation opinion received, the Board of Directors voted to sell the three subsidiaries to David W. Langill, at a selling price of fifteen thousand dollars in accordance with the terms of the "Stock Purchase Agreement Between Sun Harbor Financial Resources, Inc. and David W. Langill" (the "Agreement"). Mr. Langill was, at the time, a co-founder of the Subsidiaries and a co-founder, officer, and director of the Company.

Under the terms of the Agreement, Mr. Langill agreed to assume all liabilities, known or unknown, whether asserted or unasserted, whether liquidated or unliquidated, and whether due or to become due, including and liability for taxes, office equipment, and other leases, rents, and other obligations of the Subsidiaries except for certain limited obligations. The Note carried an interest rate of 8%, with a principal amount of fifteen thousand dollars and required a monthly payment of five hundred dollars beginning January 15, 1996. All unpaid principal and interest was due the Company in full no later than June 29, 1998. The Company attempted to collect these monies from Mr. Langill but, as stated below, the Company was not successful.

In February 2004, Mr. Langill died with the result that the Company believes it is unable to collect any monies from his estate. For these reasons, the Company does not anticipate that it will collect any monies on the Note it received from Mr. Langill in connection with the divestiture of the subsidiaries.

Amendments to Articles of Incorporation

On August 13, 2000 and by an action of a majority of the Company's shareholders by written consent and without a meeting, a majority of the Company's shareholders approved an amendment to the Company's Certificate of Incorporation to change the Company's name to Block Tech Corporation.

Subsequently on May 7, 2001 and by an action of a majority of the Company's shareholders by written consent and without a meeting, a majority of the Company's shareholders approved an amendment to the Company's Certificate of Incorporation to change the Company's name to Insulcrete, Inc.

The change in our name to Insulcrete, Inc. was undertaken in anticipation that we may undertake efforts to become active in the residential housing industry. Not until November of 2014 did we acquire a parcel of real estate but we may, if circumstances and market conditions allow, explore other possible opportunities in this area.

Stockholders' Meeting of April 2009

On April 14, 2009, the first annual meeting of the Company's stockholders was held in San Diego, California (the "Meeting"). As a result of the Meeting, our stockholders approved the 500 for 1 reverse stock split (the "Reverse Stock Split"), the change of the Company's name to Insulcrete, Inc., and the increase in the authorized common stock from 30,000,000 shares to 100,000,000 shares. Since the Company's common stock was not and is not trading in any market, the Company has not completed certain filings with FINRA and other agencies to effect the Reverse Stock Split.

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Stockholders' Action of 2016

Earlier this year we filed Schedule 14C with the Commission. As reported in the Schedule 14C:

(A)	The holders of a majority of the outstanding shares of our Common Stock approved the 60 for one forward split of our Common Stock (with all fractional shares rounded up) (the "Forward Split"). Our Board of Directors has set the Record Date as May 20, 2016.

While we are not aware of any trading market for our Common Stock, we believe that the Forward Split may, if circumstances allow, provide us with greater financial flexibility.

Three Month Periods Ended March 31, 2016 and March 31, 2015

During the first three months ending March 31, 2016, ("First Quarter 2016"), we recorded no sales revenues. During this period we had no business or operations. Similarly, during the first three months ending March 31, 2015 ("First Quarter 2015"), we recorded no sales revenues and again during First Quarter 2015, we had no business, assets, or operations.

During the First Quarter 2016, we did record $2,967 as administrative expense - these were expenses related to the maintenance of the Company's corporate charter, accounting, administrative, preparation of filings with the U.S. Securities and Exchange Commission, and related expenses. By comparison, during the First Quarter 2015, we incurred $3,913 as administrative expenses. The higher level of general and administrative expenses during the First Quarter 2015 was primarily due to additional efforts that we took to attend to our files, books, records, and the preparation and filing of our periodic reports for the current quarter and related administrative expenses.

