UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 10-Q

(Mark One)
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

	For the quarterly period ended March 31, 2010

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

000-51779
Commission File Number

ANTICUS INTERNATIONAL CORPORATION
(Exact name of registrant as specified in its charter)

Nevada	98-0375504
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

1155 Rene Levesque O, Suite 2500, Montreal, Quebec	H3B 2K4
(Address of principal executive offices)	(Zip Code)

(514) 992-1391
(Registrant’s telephone number, including area code)

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 [X] No [ ]

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 (§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 [ ] No [ ]

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	[ ]	Smaller reporting company	[X]
(Do not check if a smaller reporting company)

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 ISSUERS INVOLVED IN BANKRUPTCY

PROCEEDINGS DURING THE PRECEDING FIVE YEARS:

Indicate by check mark whether the registrant filed all documents and reports required to be filed by Section 12, 13 or 15(d) of the Securities Exchange Act of 1934 subsequent to the distribution of securities under a plan confirmed by a court.

Yes [ ] No [ ]

APPLICABLE ONLY TO CORPORATE ISSUERS

54,478,295 common shares outstanding as of May 7, 2010

(Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.)

ANTICUS INTERNATIONAL CORPORATION

TABLE OF CONTENTS

		Page
	PART I – FINANCIAL INFORMATION

Item 1.	Financial Statements	3
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	4
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	13
Item 4T.	Controls and Procedures	13

	PART II – OTHER INFORMATION

Item 1.	Legal Proceedings	14
Item 1A.	Risk Factors	14
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	14
Item 3.	Defaults Upon Senior Securities	14
Item 4.	(Removed and Reserved)	14
Item 5.	Other Information	14
Item 6.	Exhibits	14
	Signatures	16

PART I

ITEM 1. FINANCIAL STATEMENTS

The accompanying unaudited consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions for Form 10-Q and Article 210 8-03 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments considered necessary for a fair presentation have been included. All such adjustments are of a normal recurring nature. Operating results for the nine month period ended March 31, 2010, are not necessarily indicative of the results that may be expected for the fiscal year ending June 30, 2010. For further information refer to the audited financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2009.

	Page
Unaudited Consolidated Financial Statements	F-1

Consolidated Balance Sheets	F-2

Consolidated Statements of Operations	F-3

Consolidated Statements of Cash Flows	F-4

Notes to Unaudited Consolidated Financial Statements	F-5 to F-12

ANTICUS INTERNATIONAL CORPORATION

(A Development Stage Company)

CONSOLIDATED FINANCIAL STATEMENTS

(Stated in US Dollars)

(UNAUDITED)

F-1

ANTICUS INTERNATIONAL CORPORATION (A DEVELOPMENT STAGE COMPANY) Consolidated Balance Sheets (EXPRESSED IN U.S. FUNDS)
	March 31, 2010			June 30, 2009
	(Unaudited)			(Audited)
ASSETS
Current assets:
Cash	$	34,857		$	33,180
Prepaid expenses		-			7,064
Receivable from taxing authorities		6,958			24,905
Total current assets		41,815			65,149


Deferred loan fees, net		238			4,370
Property and equipment-net		6,000			10,891
Industrial equipment (Note 4)		27,391			27,391
Intangible asset-net		379,486			392,878

Total assets	$	454,930		$	500,679

LIABILITIES AND STOCKHOLDERS' EQUITY

Current liabilities:
Accounts payable and accrued expenses	$	86,478		$	71,674
Loans payable-related parties		200,000			-
Accrued interest on convertible debentures		2,959			7,912
Convertible debenture		100,000			200,000
Total current liabilities		389,437			279,586

Total liabilities		389,437			279,586

Stockholders' equity:
Authorized common stock:
75,000,000 shares with a par value of $0.001
Issued and outstanding:
53,228,295 shares at March 31, 2010 and 43,644,960 at June 30, 2009		53,230			43,645
Additional paid-in capital		2,696,530			2,128,615
Subscriptions payable		-			376,000
Deficit accumulated during development stage		(2,684,267	)		(2,327,167	)
Total stockholders' equity		65,493			221,093
Total liabilities and stockholders' equity	$	454,930		$	500,679

The accompanying notes are an integral part of these financial statements

F-2

ANTICUS INTERNATIONAL CORPORATION (A DEVELOPMENT STAGE COMPANY) Consolidated Statements of Operations (EXPRESSED IN U.S. FUNDS)
	Three months ended March 31,						Nine months ended March 31,						Cumulative amounts from Date of Incorporation (May 1, 2002) through March 31,
	2010			2009			2010			2009			2010
	(unaudited)			(unaudited)			(unaudited)			(unaudited)			(unaudited)

Revenue	$	-		$	-		$	-		$	-		$	-

Operating expenses:
Research and development		32,553			1,222			88,259			2,453			345,768
General and administrative expenses		74,730			99,794			222,649			366,415			2,145,187
Gain on settlement of indebtedness		-			-			-			-			(21,794	)
Foreign exchange		4,702			734			9,370			3,520			14,141
		(111,985	)		(101,750	)		(320,278	)		(372,388	)		(2,483,302	)
Other income (expenses)
Interest income		-			59			792			59			3,238
Interest and penalties expense		(4,667	)		(6,121	)		(37,614	)		(17,657	)		(66,513	)
Loss from continuing operations		(116,652	)		(107,812	)		(357,100	)		(389,986	)		(2,546,577	)
Discontinued operations		-			-			-			-			(137,690	)
Net loss	$	(116,652	)	$	(107,812	)	$	(357,100	)	$	(389,986	)	$	(2,684,267	)

Net loss per share	$	(0.00	)	$	(0.00	)	$	(0.01	)	$	(0.01	)

Weighted average shares outstanding		52,658,851			47,996,813			49,349,037			46,479,510

The accompanying notes are an integral part of these financial statements

F-3

ANTICUS INTERNATIONAL CORPORATION (A DEVELOPMENT STAGE COMPANY) Consolidated Statements of Cash Flows (EXPRESSED IN U.S. FUNDS)
	Nine Month Period Ended March 31,						Cumulative Amounts from Date of Incorporation (May 1, 2002) through March 31
	2010			2009			2010
	(Unaudited)			(Unaudited)			(Unaudited)
Cash flows from operating activities
Adjustments to reconcile net loss to net cash
used in operating activities:
Net loss for the period	$	(357,100	)	$	(389,896	)	$	(2,684,267	)
Shares issued for services		-			-			381,848
Shares issued for abandoned license		-			-			76,000
Contributed rent and services		-			-			13,600
Gain on settlement of indebtedness		-			-			(21,794	)
Compensation recognized on option grants		7,500			-			278,578
Accrued interest		(4,953	)		(154	)		2,959
Amortized deferred loan fees		4,132			-			11,762
Depreciation		19,157			119,679			369,224
Changes in operating assets and liabilities
used in operating activities:
Decrease (increase) in receivables		17,947			7,617			(8,567	)
Decrease in prepaid expenses and other assets		7,064			15,958			20,552
Increase in accounts payable and accrued expenses		14,804			8758			114,089
Net cash used in operating activities		(291,449	)		(238,128	)		(1,446,016	)

Cash flows from investing activities
Property and equipment		(874	)		(26,649	)		(51,950	)
Net cash used by investing activities		(874	)		(26,649	)		(51,950	)

Cash flows from financing activities
Proceeds from issuance of common stock		-			282,000			699,682
Payments in connection with private offering		-			-			(35,984	)
Proceeds on sale and subscriptions of common stock		94,000			-			470,000
Proceeds on issuance of debt		200,000			-			400,000
Net cash provided by financing activities		294,000			282,000			1,533,698

Effect of exchange rates on cash								(875	)

Net change in cash		1,677			17,223			34,857
Cash, beginning of period		33,180			19,238			-
Cash, end of period	$	34,857		$	36,461		$	34,857

SUPPLEMENTAL CASH FLOW INFORMATION AND NONCASH INVESTING AND FINANCING ACTIVITIES

Issuance of common stock upon conversion of debenture	$	100,000			-		$	100,000
Cash paid for interest	$	8,066			-		$	16,000
Cash paid for income taxes		-			-			-

The accompanying notes are an integral part of these financial statements

F-4

ANTICUS INTERNATIONAL CORPORATION

(A DEVELOPMENT STAGE COMPANY)

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

MARCH 31, 2010

(EXPRESSED IN U.S. FUNDS)

(UNAUDITED)

1	Nature of operations

Organization

The Company was incorporated in the State of Nevada, U.S.A., on May 1, 2002. On August 19, 2004, the Company effected a 3:1 forward stock split. On November 18, 2004, the Company effected a 3:1 forward stock split. All references in the accompanying financial statements to the number of common shares and per-share amounts have been restated to reflect the forward stock splits.

