<!doctype html public "-//IETF//DTD HTML//EN">
<HTML>
<HEAD>
<TITLE>ABLEAUCTIONS</TITLE>
<META NAME="author" CONTENT="Eli Straker">
<META NAME="date" CONTENT="03/31/2008">
</HEAD>
<BODY style="line-height:12pt; font-family:Times New Roman; font-size:10pt; color:#000000">
<DIV style="width:720px"><P style="line-height:14pt; margin:0px; font-size:12pt" align=center><B>UNITED STATES</B></P>
<P style="line-height:14pt; margin:0px; font-size:12pt" align=center><B>SECURITIES AND EXCHANGE COMMISSION</B></P>
<P style="line-height:14pt; margin:0px; font-size:12pt" align=center><B>Washington, DC &nbsp;20549</B></P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin:0px; font-size:12pt" align=center><B>FORM 8-K</B></P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin-top:0px; margin-bottom:16px; font-size:12pt" align=center><B>CURRENT REPORT</B></P>
<P style="line-height:14pt; margin:0px; font-size:12pt" align=center>Pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934</P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin:0px; font-size:12pt">Date of Report (Date of earliest event reported): &nbsp;March 31, 2008</P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin:0px; font-size:12pt" align=center><B>ABLEAUCTIONS.COM, INC.</B></P>
<P style="line-height:14pt; margin:0px; font-size:12pt" align=center>(Exact name of Registrant as specified in charter)</P>
<P style="margin-top:14.667px; margin-bottom:3.667px"><BR></P>
<P style="margin-top:14.667px; margin-bottom:3.667px"><BR></P>
<P style="line-height:13pt; margin-top:14.667px; margin-bottom:-17.333px; font-size:11pt"><B>Florida</B></P>
<P style="line-height:13pt; margin-top:0px; margin-bottom:-17.333px; text-indent:240px; font-size:11pt"><B>000-28179</B></P>
<P style="line-height:13pt; margin-top:0px; margin-bottom:3.667px; text-indent:432px; font-size:11pt"><B>59-3404233</B></P>
<P style="line-height:11pt; margin-top:0px; margin-bottom:-14.667px; font-size:9pt" align=justify>(State or other jurisdiction</P>
<P style="line-height:11pt; margin-top:0px; margin-bottom:-14.667px; text-indent:192px; font-size:9pt" align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Commission File Number)</P>
<P style="line-height:11pt; margin:0px; text-indent:432px; font-size:9pt" align=justify>(IRS Employer </P>
<P style="line-height:11pt; margin-top:0px; margin-bottom:-14.667px; font-size:9pt" align=justify>of incorporation)</P>
<P style="line-height:11pt; margin:0px; text-indent:432px; font-size:9pt" align=justify>Identification Number)</P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin:0px; font-size:12pt" align=center><B>Suite 2000 - 1963 Lougheed Highway</B></P>
<P style="line-height:14pt; margin:0px; font-size:12pt" align=center><B>Coquitlam, British Columbia Canada</B></P>
<P style="line-height:14pt; margin:0px; font-size:12pt" align=center>(Address of principal executive offices)</P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin:0px; font-size:12pt">Registrant&#146;s telephone number, including area code: &nbsp;604-521-3369</P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR>
<BR></P>
<P style="line-height:14pt; margin:0px; font-size:12pt; page-break-before:always">This Form 8-K and other reports filed by the Registrant from time to time with the Securities and Exchange Commission (collectively the &#147;Filings&#148;) contain forward looking statements and information that are based upon beliefs of, and information currently available to, the Registrant&#146;s management as well as estimates and assumptions made by the Registrant&#146;s management. &nbsp;When used in the Filings the words &#147;anticipate&#148;, &#147;believe&#148;, &#147;estimate&#148;, &#147;expect&#148;, &#147;future&#148;, &#147;intend&#148;, &#147;plan&#148; or the negative of these terms and similar expressions as they relate to the Registrant or the Registrant&#146;s management identify forward looking statements. &nbsp;Such statements reflect the current view of the Registrant with respect to future events and are subject to risks, uncertainties, assumptions and other factors relating to the Registrant&#146;s industry, operations and results of operations and any businesses that may be acquired by the Registrant. &nbsp;Should one or more of these risks or uncertainties materialize, or should the underlying assumptions prove incorrect, actual results may differ significantly from those anticipated, believed, estimated, expected, intended or planned.</P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin-top:0px; margin-bottom:-18.667px; font-size:12pt"><B>Item 12.</B></P>
<P style="line-height:14pt; margin:0px; text-indent:96px; font-size:12pt"><B>Results of Operations and Financial Condition.</B></P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin-top:0px; margin-bottom:16px; padding-left:96px; font-size:12pt" align=justify>On March 31, 2008, the Registrant announced financial results for the year ended December 31, 2007. &nbsp;A copy of the press release is attached hereto as an exhibit.</P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin-top:0px; margin-bottom:-18.667px; font-size:12pt"><B>Item 7.</B></P>
<P style="line-height:14pt; margin:0px; text-indent:96px; font-size:12pt"><B>Financial Statements and Exhibits.</B></P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin-top:0px; margin-bottom:-18.667px; text-indent:96px; font-size:12pt">99.1 </P>
<P style="line-height:14pt; margin:0px; text-indent:144px; font-size:12pt">Press Release</P>