During the First Quarter 2016, we had Interest Expense of $2,213. By comparison, during the First Quarter 2015, we had Interest Expense of $2,062. The interest expense during both periods was incurred as a result of a promissory note issued to International Credit Bureau, Inc., a related party. This note bears interest at 3%.

As a result, we had a Net Loss of $5,180 during the First Quarter 2016 compared to a Net Loss of $5,975 during the First Quarter 2015.

On a per share basis, the Net Loss per Basic Share during the First Quarter 2016 was $0.10 compared to First Quarter 2015 when the Net Loss Per Basic Share was $0.11.

During both periods we had 54,000 shares of our Common Stock outstanding (since the Record Date for the Forward Split was May 20, 2016.

Liquidity and Capital Resources

We have no real liquidity and no apparent source of financing apart from the arrangement that we have established with ICBI. We currently owe ICBI an aggregate of $295,052 as of March 31, 2016. On a going-forward basis, the Company anticipates that it will need between $18,000 to $28,000 or more annually merely to maintain the Company's existence and to pay the expenses and costs that it incurs to ensure that the Company can remain a corporate enterprise with all of the attendant responsibilities, filings, and associated documentation. For these and other reasons, our management recognizes the adverse difficulties and continuing challenges we face. Apart from the limited assurances that we have received from ICBI, there can be no assurance that we will receive any additional or future financing or funding from any source or if any financing should be obtained, that existing shareholders will not incur substantial, immediate, and permanent dilution of their existing investment.

Further, there can be no assurance that we will be successful in obtaining any additional financing, or if we receive any additional financing, that any such financing can be obtained on terms that may be deemed reasonable given our current dire financial condition.

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Item 3. Quantitative and Qualitative Disclosures About Market Risk.

The Company's perceived status as a "shell company" and its securities are subject to a number of substantial risks, including those described below. If any of these or other risks actually occur, the Company's business, financial condition and operating results, as well as the value of our common stock could be materially adversely affected. No attempt has been made to rank these risks in the order of their likelihood or potential harm. In addition to those general risks enumerated elsewhere in the document, any purchaser of the Company's common stock should also consider the following risk factors:

Further and in the context of the uncertainties facing the Company's business organization and existing debt and obligations on its balance sheet all involve elements of substantial risk. In many instances, these risks arise from factors over which the Company will have little or no control. Some adverse events may be more likely than others and the consequence of some adverse events may be greater than others.

1. Continued Operating
Losses & Status as an Insolvent Company. We incurred additional losses and negative cash flow during the twelve months ending December 31, 2015 and we likely will continue to incur losses and negative cash flow for the foreseeable future. There is no assurance that our operations (if any are ever established) will be successful or that we will be profitable or achieve positive cash flow in the future. At present, our Total Liabilities exceed our Total Assets. As a result we are insolvent.

2. Absence of Assets, Business, Operations & Extraordinary Uncertainties
. Except for the parcel of real estate, we have no meaningful assets, business or operations and there can be no assurance that we will regain or acquire any new assets in the future. While we may later search for other ventures, our ability to undertake any such future venture will likely be severely limited and there can be no assurance that we will ever acquire any other business venture or if such a venture is acquired, that any such venture can be acquired on any reasonable terms in light of our current financial circumstances.

3. Lack of
Business, Negative Equity, No Working Capital & Severe Need for Additional Financing. The Company has no business, no equity, and no operations. If the Company is to develop or acquire any new business, the Company will need to obtain significant additional equity or debt financing on reasonable terms. There can be no guarantee that the Company will be successful in obtaining any such financing or if it is obtained, that stockholders will not lose all of their investment. If we do obtain any new capital, we anticipate that our stockholders will likely incur significant and immediate dilution.

4. Auditor's Opinion: Going Concern.
Except for the explanatory paragraph included in the firm's report on the financial statements for the year ended December 31, 2015, relating to the substantial doubt existing about the Company's ability to continue as a going concern, the audit report did not contain an adverse opinion or disclaimer of opinion, nor were they qualified or modified as to uncertainty, audit scope, or accounting principles.