Development stage activities

The Company is a development stage company as defined by the Financial Accounting Standard Board (FASB) in the FASB ASC 915-10, “Development Stage Entities”. The Company is devoting substantially all of its present efforts to establish a new business and none of its planned principal operations have commenced. All losses accumulated since inception has been considered as part of the Company’s development stage activities.

The Company continues to develop its business pursuant to its exclusive world-wide license to convert waste materials from beer, soft drink and cheese manufacturers into yeast.

Going concern

The accompanying financial statements have been prepared assuming the Company will continue as a going concern. As shown in the accompanying financial statements, the Company has incurred a net loss of $2,684,267, for the period from inception, (May 1, 2002) to March 31, 2010, and has no sales. The Company expects that it will need to raise substantial additional capital to accomplish its business plan over the next several years. The Company is actively seeking additional funding through the issuance of convertible debentures, private placements and loans. It is the Company’s intention to bring a pilot plant into operation as soon as possible. This will allow the Company to manufacture its own products and start generating revenues. Should the Company be unable to continue as a going concern, it may be unable to realize the carrying value of its assets and to meet its liabilities as they become due. These financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts, or amounts and classification of liabilities that might result from this uncertainty.

Unaudited Interim Financial Statements

The accompanying unaudited interim consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q. They do not include all information and footnotes required by United States generally accepted accounting principles for complete financial statements. However, except as disclosed herein, there have been no material changes in the information disclosed in the notes to the financial statements for the year ended June 30, 2009 included in the Company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission. The consolidated interim unaudited financial statements should be read in conjunction with those financial statements included in the Form 10-K. In the opinion of Management, all adjustments considered necessary for a fair presentation, consisting solely of normal recurring adjustments, have been made. Operating results for the nine months ended March 31, 2010 are not necessarily indicative of the results that may be expected for the year ending June 30, 2010.

F-5

ANTICUS INTERNATIONAL CORPORATION

(A DEVELOPMENT STAGE COMPANY)

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

MARCH 31, 2010

(EXPRESSED IN U.S. FUNDS)

(UNAUDITED)

2	Summary of significant accounting policies

The consolidated financial statements include the accounts of the Company and its subsidiary, Green Yeast Canada Inc., incorporated in August 2008.

a)	Use of estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting periods. Actual results could differ from these estimates.

b)	Cash and cash equivalents

For purposes of the statement of cash flows, the Company defines cash equivalents as all highly liquid debt instruments purchased with a maturity of three months or less, plus all certificates of deposit.

Loss per share

Basic earnings (loss) per share includes no dilution and is computed by dividing income available to common stockholders by the weighted average number of common shares outstanding for the period. Dilutive earnings (loss) per share reflect the potential dilution of securities that could share in the earnings of the Company. Where applicable, dilutive loss per share is equal to that of basic loss per share as the effects of stock options and warrants have been excluded as they are anti-dilutive.

d) Recent Accounting Pronouncements

In January 2010, the FASB issued Accounting Standards Update (ASU) 2010-01, “Equity (Topic 505-10): Accounting for Distributions to Shareholders with Components of Stock and Cash (A Consensus of the FASB Emerging Issues Task Force)”. This amendment to Topic 505 clarifies the stock portion of a distribution to shareholders that allows them to elect to receive cash or stock with a limit on the amount of cash that will be distributed is not a stock dividend for purposes of applying Topics 505 and 260. This ASU is effective for interim and annual periods ending on or after December 15, 2009, and would be applied on a retrospective basis. The Company does not expect the provisions of ASU 2010-01 to have a material effect on the financial position, results of operations or cash flows of the Company.

In January 2010, the FASB issued Accounting Standards Update (ASU) 2010-02, “Consolidation (Topic 810): Accounting and Reporting for Decreases in Ownership of a Subsidiary”. This amendment to Topic 810 clarifies, but does not change, the scope of current US GAAP. It clarifies the decrease in ownership provisions of Subtopic 810-10 and removes the potential conflict between guidance in that Subtopic and asset derecognition and gain or loss recognition guidance that may exist in other US GAAP. An entity will be required to follow the amended guidance beginning in the period that it first adopts FAS 160 (now included in Subtopic 810-10). For those entities that have already adopted FAS 160, the amendments are effective at the beginning of the first interim or annual reporting period ending on or after December 15, 2009. The amendments should be applied retrospectively to the first period that an entity adopted FAS 160. The Company does not expect the provisions of ASU 2010-02 to have a material effect on the financial position, results of operations or cash flows of the Company.

F-6

ANTICUS INTERNATIONAL CORPORATION

(A DEVELOPMENT STAGE COMPANY)

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

MARCH 31, 2010

(EXPRESSED IN U.S. FUNDS)

(UNAUDITED)

2	Summary of significant accounting policies (continued)

d) Recent Accounting Pronouncements

In January 2010, the FASB issued Accounting Standards Update (ASU) 2010-6, “Improving Disclosures about Fair Value Measurements.” This update requires additional disclosure within the roll forward of activity for assets and liabilities measured at fair value on a recurring basis, including transfers of assets and liabilities between Level 1 and Level 2 of the fair value hierarchy and the separate presentation of purchases, sales, issuances and settlements of assets and liabilities within Level 3 of the fair value hierarchy. In addition, the update requires enhanced disclosures of the valuation techniques and inputs used in the fair value measurements within Levels 2 and 3. The new disclosure requirements are effective for interim and annual periods beginning after December 15, 2009, except for the disclosure of purchases, sales, issuances and settlements of Level 3 measurements. Those disclosures are effective for fiscal years beginning after December 15, 2010. As ASU 2010-6 only requires enhanced disclosures, the company does not expect that the adoption of this update will have a material effect on its financial statements.

Fair Value Measurements

FASB ASC 820-10 “Fair Value Measurements and Disclosures”, is effective for financial assets and liabilities in fiscal years beginning after November 15, 2007, and for non-financial assets and liabilities in fiscal years beginning after November 15, 2008. The Company adopted FASB ASC 820-10 for financial assets and liabilities with no material impact to the consolidated financial statements. The Company is currently evaluating the potential impact of the application of FASB ASC 820-10 on the non-financial assets and liabilities found on its consolidated financial statements. FASB ASC 820-10 applies to all assets and liabilities that are being measured and reported on a fair value basis. FASB ASC 820-10 requires new disclosure that establishes a framework for measuring fair value in GAAP, and expands disclosure about fair value measurements. This statement enables the reader of the financial statements to assess the inputs used to develop those measurements by establishing a hierarchy for ranking the quality and reliability of the information used to determine fair values. The statement requires that assets and liabilities carried at fair value be classified and disclosed in one of the following three categories:

Level 1: Quoted market prices in active markets for identical assets or liabilities.

Level 2: Observable market based inputs or unobservable inputs that are corroborated by market data.

Level 3: Unobservable inputs that are not corroborated by market data.

