Part I REGISTRANT INFORMATION Full Name of Registrant: International Brands, Inc. Former name if Applicable: Telespecial .com. Address of Principal Executive Office 7729 Othello Ave. San Diego, CA 92111 Tele: (858) 292-3380 Fax: (858) 292-1528 Part II - Rules 12b-25 (b) AND (c) If the subject report could not be filed without reasonable effort or expense and the registrant seeks relief pursuant to Rule 12b-25(b), the following should be completed. (Check box if appropriate) [X] (a) The reasons described in reasonable detail in Part III of this form could not be eliminated without unreasonable effort or expense. [X] The subject annual report or semiannual report, transition report on Form 10K, Form 20-F, 11K or Form NSAR or portion thereof will be filed on or before the fifteenth calendar day following the prescribed due date; or the subject Quarterly report or transition report on Form 10Q, or portion thereof, will be filed on or before the fifth calendar day following the prescribed due date; and [ ] c The accountant's statement or other exhibit required by Rule 12b-25c has been attached if applicable) Part III NARRATIVE The registrant is in the process of compiling information for the quarterly period ended March 31, 2001 for the form 10QSB all of which information has not yet been received.

ASSETS December 31 June 30 2000 1999 (unaudited) Current assets: Cash $ 6,457 $ 461 Accounts receivable - 5,833 Inventory at lower of FIFO cost or market 4,429 4,400 Prepaid and other current assets 85 5,600,608 Total current assets 10,971 5,611,302 Property and equipment: Furniture and fixtures 38,468 38,468 Computers and equipment 21,750 21,750 60,218 60,218 Less: Accumulated depreciation (50,900) (57,262) Net property and equipment 9,318 2,956 Other assets: Goodwill, net - 97,256 Deferred tax benefit - - Investments at cost 35,000 35,000 Notes receivable - related party 1,598,000 7,552,306 Deposits and other assets 200 200 Total other assets 1,633,200 7,684,762 $ 1,653,489 $13,299,020

LIABILITIES AND STOCKHOLDERS EQUITY (DEFICIT) June 30 December 31 2000 1999 (unaudited) Current liabilities: Accounts payable $ 241,267 $ 582,918 Accrued expenses and other current liabilities 7,787,885 7,774,047 Total current liabilities 8,029,152 8,356,965 Commitments and contingencies - - Stockholders equity Common stock, $.001 par value Authorized - see restricted common stock authorization Issued and outstanding - 10,083,054 shares at December 31, 1999 and 72,432,779 shares at June 30, 2000 10,083 72,433 Restricted common stock, $.001 par value Authorized - 400,000,000 shares Issued and outstanding - 57,612,293 shares at December 31, 1999 and 11,522,832 shares at June 30, 2000 57,612 11,523 Series IV convertible preferred stock, $.001 stated value Authorized - 663,800 shares Issued and outstanding - 626,639 shares at December 31, 1999 and 620,744 shares at June 30, 2000 627 621 Series VI convertible preferred stock, $.001 stated value Authorized - 19,581,230 shares 753 Issued and outstanding - 0 shares at December 31, 1999 - and 752,515 shares at June 30, 2000 346,278,098 358,433,660 Additional paid-in capital Accumulated deficit (352,722,083) (353,576,935) Total stockholders equity (6,375,663) 4,942,055 $ 1,653,489 $ 13,299,020

Three months Three months Six months Six months ended ended ended ended June 30,1999 June 30,2000 June 30,1999 June 30, 2000 (unaudited) (unaudited) (unaudited) (unaudited) Net sales $16,377 $5,710 $25,614 $37,082 Cost of goods sold 5,921 10,488 11,526 33,150 Gross profit 10,456 (4,778) 14,088 3,932 Operating expenses General and administrative 2,612,143 3,189,588 163,736,296 8,405,785 Loss from operations and before other income and provision for taxes (2,601,687) (3,194,366) (163,722,208) (8,401,853) Other income - 7,552,306 - 7,552,306 Provision for income taxes (benefit) - - - - Net income (loss) $(2,601,687) $4,357,940 $(163,722,208) $(849,547) Loss per share $(.044) $.042 $(2.788) $(.008) Weighted average number of common shares outstanding 58,722,922 104,432,228 58,722,922 104,432,228

SHARES Preferred Preferred Common Common Stock Stock Series Stock Series Common Stock Restricted Series IV VI Stock Accumulated Deficit Balance at December 31, 1999 10,083,054 57,612,293 626,639 - $10,083 Acquisition of Tele Special.com (unaudited) - - - - - Shares issued in settlement of litigation (unaudited) - 40,000 - - - Preferred Stock issued (unaudited) - - - 1,252,362 - Conversion of Series IV Preferred Stock (unaudited) - 223,331 (5,895) - - Conversion of Series VI Preferred Stock (unaudited) - 2,499,237 - (499,847) - Conversion of Warrants(unaudited) - 109,989 - - - Expiration of Restriction on Common Stock through the quarter ended June 30,2000 (unaudited) 62,349,725 (62,349,725) - - - Balance at June 30, 2000 72,432,779 11,522,832 - - -

SIX MONTHS ENDED SIX MONTHS ENDED JUNE 30, 1999 JUNE 30,2000 (UNAUDITED) (UNAUDITED) Cash flow from operating activities: Net loss $(163,722,208) $(854,852) Adjustments to reconcile net loss to net cash used by operations Depreciation and amortization $6,362 $11,481 Common stock issued as compensation for services 119,397,500 6,404,109 Common stock issued in settlement of litigation - 130,000 Net adjustments to notes receivable 3,811,973 (5,954,306) Common stock issued for note receivable 40,000,000 - Net equity adjustment for acquisition of Tele Special.com - (97,375) Change in assets and liabilities: Decrease (increase) in accounts receivable 38,772 (5,833) Decrease in deposits and other assets 2,330 - Decrease in inventories 3,236 29 Decrease in prepaids and other current assets 65 85 Increase (decrease) in accounts payable (43,026) 327,813 163,217,212 816,003 Net cash used by operating activities (504,996) (38,849) Cash flows from investing activities: Exercise of warrants for common stock 521,701 32,853 Net cash provided by investing activities 521,701 32,853 Net increase (decrease) in cash 16,705 (5,996) Cash at the beginning of the year 4,516 6,457 Cash at the end of the year $21,221 $461

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