5.
Subordinate to Existing and Future Debt & "Blank Check" Preferred Stock. All of the Common Stock is subordinate to the claims of the Company's existing and future creditors and any future holders of the Company's preferred stock. The Company is authorized to issue shares of the Company's preferred stock under a "blank check" preferred provision which means that the Board of Directors can issue shares of our preferred stock in one or more series each with such rights and privileges as the Board of Directors determines and without seeking or obtaining any approval from our common stockholders.

6. Other Factors Cited in Form 10-K As Previously Filed
. The Company faces many risks and uncertainties. These also include those risks and uncertainties recited in the Company's most recent Form 10-K. Any investor who purchases the Company's Common Stock should be prepared to lose their entire investment.

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Item 4. Controls and Procedures.

Evaluation of Disclosure Controls and Procedures

We conducted 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 the design and operation of our disclosure controls and procedures. The term "disclosure controls and procedures," as defined in Rules 13a-15(e) and 15d-15(e) under the Securities and Exchange Act of 1934, as amended ("Exchange Act"), means controls and other procedures of a company that are designed to ensure that information required to be disclosed by the company in the reports it files or submits under the Exchange Act is recorded, processed, summarized and reported, within the time periods specified in the Securities and Exchange Commission's rules and forms. Disclosure controls and procedures also include, without limitation, controls and procedures designed to ensure that information required to be disclosed by a company in the reports that it files or submits under the Exchange Act is accumulated and communicated to the company's management, including its principal executive and principal financial officers, or persons performing similar functions, as appropriate, to allow timely decisions regarding required disclosure. Based on this evaluation, our Chief Executive Officer and Chief Financial Officer concluded as of March 31, 2016, that our disclosure controls and procedures are effective to a reasonable assurance level of achieving such objectives. However, it should be noted that the design of any system of controls is based in part upon certain assumptions about the likelihood of future events, and there can be no assurance that any design will succeed in achieving its stated goals under all potential future conditions, regardless of how remote.

Management's Report on Internal Control Over Financial Reporting

Our management is responsible for establishing and maintaining adequate internal control over financial reporting as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act. Our internal control over financial reporting is designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. The internal controls for the Company are provided by executive management's review and approval of all transactions. Our internal control over financial reporting also includes those policies and procedures that:

(1) pertain to the maintenance of records that in reasonable detail accurately and fairly reflect the transactions and dispositions of our assets;

(2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with U.S. GAAP, and that our receipts and expenditures are being made only in accordance with the authorization of our management; and

(3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of our assets that could have a material effect on the financial statements.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

Management assessed the effectiveness of the Company's internal control over financial reporting as of December 31, 2015. In making this assessment, management used the criteria set forth by the Committee of Sponsoring Organizations of the Treadway Commission in Internal Control-Integrated Framework. Management's assessment included an evaluation of the design of our internal control over financial reporting and testing of the operational effectiveness of these controls.

Based on this assessment, management has concluded that as of December 31, 2015, our internal control over financial reporting was effective to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with U.S. generally accepted accounting principles.

This quarterly report does not include an attestation report of the Company's registered public accounting firm regarding internal control over financial reporting. Management's report was not subject to attestation by the Company's registered public accounting firm pursuant to temporary rules of the Securities and Exchange Commission that permit the Company to provide only management's report in this annual report.

Changes in Internal Control over Financial Reporting

There were no changes in our internal control over financial reporting during our fiscal quarter ended March 31, 2016 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

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PART II - OTHER INFORMATION

Item 1. Legal Proceedings

None.

Item 1A. Risk Factors

Status as
an insolvent "Shell Company" and Uncertain Future Prospects

We are insolvent and some may perceive us as a "shell company" within the meaning of Rule 12b-2 of the Securities Exchange Act of 1934 and within the meaning of Rule 144(i) of the 1933 Act. As a result, we and our stockholders are burdened by several disabilities imposed on companies that do not currently possess an operating business. While we continue to look at potential business and investment opportunities, we can not assure you that we will be successful in identifying any suitable business opportunities or, if we identify them, that we can successfully negotiate a transaction that will be beneficial to our stockholders.