In determining the appropriate levels, the Company performs a detailed analysis of the assets and liabilities that are subject to FASB ASC 820-10. At each reporting period, all assets and liabilities for which the fair value measurement is based on significant unobservable inputs are classified as Level 3.

F-7

ANTICUS INTERNATIONAL CORPORATION

(A DEVELOPMENT STAGE COMPANY)

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

MARCH 31, 2010

(EXPRESSED IN U.S. FUNDS)

(UNAUDITED)

2	Summary of significant accounting policies (continued)

Fair Value of Financial Instruments

The table below presents the carrying value and fair value of the Company’s financial instruments. The disclosure excludes leases.

The fair value represents management’s best estimates based on a range of methodologies and assumptions. The carrying value of receivables and payables arising in the ordinary course of business and the receivable from taxing authorities’ approximate fair value because of the relatively short period of time between their origination and expected realization.

	March 31, 2010				June 30, 2009
	Carrying Value		Estimated Fair Value		Carrying Value		Estimated Fair Value
Financial assets
Cash and cash equivalents	$	34,857	$	34,857	$	33,180	$	33,180
Receivable from taxing authorities		6,958		6,958		24,905		24,905

Financial liabilities
Accounts payable and accrued expenses	$	86,478	$	86,478	$	71,674	$	71,674
Loan payable-related party		200,000		200,000		0		0
Accrued interest on convertible debt		2,959		2,959		7,912		7,912
Convertible debentures		100,000		100,000		200,000		200,000

The convertible debenture and loans payable from related parties use significant unobservable inputs and thus are shown as Level 3 hierarchy items. The fair value of the convertible debentures is calculated by discounting the stream of future payments of interest and principal at the prevailing market rate for a similar liability that does not have an associated equity component. Results of discounted cash flow calculations may be adjusted, as appropriate, to reflect other market conditions or the perceived changes in credit risk of the borrower.

Industrial equipment

In October 2008, the Company purchased new industrial equipment for an amount of $27,391. It was not depreciated during the period ending March 31, 2010 as it was still not ready for its intended use.

F-8

ANTICUS INTERNATIONAL CORPORATION

(A DEVELOPMENT STAGE COMPANY)

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

MARCH 31, 2010

(EXPRESSED IN U.S. FUNDS)

(UNAUDITED)

4	Loans Payable- Related Party

On December 9, 2009, a loan of $100,000 was obtained from Primitive African Art Ltd, a shareholder of the Company. The terms of this loan are as per an agreement dated December 9, 2009, as follows:

Due date: December 9, 2010

Interest rate: 8% annually, payable at the due date

On March 25, 2010, a loan of $100 000 was obtained from Polygroupe SA, a shareholder of the Company. The terms of this loan are as per an agreement dated March 25, 2010, as follows:

Due date: March 25, 2011

Interest rate: 8% annually, payable at the due date

5	Capital stock

a)	Stock split

On August 19, 2004, the Company effected a 3:1 forward stock split. The issued and outstanding common stock after the split became 10,050,000. On November 18, 2004, the Company effected a 3:1 forward stock split; the issued and outstanding common stock after the split became 30,150,000. The authorized capital stock remained at 75,000,000 shares.

All references in the accompanying financial statements to the number of common shares and per-share amounts have been restated to reflect the forward stock split.

Common stock issuances

The authorized common stock of the Company consists of 75,000,000 shares of common stock with par value of $0.001.

On August 14, 2009, the Company sold 1,666,667 units of this offering for cash consideration of $100,000 and agreed to pay a financing fee of $6,000 for net proceeds of $94,000. The shares were not issued during the period ended September 30, 2009, and were recorded as subscriptions payable. On November 5, 2009, the Company issued 1,666,667 shares according to the terms of the offering. The transaction costs are reflected as a reduction of additional paid in capital.

All warrants related to this private placement have expired.

On February 14, 2010, a Convertible debenture for an amount of $100,000 was converted to 1,250,000 shares of common stock of the Company. The shares were issued during the period.

F-9

ANTICUS INTERNATIONAL CORPORATION

(A DEVELOPMENT STAGE COMPANY)

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

MARCH 31, 2010

(EXPRESSED IN U.S. FUNDS)

(UNAUDITED)

5	Capital stock (continued)

Stock options

The Company has three stock option plans. The first is the 2005 Employee/Consultants Stock Option Plan (“2005 Plan”), adopted on June 14, 2005. Under the plan, a committee of the Company’s board of directors is authorized to issue shares and grant incentive stock options, to a maximum of 3,000,000 shares of the issued and outstanding shares, to directors, employees and consultants of the Company entitling them to purchase common shares at a price per share determined by the committee. The plan expires on June 14, 2015. The second is the 2008 Stock Option Plan (“2008 Plan”), adopted on January 17, 2008. Under this plan, the Board of Directors or a committee appointed by the Board is authorized to issue shares and grant incentive stock options, to a maximum of 4,364,496 shares of the issued and outstanding shares, to directors, employees and consultants of the Company entitling them to purchase common shares at a price per share determined by the committee. The plan will terminate on the earlier of the date of the grant of the final share or option for the last share of common stock allocated under the plan or 5 years from the date thereof, whichever is earlier, and no shares or options will be granted thereafter pursuant to the plan.

The third is the 2010 Stock Option Plan (“2010 Plan”), adopted on March 26, 2010. Under this plan, the Board of Directors or a committee appointed by the Board is authorized to issue shares and grant incentive stock options, to a maximum of 5,000,000 shares of the issued and outstanding shares, to directors, employees and consultants of the Company entitling them to purchase common shares at a price per share determined by the committee. The plan will terminate on the earlier of the date of the grant of the final share or option for the last share of common stock allocated under the plan or 10 years from the date thereof, whichever is earlier, and no shares or options will be granted thereafter pursuant to the plan.

Compensation costs attributable to share options granted to employees, directors or consultants is measured at fair value at the grant date and expensed with a corresponding increase to additional paid-in capital.

On January 17, 2008, the Company agreed to grant options to directors, administrators and a special advisor totaling two million nine hundred thousand (2,900,000) options expiring January 17, 2013, exercisable at US$0.07, under the 2008 Plan.

On February 14, 2008, the Company agreed to grant a supplier four hundred thousand (400,000) stock options expiring February 28, 2011, exercisable at US$0.12, under the 2008 Plan.

On December 1, 2009, the Company agreed to grant Mr. Trudeau, an officer of the Company, a total of five hundred thousand (500,000) stock options expiring January 17, 2013, under the 2008 Plan, exercisable at US$0.07, said options to be vested immediately. The recognized compensation expense was valued at $7,500, which was charged to operations.

F-10

ANTICUS INTERNATIONAL CORPORATION

(A DEVELOPMENT STAGE COMPANY)

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

MARCH 31, 2010

(EXPRESSED IN U.S. FUNDS)

(UNAUDITED)

5	Capital stock (continued)

The following is a summary of the outstanding options:

	Number of shares		Weighted average exercise price
Outstanding June 30, 2009		3,300,000	$	0.09
Granted		500,000		0.07
Exercised		-
Cancelled		-
Outstanding December 31, 2009		3,800,000	$	0.087

The outstanding options can be exercised through January 17, 2013 at a price per share ranging from $0.07 to $0.12. 400,000 will expire on February 28, 2011, 2,900,000 options will expire on January 17, 2013, and 500,000 options will expire on January 17, 2013. The fair value of each option granted is estimated at the respective grant date using the Black-Scholes Option Module. The following assumptions were made in estimating fair value:

Expected volatility	181% ~ 443.71%
Expected life	365 to 1294 days
Risk-free interest rate	0.53 ~ 4.25%
Dividend yield		-

Warrants

On August 14, 2009, the Company accepted a private placement which included the issuance of 1,666,667 stock purchase warrants exercisable into common shares at $0.12 per share expiring on July 1, 2009. As the expiry date of the warrants was prior to the acceptance date of the subscription, no warrants were issued by the Company.

	Number of Warrants		Weighted average exercise Price per share		Weighted average remaining In contractual life (in years)
Balance, June 30 2008		571,429	$	0.12		0.125
Issued		6,666,668	$	0.12		0.012
Expired		571,429	$	0.12		-
Exercised		-		-		-
Balance, June 30, 2009		6,666,668	$	0.12		0.012
Issued		-	$	0.12
Expired		6,666,668	$	0.12
Exercised
Balance, March 31, 2010		-

F-11

ANTICUS INTERNATIONAL CORPORATION

(A DEVELOPMENT STAGE COMPANY)

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

MARCH 31, 2010

(EXPRESSED IN U.S. FUNDS)

(UNAUDITED)

6	Related Party

On June 18, 2008, the Company authorized a private placement to raise $800,000 through the issuance of a maximum of 13,333,334 common shares at $0.06 each. Each unit consists of one share of common stock at $0.06 per share, as well as one warrant exercisable at $0.12 USD per share no later than July 1, 2009. In July 2008, the Company sold 1,666,667 units of this offering for $100,000 USD to Pelsa Foundation; the Company subsequently sold a total of 5,000,001 units for total consideration of $300,000 USD to Primitive African Art, who purchased 1,666,667 units for $100,000 USD in November 2008 1,666,667 units for $100,000 USD February 2009, 1,666,667 units for $100,000 USD in April 2009, and in August 2009, the Company sold a total of 1,666,667 units for $100,000 USD to Farnworth Securities. The total funds raised from this offering as of the date of this report are $500,000, less financing costs totaling $30,000. Pelsa Foundation, Primitive African Art and Farnworth Securities have an officer in common with a director of Anticus, Mr. Henri Baudet. Mr. Baudet disclaims any voting control or beneficial ownership of Pelsa Foundation, Primitive African Art and Farnworth Securities. Further, the company to whom the financing costs were payable is a company of which 50% of the shares are owned by Mr. Baudet.

On October 16, 2009, a company controlled by a director of the Company, and as at November 17, 2009, an officer of the Company, entered into a contract with the Company to undertake the financial reporting and financial statement preparation for the Company.

On December 1, 2009, the Company granted five hundred thousand (500,000) options to Mr. Trudeau, the President and CEO of the Company, as part of his employment contract. These options were vested immediately and will expire on January 17, 2013 (Note 5).

On December 9, 2009, a loan of $100,000 was obtained from a shareholder of the Company (Note 4).

On March 25, 2010, a loan of $100,000 was obtained from a shareholder of the Company (Note 4).

7	Subsequent Events

Subsequent to the period covered by this report the Company received a request from a Convertible Note holder of the Company to convert a total of $100,000 to 1,250,000 shares of the common stock of the Company. The shares were issued on April 30, 2010. The Company has evaluated subsequent events from the balance sheet date through May 7, 2010, the date in which the financial statements were available to be issued and determined that there are no items that require disclosure.

F-12

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULT OF OPERATION

Forward-Looking Statements

This current report contains forward-looking statements relating to future events or our future financial performance. In some cases, you can identify forward-looking statements by terminology such as "may", "should", "intends", "expects", "plans", "anticipates", "believes", "estimates", "predicts", "potential", or "continue" or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, uncertainties and other factors which may cause our or our industry's actual results, levels of activity or performance to be materially different from any future results, levels of activity or performance expressed or implied by these forward-looking statements.

Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity or performance. You should not place undue reliance on these statements, which speak only as of the date that they were made. These cautionary statements should be considered with any written or oral forward-looking statements that we may issue in the future. Except as required by applicable law, including the securities laws of the United States, we do not intend to update any of the forward-looking statements to conform these statements to actual results, later events or circumstances or to reflect the occurrence of unanticipated events.

In this report unless otherwise specified, all dollar amounts are expressed in United States dollars and all references to “common shares” refer to the common shares of our capital stock.

The management’s discussion and analysis of our financial condition and results of operations are based upon our financial statements, which have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP").

As used in this current report and unless otherwise indicated, the terms “we”, “us”, the “Company” and “Anticus” refer to Anticus International Corporation.

General Overview

Anticus International Corporation (the “Company”, “we”, “us”, “our” or “Anticus”) was incorporated on May 1, 2002 under the laws of the State of Nevada, and has a fiscal year end of June 30. The Company has been in the development stage since its formation and has not realized any revenues from its planned operations. Anticus International Corporation has never declared bankruptcy, has never been in receivership, and has never been involved in any legal action or proceedings.

After a number of unsuccessful attempts to complete acquisitions, effective April 20, 2006, we acquired a worldwide exclusive license to the microbiological process known as “ProlactisTM” from Michel Deblois Technologies Inc., Costal, Inc. and Redal, Inc. by way of the issuance of two million one hundred thousand (2,100,000) common shares of our Company. On October 3, 2006, we issued a further one million five hundred thousand common shares (1,500,000) at a deemed price $0.18 per share to the licensors to waive any and all conditions contained in the license agreement and obtain a clear license to ProlactisTM subject only to payment of a royalty of four percent (4%) of all gross sales to Redal, Inc. and the exclusive right by Redal, Inc. to supply the proprietary components of the systems, at fair market value to be agreed between Anticus and Redal, Inc.

We hold an exclusive license to the microbiological process known as “ProlactisTM”. The process provides for the bioconversion of lactose and other simple sugars into high protein biomass, literally transforming waste and by-products into water and yeast to be used in animal nutrition. The ProlactisTM process bioreactor is patent-protected in Poland (WYN: (11) 198449) and has entered national phase examination in the US (US 20050037452, 23/09/2004 10/488110) and in Canada (PCT/CA2002/001404- 2458671 A1). On November 25, 2009, a notice was received which confirmed acceptance by the examiners for the Canadian patent. The additional know-how and improvements to the process are left out of the patent since they are considered trade secrets. Patenting fees are covered by the Company through its licensing agreement with Redal Inc., while patents remain with the inventors.

The ProlactisTM process provides, through the use of a novel type of bioreactor, for the microbial bioconversion of lactose and other fermentable carbohydrates (sugars), into a high quality protein biomass, literally transforming certain food production waste and by-products into both water and a commercially desirable yeast called Kluyveromyces marxianus. The ProlactisTM process was developed by Jacques Goulet, Ph.D., Agr, President of Costal Inc. and professor at Laval University in Quebec City, Quebec, Canada, by Michel Deblois, President of Michel Deblois Technologies Inc. and engineer, and by Lucien Pomerleau, M.Sc., Agr., and President of Redal, Inc. The yeast strain generated by this process as part of the Company’s license, is Kluyveromyces marxianus, and the remaining water effluent is suitable for simple disposal into municipal wastewater systems.

The Company has completed the proof of concept and the initial testing of the ProlactisTM process using whey permeate as the raw material. The next developmental stage is to build and operate a semi-industrial plant (single reactor) for final pre-commercialization testing. This scale-up from the current pilot plant will allow the company to carry out, among other things, the comprehensive optimization of the various production parameters so as to maximize yields and establish the complete quality assurance program for the end product(s). This semi-industrial unit will also function as a technological showcase.

On August 8, 2008, Green Yeast Canada Inc. (Levure Verte Canada Inc. in French) was incorporated under the Canada Business Corporations Act, with a registered office in Quebec, and is a wholly owned subsidiary of Anticus. The purpose of Green Yeast Canada Inc. is to undertake research & development activities and operations in Canada. We commenced these activities effective January 1, 2010, We intend to change the name of our Company to Green Yeast Corporation at some time in the future. Our website, www.greenyeast.com, refers to Anticus International Corporation’s operations as undertaken by Green Yeast Canada Inc., in addition to information on the Company. Information provided on our website, however, is not part of this report and is not incorporated herein.