Absence of Trading Market for Our Common Stock

Our Common Stock does not trade in any market and there is no certain prospect that our Common Stock will ever achieve tradability on any stock market at any time in the near future. Although our Common Stock is a security that is registered under Section 12(g) of the Securities Exchange Act of 1934, as amended and we are obligated to fulfill certain obligations thereby, some may view us as a "shell company" and, as result, we will not likely have the ability to gain tradability for our common stock until we acquire or develop a business with assets and operations that will allow us to no longer meet the definition of a "shell company." Further, we cannot assure you that we have retained DTC eligibility or that we have retained our treading symbol. We also have not completed certain filings with the Financial Industry Regulatory Authority (FINRA) that are required whenever a public company seeks to effect a reverse stock split. Moreover, since our Common Stock has not traded in any market, we believe that any efforts to resurrect the Company and revive a trading market in our common stock will be subject to our ability to successfully complete certain filings with FINRA and others. We cannot assure you that we will be successful.

Limited Management and Limited Management Time

We have only one officer and director who spends only a limited amount of time attending to our business and financial affairs. This lack of management and lack of management time has and will likely continue to limit our ability to acquire or develop any new business. As a result, there can be no assurance that we will acquire or develop a suitable business or if we are able to do so, that any such acquisition can be undertaken successfully.

Likely Future Dilution & Recapitalization

In the event that we acquire or develop a new business, we anticipate that we may have to undertake a reverse stock split, amend our Certificate of Incorporation (as filed with the Secretary of State of the State of Delaware) to increase our authorized Common Stock and otherwise take other actions necessary in connection with one or more transactions in acquiring or developing a new business. Further, we may have to pay finders' fees, brokers' fees, commissions, and other fees that may require that we issue shares of our Common Stock to one or more persons for the services we receive from them in connection with these transactions. As a result, our existing stockholders will likely incur significant and immediate dilution.

General Uncertainties of Regulatory Environment

Since the passage of the Penny Stock Reform Act of 1990, securities laws, on both a federal and state level, have continued to impose greater burdens and costs on securities that are deemed to be "penny stocks" and on "shell companies" as well. As a result, the ability of a company that is a "shell company" to regain the rights and privileges that would allow its common stock to achieve tradability in any securities market is limited and even if such tradability is later achieved, the stockholders of such companies face new and more stringent burdens in trading their shares. We anticipate that these costs and burdens will likely increase in the future and we cannot assure persons who acquire our Common Stock that their investment will have the marketability or liquidity that they have had in the past.

Need to Complete Filings with FINRA

As discussed above, we completed a reverse stock split in 2009 and the Forward Stock Split in May 2016 (see discussion above). However, we have not completed certain additional necessary filings required by the Financial Industry Regulatory Authority (FINRA) and certain other filings. Unless or until those and other related filings and other actions are completed, we do not anticipate that any trading in our Common Stock can or will be allowed in any market.

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Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

None.

Item 3. Defaults Upon Senior Securities

Not applicable.

Item 4. Submission of Matters to a Vote of Security Holders

The holders of a majority of our outstanding voting rights approved the Sixty (60) for One (1) forward split of our Common Stock (the "Forward Stock Split") and the Record Date for the Forward Split was May 20, 2016.

Item 5. Other Information

None.

Not applicable.

Item 6. Exhibits and Reports on Form 8-K

(a) Exhibits

On May 20, 2016 we filed Form 8-K with the Commission wherein we announced the Record Date for the Forward Stock Split.

31.1 Certification
31.2 Certification

32.1 Certification
32.2 Certification

(b) Reports on Form 8-K

No reports on Form 8-K were filed during the three months ended March 31, 2016.

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SIGNATURE

Pursuant to the requirements of the Securities and Exchange Act of 1934, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	Registrant: Insulcrete, Inc.

Date: August 25, 2016

	/s/ Vernon Gunter Vernon Gunter President, Chief Executive Officer Chief Financial Officer

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Insulcrete, Inc. 10-Q