Principal Products and Services and their Markets

The ProlactisTM Process for Yeast Production.

ProlactisTM

The very essence of this process relies on the ability of yeasts to capture and assimilate certain components present in liquid agrifood production effluents. The main chemical elements required are carbon and nitrogen in forms which yeast can metabolize in order to propagate. Several types of such industrial effluents contain either nitrogen or carbon or both. Those by-products have little or no value and may even represent a serious and costly disposal problem. However, yeast manufactured using these raw materials can be marketed ‘as is’ or used as base for subsequent extraction of strategic compounds. For the latter scenario, value depends on the level of technology involved and can lead to end uses as diverse as animal health/nutrition and human pharmaceuticals.

The process itself for an individual ‘reactor’ consists in inoculating a tower with a yeast strain which adheres and fully coats the internal surfaces within 10 to 12 days. Thereafter, nutrients are directly fed, on a 24/7 basis, to the yeast by continuous gentle dispersion of whey or other relevant carbohydrate sources from the top of the tower. As the liquid flows downward, key nutrients are absorbed by the yeast cells which then multiply by mitosis and fall by gravity into the collecting system at the bottom of the reactor. The yeast cells are subsequently separated using centrifugation or another suitable method. Generally, the resulting concentration of yeast is around 3%, with variations being a function of the raw material supplied. The remaining post-separation liquid is an aqueous effluent of low COD (Chemical Oxygen Demand - which is a measure of the level of this type of pollutant in the effluent), the reduction ranging from 65% to 95% of the original levels.

Principles of yeast manufacturing have been known for a long time. However, the combination of process and hardware licensed by the Company allows for the economical and efficient processing of ‘diluted’ raw materials. Until now, the industrial production of yeast is usually carried out on molasses which contain 4 to 10 times higher concentrations of carbon compounds than in the by-products suitable for the current system.

ProlactisTM Yeast

Yeast is commonly used in human and animal foods. The Saccharomyces cerevisiae yeast strain is very well known in breadmaking and in the production of alcohol. There are also hundreds of other yeast strains, with a limited number having commercial applications, such as the strain used in the ProlactisTM process (Kluyveromyces marxianus). Some of those are considered as useful and are used to manufacture yogurt, cheese, vinegar, etc. Basically, they all require carbon and nitrogen to reproduce but sources of these nutrients can be very different. For instance, bread yeast is propagated from cane or beet molasses (containing sucrose) but would not propagate on the type of sugar contained in milk (lactose), whereas our process will allow this. The exact yeast strain fixed in the bioreactor is chosen according to the specific end-product requirements.

The final product from our process can be either:

i)	Yeast Biomass – inactive Kluyveromyces marxianus in a variety of finished forms.

ii)

Yeast Fractions - autolysates and extracts, consisting of the intracellular contents of the yeast isolated following the lysis of the cells, with (or without) the cell-wall components. Traditionally, these fractions are considered as valuablenatural flavors, due to the levels of ribonucleic acid (RNA) which is a natural source of 5’GMP. Yeast extracts with natural nucleotides are well known to enhance taste in foods and also to increase feed intake in animals. Several recent studies have focused on the relationship between nucleotides and immune functions; the modulatory effects of yeast nucleotides on immunity have become increasingly attractive as a novel zootechnical strategy. As well, cell walls products can be used as adsorbents for alleviating the deleterious effects of mycotoxins in feed rations.

iii)	Probiotics – viable yeast in either fresh or dehydrated form.

The Markets for Yeast Products in General:

Potential markets are in the following areas:

·	Animal feed market

·	Pet food market

·	Food (flavor enhancement) and ingredients market

·	Probiotics market

Animal Feed Market:

The global market for animal feed additives has experienced substantial changes in recent years.

The world market for nutritional feed additives was valued at approximately $7.9 billion in 2004 by Thepoultrysite.com in July 2007 and is expected to reach US$15.4 billion in 2010 according to Animal Feed Additives: A global strategic business report published by Global Industry Analysts Inc. in June 2007. Major growth is expected in Asia, especially in China. Concurrently, South America and to a lesser extent Eastern Europe should contribute to further growth in this economic sector. The US and Western European markets however are expected to contribute less to the growth, due to generally declining livestock numbers and lower compound feed use in Europe.

Market growth for nutritional feed additives is mainly driven by the following trends:

a) Demographics

A growing population along with increasingly disposable income leads to significant growth in the demand for meat products. This effect is especially strong in the developing regions of South America and Asia. In these regions, a rising demand for meat goes along with a huge potential for improving feed efficiency in production. On the other hand, Japan, Europe and the USA have already generally reached a level of saturation. Here the market is shifting to more convenient and processed products. In general the market for meat products is driven by a higher demand for food quality.

b) Trend towards swine and poultry meats

A continuing trend leading to an increasing demand for pig and poultry products is expected to have a positive impact on the additives market growth, as these animal categories account for the major segments requiring the use of feed additives.

c) Ban of antibiotic-type growth promoters (AGP’s)

The EU has enacted a ban on the use of antibiotics as growth promoters in animal feed and the last remaining four such antibiotics have been phased out in January 2006. Consequently feed producers have to look for suitable alternatives. Currently, manufacturers of probiotics, prebiotics, organic acids and enzymes seek to offer acceptable alternative solutions. Therefore the ban on antibiotics in Western Europe, along with the fact that more Eastern European countries are accessing the EEU can be seen as key market drivers for the aforementioned additive segments. Major concerns about the negative effects of antibiotics in animal feed also have stimulated the market for alternatives in the USA.

d) Consumer preferences and concerns

Especially in developed regions, consumer preferences play an important role in the structure of the food animal industry. Therefore changes in the demand structure on the part of consumers constantly compel the industry to adapt. In recent years, consumers have pushed for a better level of quality and of safety in foods. Open discussions on the safety of some ingredients have contributed to opening the market for natural additives.

Besides the factors mentioned above, there are certain market constraints that are challenging the market for feed additives:

a) Outbreak of animal diseases

In recent years, the meat industry has been threatened by several outbreaks of animal diseases. Above all, the Asian influenza has challenged the industry the most and has become a global issue. Consumer concerns are reflected in reduced consumption of poultry meat and have led to a price drop in some regions. Additives manufacturers therefore have to face a decline in additive demand and eventually further pressure on product prices.

b) Price developments

Prices for almost all feed additives have dropped during the past few years. The reason for the dramatic price erosion can mainly be seen in an oversupply. Particularly, Chinese vitamin producers challenged the industry with very low prices. In certain segments, volume increases could not always compensate for the heavy price drops, and thus, the market value of some additives is now less than in previous years. In the future, prices in certain classes of additives will remain on their current low level or may continue to fall further.

c) Increase in raw material costs

Apart from falling prices, additives manufacturers were challenged by high raw material costs and therefore reported lower incomes from additive sales. In the market outlook this situation is not expected to improve much.

The animal health industry is responsible for maintaining the health and productivity of more than 3.3 billion livestock and 16 billion poultry worldwide, and ensuring the wholesomeness and abundance of the food they produce. Furthermore, the industry must cater to the health and well being of companion animals. Despite this, dollarwise the human healthcare market is significantly larger than the combined markets for all nonhuman species.

The reality is that the global animal health market is very complex, operating under increasingly stringent regulations similar to those for human health, in an increasingly risky environment for new product development, the difference between future success and failure usually lies in successfully identifying the next growth segment, developing the right product candidates and being the first to reach market. Despite all these risks, the industry continues to grow.

All in all, the above mentioned drivers and restraints will lead to a volume increase in nutritional feed additives, which might even outperform the market growth of compound feed. However, market growth in terms of revenue will be on a much lower rate at about 0.6% annually. Following such market development, the feed additives segment alone is expected to account for nearly $8.1 billion in 2010 according to Research and Markets.com Feed additive - A Global market analysis dated March 2006.

As well, the US government's interest in improving the health conditions of animals has become more prevalent, resulting in the animal feed additive industry becoming a fast growing market. For instance, a huge demand for the enxyme phytase was predicted and has been observed. This is a result of the Environmental Protection Agency's (EPA) concerns about excess chemical releases from the agricultural industry. Farmers are looking at reducing phosphate content in animal wastes. Thus, the most rapid growth is expected in the area of animal feed enzymes, led by phytase.

Pet Food Market:

In 2003, American pet owners spent nearly $30 billion on their small companions. Changing demographics, new lifestyle trends, and a shift in American attitudes toward pets have led to a significant increase in consumer expenditures in the past seven years. The maturing pet industry has been transformed into a dynamic, highly competitive environment.

It is estimated that 62% of households own pets. The most popular categories are dogs, cats, and freshwater fish. Pet foods, growing at an annual rate of almost 4%, will remain the largest segment of this market. In 2003, total expenditures on pet food were $13.97 billion. That segment was projected to increase to $16.70 billion by 2008 as per a market analysis of the US pet food industry by CBR of Univ. of Mass. Darthmouth 2007. Pet owners are themselves more health conscious and eating healthier human foods. The American population continues to focus on fitness, dieting, counting calories or carbohydrates, and fighting the aging process. The growing number of childless couples, singles living alone, and the baby boomers now becoming “empty nesters,” will boost the demand for pets. These pets are expected be treated like children and pet food will become a source of nutrition, taste, and happiness.

The US Pet Food Industry was estimated to be $17 billion in 2008. It is highly concentrated with seven companies accounting for 86% of the total market according to the same market analysis.

Food and Ingredient Market

Incorporating yeast extracts into foods provides several advantages.

1. Flavor enhancement. The background flavor of yeast extracts complements savory flavors. For example, baker's yeast extracts added at levels of 0.1% to 0.5% (as consumed) are commonly used to increase the brothy, meaty character of chicken or poultry in soups. Many cheese flavored products use brewer's yeast products to increase flavor impact and to provide a sharper, more aged flavor.

2. Sodium reduction. Yeast extracts can deliver increased salt perception. In particular, products containing significant levels of 5'-nucleotides can improve the flavor of low-salt products.

3. MSG alternative. The presence of 5'-nucleotides in some yeast extracts combined with the natural glutamic acid content found in many foods can eliminate the need for added semi-synthetic MSG in formulations. This synergy allows for a decrease in the level of glutamic acid through the presence of 5'-nucleotides at low levels, resulting in a more intense flavor profile.

4. Natural ingredient statements. Yeast extracts fit the definition of natural flavors as described by the FDA. Recent labeling regulations will require that yeast extracts be labeled by their common and usual name "yeast extract." The labeling of an ingredient as "yeast extract" is viewed as more acceptable than MSG and/or hydrolyzed vegetable protein, based on the natural association of yeast with food products.

5. Cost reduction. Levels of more expensive natural ingredients, such as natural flavors, cheeses and meat extracts can be reduced or replaced via the use of yeast extracts.

Human Probiotics Market:

Probiotics have been in existence for many years. However, it is only relatively recently that their wide-ranging potential health benefits have been properly appreciated, and that research has been undertaken to confirm their efficacy.

Within the EEU, the dairy sector is the most developed segment of this market, with probiotic yoghurts and fermented milks - particularly in “daily dose” format - being the most widely used. Consumer acceptance varies greatly across the region, with Northern European and Scandinavian countries – those having a long tradition of consuming fermented dairy products – the most developed market. Probiotic dietary supplements have been slow to gain acceptance, but new applications are emerging all the time.

In the US, the situation is reversed, with dietary supplements by far the most accepted product format. It is generally established that US consumers are far more willing to take supplements than their European counterparts, thus explaining the difference. Conversely, the US dairy probiotics market is relatively underdeveloped, as consumer-focused companies such as Danone and Yakult have invested less in breaking into the US market, though this trend appears to be changing rapidly.

Overall, probiotics represent a fast-growing market for functional foods manufacturers and suppliers, and manufacturers must make sure not to squander this significant potential by supporting a well thought-out strategy.

Product Distribution Methods

As the Company is not yet manufacturing a product in commercial quantities, a distribution method has not been comprehensively established. However, it is anticipated that as the product will be sold primarily to other downstream producers, who will be using the product as an additive or further refining it, then the product will be shipped in bulk by truck in appropriate containers required to maintain the product in a temperature-controlled and non-contaminated state.

Status Update on Products

Through the end of the current quarter ended March 31, 2010, additional work had been undertaken with regards to completing the engineering design on the pilot plant. Additionally, efforts were made in researching new markets for the yeast products, as well as researching potential higher value derivative products based on the yeast, including research on the viability of utilizing our product in swine health and nutrition. The Green Yeast GY-01 strain has been stabilized and thoroughly investigated at the bench scale, and culturing the yeast in pilot fermenters of various sizes has generated approximately 20 kg instead of the anticipated 50 kg. This was due to unexpected difficulties with the drying stages. Overall, key process variables and product quality parameters have been identified for future scale-up.

Competitive Business Conditions

Generally speaking, the human nutrition market is seen as more lucrative than the animal nutrition market albeit on smaller volumes. However, suppliers in the human sector must comply with very strict and expensive regulations with regards to the safety and efficacy of the products. The origin and control of raw materials may influence a new product’s acceptability for the human market. As an example, a raw material that is stored under unsanitary conditions will not be accepted for the production of human-grade yeast. Acceptable substrates would be for instance, off-spec batches of beer, of soft drinks and of course most milk products.

Confirmation of the validity of the product for use as food processing ingredient has been obtained. On the other hand our development efforts are currently directed towards animal health/nutrition applications. At the moment, no official request has been filed to pursue human nutraceutical applications.

Since yeasts contain up to 50% protein on a dry basis, they can be sold as protein supplements in animal nutrition. However, margins are weak in this segment because the overall supply of commodities such as corn, soy, canola and other protein sources is relatively cheap. In order to add significant value, other unique characteristics must be emphasized. Potential buyers such as feed manufacturers have a sound understanding of the various yeast advantages, for instance as a supply of key nutrients in animal nutrition: essential amino acids, nucleotides, cell wall components, vitamins and minerals. Moreover, a number of refereed scientific publications describe the benefits of yeasts on animal growth and on immune status. In the EEU, ‘probiotic’ yeasts are being touted as alternatives to the use of antibiotic-type growth promoters in various animal species.

It is reasonable to forecast an increase in demand for a ‘clean’ protein source - yeast - in animal health/nutrition. Factors behind this trend include the growing preoccupation of the average consumer towards publicized phenomena such as the overuse of antibiotics in food animal production and infectious outbreaks such as mad cow disease. Policy changes and progressively implemented restrictions are likely to further help the introduction of new types of probiotic yeasts and their derivatives.

Up until now, the feed yeast market has been dominated by Saccharomyces cerevisiae, the yeast also known for bread-making, wine and beer fermentations. Major players have focused their efforts towards the development of new products from that very Saccharomyces such as selenium- or chromium-enriched yeasts. In certain cases, producers have routinely channeled into the animal feed market those manufactured yeast lots which did not fully meet requirements for clients in human nutrition.

It is our approach to identify the unique characteristics of our own yeast strain, and target those downstream manufacturers who are presently using alternative yeast varieties, or those who could benefit from the addition of yeast to their products. In many instances, we can identify the unique characteristics of the Kluyveromyces strain which we manufacture, and we can offer a cost effective alternative to Saccharomyces products. Upon establishing a market for our strain, we will be one of just a small number of global producers of this yeast.

Currently there are at least two known producers of Kluyveromyces, based in Europe, one selling into certain niche yeast markets, and the other selling savory ingredients for the aroma and flavoring industry. Our unique production method, and very low cost raw material supply, will position the Company as highly competitive against these other producers.

Raw Materials

Various raw materials for this process are available in large volumes around the world, but in the current context those of greater interest are: milk by-products (whey permeates and derivatives), and expired or defective batches of beers and soft drinks. Such materials contain carbon, are generally of high quality, and in many instances cause environmental problems upon disposal. Depending on the circumstances, it is often possible to source these materials at no cost or to charge the point of origin to solve their disposal issue.

It is an understatement that the current regulatory situation does require more and more initiatives designed to alleviate the environmental impact of agrifood production. Under such conditions, applying a new process to turn waste by-products into marketable value-added compounds and ingredients is an obvious step in the right direction.

Worldwide, more than 177 billion liters of cheese whey were produced annually in 2007 as per the IDF Symposium Lactose and derivatives held in Moscow in May 2007. Less than 40% of that amount is transformed into whey powder. In Québec alone, cheese production generates 1.2 billion liters of liquid whey, a figure which represents more than half of the overall Canadian production.

In 2013, the world production of beer is forecasted to have an annual volume of 162.3 billion liters, according to Beer:Global Industry Datamonitor Inc. February 2008. Assuming losses of 1% (returns and missed lots) we can estimate the available volumes to be more than 1.6 billion liters. The annual worldwide consumption of sparkling sodas in 2005 was more than 194 billion liters.

The main suppliers are very diverse, and potentially include all major manufacturers of cheese, beer and sparkling sodas, in Quebec and neighboring regions.

Key whey producers in North America:

-	More than 20 cheese plants: Lactalis, Kraft, Parmalat, Saputo, Agropur as per Dairy Foods August 2007

-	Some Quebec mid-size companies; Chalifoux, Perron, St-Laurent, Boivin

Recent Corporate Developments

The Company continues to pursue its goals of commercializing the ProlactisTM microbiological process.

To meet this requirement, the Company is planning to build an expanded pre-production line, which will have a bioreactor capable of producing the 500 kilogram testing orders. This line will have all the supporting separators and drying systems and can be further expanded by installing additional bioreactors as order levels increase.

In June 2008, the Company entered into an agreement with Redal, Inc, to construct a bioreactor capable of the larger sample quantities required. The cost was $27,391. The equipment is now completed and in storage until the support equipment required can be purchased. Once we have the necessary supporting equipment for our larger capacity bio-reactor, we will require approximately 12 weeks to activate the reactor for production.

On April 16, 2009, we entered into an agreement with Technologies Biofermec Inc. to produce 50 kilos of two Kluyveromyces yeast products: (i) Active yeast and (ii) Autolyzed & Hydrolyzed inactive yeast. Goals for this research production are: (1) To better understand the growth parameters of the strain K.marxianus GY-01 (2) To define and establish the parameters for process control and QC during fermentation (3) To optimize the growth medium for K.marxianus GY-01 by using key nutritional additives (4) To optimize the production of inoculums (5) To define and validate the fed-batch and chemostat modes of propagation (6) To produce and dehydrate the two types of yeast products (7) To perform thorough analysis and valuation of the two yeast products. The cost of this research was budgeted at $26,000, for which funds were expended from working capital.

As of the end of December 2009, we received a final report and the project is slightly over budget but has been proceeding on schedule. As of March 12, 2010 we initiated, as a continuation of the original research, a new SR&ED project with Biofermec. The main goal of this project is to produce:

A.	3 ~ 4 kilos per day of KM yeast powder in BATCH propagation mode in order to optimize the product that was defined in previous experiments (in Part 1).

B.	3 ~ 4 kilos per day of KM yeast powder in CONTINUOUS propagation mode, according to the parameters that are recommended for the ProLactis® bioreactor.

C.	3 ~ 4 kilos per day of KM yeast powder in CONTINUOUS propagation mode, according to the parameters that are recommended for the ProLactis® bioreactor, and autolyzed at various degrees before drying.

As of the end of December 2009, we had initiated the application package for registering the yeast strain, which has been completed using new and supplementary analyses and was forwarded to the Canadian Food Inspection Agency (CFIA) in the 3rd week of January 2010. This will lead to the introduction of the products on the Canadian animal nutrition market, both for field trials and for commercial use.

On September 23, 2009, in order to further evaluate the potential markets for our products, a contract was signed with the CDPQ (Quebec Swine Development Council) in the amount of C$7,535 to carry out an analytical overview of existing scientific and technical literature on the value of Kluyveromyces yeast in swine health and nutrition, to select and study 20 papers (if applicable), and submit an itemized report. We received a detail report in February 2010 which includes a review and resume of the scientific and technical literature on the value of Kluyveromyces yeast in swine health and nutrition. We also started an analysis of what could be the next step toward the potential uses of KM into swine health and nutrition.

Subsequent to the Company being able to obtain the required financing for the pilot plant, the Company expects to be able to rapidly undertake the construction of the pilot plant, and, upon successful testing and operations, expects be in a position to generate initial revenues from the pilot operation. The Company has not yet been successful in raising the required financing for the pilot plant.

Additionally, the Company is continuing to seek out new markets for its products, as well as to secure stable sources of low cost raw materials. Efforts towards raising the capital required to fund current operations and business development plans are ongoing.

Liquidity and Capital Resources

As of March 31, 2010, the Company has $34,857 of cash on hand and a $6,958 receivable from taxation authorities, and anticipates requiring approximately $200,000 through the end of its current fiscal year to maintain current operations, and an estimated $1,400,000 to complete the development of the pre-industrial scale plant.The Company is looking into ways to reduce this cost by trying to acquire used equipment suitable for our needs and potentially leasing new or used equipment if available.

The Company will also require additional funds upon successful commencement of operations at the plant, for the purpose of working capital to fulfill orders, and to expand management and staffing. The amount and timing of additional funds required cannot be definitively stated as at the date of this report and will be dependent on a variety of factors, including the timing of if and when we are able to raise sufficient capital to complete our plant. As of the filing of this report, the Company has been successful in raising funds required to meet our current operations through equity financing and loans. However, the Company does not anticipate that it will have any significant revenues, if any at all, generated from its operations for the next 12 months, therefore the Company will be required to raise additional capital either by way of loans or equity to continue to maintain operations at the current level. The Company cannot confirm that we will be able to raise any additional capital to fund our ongoing operations.

The Company issued a total of $200,000 of non guaranteed convertible debentures, $100,000 on February 14, 2008 and $100,000 on April 29, 2008 , bearing interest at the rate of 8% per year, payable on the 30 of June and the 31 of December, and maturing on the second anniversary of their issuance date ($100,000) on February 14, 2010, and $100,000 on April 29 2010, respectively), such Debentures to be convertible at the option of the holder into common shares of the Company at a price of $0.08 per common share, subject to the right of the Company to force conversion if the common shares trade at a minimum price of $0.16 per common share for fifteen consecutive trading days. The cost of financing was $12,000. As of the date of this report, the first of the $100,000 convertible debentures was converted to 1,250,000 shares of common stock of the Company on February 14, 2010. Subsequent to the period covered by this report the Company received notification of the intent to convert the remaining $100,000 convertible debenture into a total of 1,250,000 shares. The shares have not been issued as of the date of this report. As of the filing date of this quarterly report, the Company is current on its interest payments.

On June 18, 2008, the Company authorized a private placement to raise Eight Hundred Thousand Dollars ($800,000 USD) through the issuance of a maximum of Thirteen Million Three Hundred Thirty-three Thousand and Three Hundred Thirty-four common shares (13,333,334) at $0.06 USD each. Each unit consists of one share of common stock at $0.06 USD per share, as well as one warrant exercisable at $0.12 USD per share no later than July 01, 2009.

To date the Company has raised a total of $500,000 pursuant to this private placement, less financing costs of $30,000. All warrants issued pursuant to the placements have expired. The funds raised by the placement have been used for general working capital. In addition, on December 9, 2009 and March 25, 2010 respectively, the Company entered into an agreement with two of its shareholders to receive loans of $100,000 each for a period of twelve months bearing interest at 8%. These funds are to be used for working capital.

The Company will not have sufficient working capital for the next twelve months of operations and will be required to raise further funds, either by way of equity, loans or a combination of both. There can be no assurance that additional financing will be available to us when needed or, if available, that it can be obtained on commercially reasonable terms. If we are not able to obtain the additional financing on a timely basis, we will not be able to meet our obligations as they become due and we will be forced to scale down or perhaps even cease the operation of our business.

There is substantial doubt about our ability to continue as a going concern as the continuation of our business is dependent upon successfully completing and operating the expandable plant so that we are able to demonstrate the commercial viability of our process and products. The issuance of additional equity securities by us could result in a significant dilution in the equity interests of our current stockholders. Obtaining loans, assuming any loans would be available, will increase our liabilities and future cash commitments.

Results of Operations

Comparison of the three month and nine month periods ended March 31, 2010 and 2009

During the three month period ended March 31, 2010, the Company had no revenues and experienced a net loss for the period of $116,652, as compared to no revenues and a net loss of $107,812 for the same period in the preceding year. The increase in the amount of the loss was largely attributable to an increase in research and development expenses, from $1,222 in 2009 to $32,553 in 2010, though offset by a decrease in general and administrative expenses from $99,794 in 2009 to $74,730 in 2010. The decrease in the amount spent on general and administration expenses in the current fiscal year is due to an effort by the Company to reduce costs in several different expense categories during a generally challenging economic time, while increasing its research and development efforts focused on bringing the Company’s technology closer to commercialization.

During the nine month period ended March 31, 2010, the Company had no revenues and experienced a net loss for the period of $357,100, as compared to no revenues and a net loss of $389,986 for the same period in the preceding year. The decrease in the amount of the loss was largely attributable to a decrease in general and administrative expenses from $366,415 in 2009 to $222,649 in 2010, though offset by an increase in research and development expenses and interest / penalties expense, from $2,453 and $17,657 in 2009 to $88,259 and $37,614 in 2010, respectively. These differences in the 9 month period were attributable to the same reasons noted for the three month comparison period with the additional interest being in line with additional interest bearing debt incurred towards the end of the previous period as opposed to have been outstanding for the whole current period.

Off-Balance Sheet Arrangements

We have no off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that are material to stockholders.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

The Company is a smaller reporting company and is not required to provide this information.

ITEM 4T.CONTROLS AND PROCEDURES

Evaluation of Disclosure Controls and Procedures

Evaluation of Disclosure Controls and Procedures Disclosure controls and procedures (as defined in Rule 13a-15(e) under the Exchange Act) are designed to ensure that information required to be disclosed in reports filed or submitted under the Exchange Act is recorded, processed, summarized, and reported within the time periods specified in rules and forms adopted by the Securities and Exchange Commission ("SEC"), and that such information is accumulated and communicated to management, including the Principal Executive Officer and Principal Financial Officer, to allow timely decisions regarding required disclosures. Under the supervision and with the participation of our management, including our Principal Executive Officer and Principal Financial Officer, we evaluated the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Rule 13a-15(e) under the Securities Exchange Act of 1934 (the "Exchange Act")). Based upon that evaluation, our Principal Executive Officer and Principal Financial Officer concluded that, as of the end of the period covered by this report, our disclosure controls and procedures were effective.

Changes in Internal Controls

On November 17, 2009, a director of the Company, Michel Plante, was appointed as Chief Financial Officer. Mr. Plante has substantial expertise in financial reporting, and one of his mandates is to work with the Company’s Chief Executive Officer, Mr. Trudeau, in remedying previously identified weaknesses in the effectiveness of our internal controls over financial reporting. In the intervening period through to March 31, 2010, substantial progress has been made in this regard despite the Company’s fiscal limitations. Specifically, our CFO is independently responsible for undertaking all accounting functions, with such work being reviewed by our CEO, providing for additional oversight. Furthermore, progress has been made in developing written policies and procedures for accounting and financial reporting, as well as implementation of controls over period end financial disclosures and reporting, which we believe to be sufficient to have addressed previously identified weaknesses in these areas. While the Company does not yet have an independent audit committee, it will continue to make efforts in establishing such a committee at such time as our resources permit. However, with the segregation of accounting duties and other progress made, management believes that as at March 31, 2010, our internal control over financial reporting are sufficient.

PART II – OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

The Company is not a party to any legal proceedings and is not aware of any pending legal proceedings as of the date of this Form 10-Q.

ITEM 1A. RISK FACTORS

The Company is a smaller reporting company and is not required to provide this information.

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

There were no sales of unregistered equity securities during the three month period ended March 31, 2010.

ITEM 3. DEFAULTS UPON SENIOR SECURITIES

Not Applicable

ITEM 4. (REMOVED AND RESERVED)

ITEM 5. OTHER INFORMATION

None

ITEM 6. EXHIBITS

3.1.1	Articles of Incorporation	Incorporated by reference to the Exhibits filed with the Company's Registration Statement on Form SB-2 filed with the Securities and Exchange Commission on December 18, 2003.
3.1.2	Amended Articles of Incorporation	Incorporated by reference to the Exhibits filed with the Company's Registration Statement on Form SB-2 filed with the Securities and Exchange Commission on December 18, 2003.
3.2.1	Bylaws	Incorporated by reference to the Exhibits filed with the Company's Registration Statement on Form SB-2 filed with the Securities and Exchange Commission on December 18, 2003.
3.2.2	Amended Bylaws	Incorporated by reference to the Exhibits attached to the Company’s Form 10-K as filed with the Securities and Exchange Commission on October 13, 2009.
10.1	Management Contract and November 2008 amendment between the Company and Daniel Trudeau	Incorporated by reference to the Exhibits attached to the Company’s Form 10-K as filed with the Securities and Exchange Commission on October 13, 2009.
10.2	Agreement - Work Proposal with Technologies Biofermec Inc. dated April 16, 2009, translation from the original agreement in French.	Incorporated by reference to the Exhibits attached to the Company's report on Form 10-Q filed with the Securities and Exchange Commission on May 15, 2009.
10.3	2008 Stock Compensation Plan	Incorporated by reference to the Exhibits attached to the Company’s Form 10-K as filed with the Securities and Exchange Commission on October 13, 2009.
10.4	Consulting Agreement between the Company and Michel Plante dated October 16, 2009	Incorporated by reference to the Exhibits attached to the Company's report on Form 10-Q filed with the Securities and Exchange Commission on February 12, 2010.

10.5	Employment Contract between the Company and Daniel Trudeau dated December 1, 2009	Incorporated by reference to the Exhibits attached to the Company's report on Form 10-Q filed with the Securities and Exchange Commission on February 12, 2010.
10.6	2010 Stock Option and Stock Award Plan	Incorporated by reference to the Company’s Definitive Information Statement 14-C as filed with the Securities and Exchange Commission on March 4, 2010.
31.1	Section 302 Certification - Principal Executive Officer	Filed herewith
31.2	Section 302 Certification - Principal Financial Officer	Filed herewith
32.1	Certification Pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002	Filed herewith
32.2	Certification Pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002	Filed herewith

SIGNATURES

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

		ANTICUS INTERNATIONAL CORPORATION


Date:	May 10, 2010	By:	/s/ Daniel Trudeau
		Name:	Daniel Trudeau
		Title:	President (Principal Executive Officer)

Date:	May 10, 2010	By:	/s/ Michel Plante
		Name:	Michel Plante
		Title:	Chief Financial Officer, Secretary (Principal Financial Officer)

ANTICUS INTERNATIONAL CORP 10-Q