<P style="margin:0px"><BR></P>
<A NAME="node2"></A><P style="line-height:14pt; margin-top:16px; margin-bottom:16px; font-size:12pt" align=center><B>SIGNATURES</B></P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin:0px; font-size:12pt">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 hereunto duly authorized.</P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin:0px; font-size:12pt"><B>ABLEAUCTIONS.COM, INC.</B></P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin:0px; font-size:12pt"><I>Abdul Ladha</I></P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin:0px; font-size:12pt">Abdul Ladha, Chief Executive Officer </P>
<P style="line-height:14pt; margin:0px; font-size:12pt">Dated: &nbsp;March 31, 2008</P>
<P style="margin-top:14.667px; margin-bottom:3.667px" align=right><BR>
<BR></P>
<P style="line-height:13pt; margin-top:14.667px; margin-bottom:3.667px; font-size:11pt; page-break-before:always" align=right>Exhibit 99</P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin-top:16px; margin-bottom:4px; font-size:12pt" align=center><B>PRESS RELEASE</B></P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<P style="margin:0px">ABLEAUCTIONS ANNOUNCES 2007 FINANCIAL RESULTS </P>
<P style="line-height:14pt; margin:0px; font-size:12pt">&nbsp;</P>
<P style="line-height:20pt; margin-top:0px; margin-bottom:16px; font-size:12pt">OJAI, CALIFORNIA &#150; March 31, 2008 &#150; Ableauctions.com Inc. &nbsp;(AMEX:AAC) (the &#147;Company&#148;) announced today the results of operations for the year ended December 31, 2007. &nbsp;</P>
<P style="line-height:20pt; margin-top:0px; margin-bottom:16px; font-size:12pt"><U>FINANCIAL SUMMARY:</U></P>
<P style="line-height:20pt; margin-top:0px; margin-bottom:16px; font-size:12pt">The Company reported revenue of $4,938,918 for the year ended December 31, 2007 compared to $6,243,865 for the year ended December 31, 2006, a decrease of 21% from the previous year. </P>
<P style="line-height:20pt; margin-top:0px; margin-bottom:16px; font-size:12pt">The Company reported a net loss of $693,258 or $(0.011) per share for the year ended December 31, 2007 compared to net income of $167,233 or $0.003 per share in 2006. &nbsp;The loss for the year ended December 31, 2007 is attributed to a write-down of inventory in the amount of $163,415, depreciation in the amount of $194,737, and a write-down of $225,111 to accounts receivable primarily due to the bankruptcy of an auction house located in the U.S. &nbsp;</P>
<P style="line-height:20pt; margin-top:0px; margin-bottom:16px; font-size:12pt">Shareholders&#146; equity, defined as the carrying amount of the Company&#146;s assets minus its liabilities, increased to $14,012,307 at December 31, 2007 from $12,890,232 at December 31, 2006. &nbsp;</P>
<P style="line-height:20pt; margin-top:0px; margin-bottom:16px; font-size:12pt"><U>MANAGEMENT&#146;S REVIEW OF RESULTS:</U></P>
<P style="line-height:20pt; margin-top:0px; margin-bottom:16px; font-size:12pt">Commenting on the 2007 results, Abdul Ladha, President and Chief Executive Officer of Ableauctions.com Inc. said, &quot;We have maintained profitability over the last several years as result of prudent management and innovative approaches to enhancing our business model. &nbsp;&nbsp;This year, while our shareholders equity has grown, we have incurred an operating loss of $693,258. &nbsp;This loss can be attributed to two main factors; the downturn in the general economy of the United States and the shift in our investment strategy.</P>
<P style="line-height:20pt; margin-top:0px; margin-bottom:16px; font-size:12pt">We derive most of our revenues, both from our liquidation and auction broadcast services, from the United States. &nbsp;Revenues from our liquidation sector dropped sharply, by 27%, in 2007 as our existing and potential customers remained conservative in their spending, especially in the fourth quarter, as the United States economy struggled and continues to be challenged in the near term. &nbsp;Revenues from our auction broadcast services, iCollector and NAALive, remained substantially unchanged despite a significant loss incurred from the insolvency of an auction house located in the U.S.</P>
<P style="line-height:20pt; margin-top:0px; margin-bottom:16px; font-size:12pt">We are adjusting accordingly and concentrating on prudent capital management while retaining a focus on building new revenue streams, maintaining cutting-edge technological capabilities, and developing our Canadian based projects.</P>
<P style="line-height:20pt; margin-top:0px; margin-bottom:16px; font-size:12pt">In an effort to expand our business, we develop real estate and make short term loans. &nbsp;The returns on our investments, real property development and lending help to support the development of our liquidation and auction businesses, including the development of new technologies for use by our on-line businesses. &nbsp;In 2007, we realized lower investment income as we shifted the focus of our investment portfolio from loans and securities, which tend to have shorter return cycles, to real-estate development projects, which have longer return cycles. &nbsp;In the absence of a shift in investment strategy, we may have realized greater investment income that could have offset some of the losses from operations we experienced during the 2007 fiscal year. &nbsp;However, we believe that income from our development projects will be greater over time. &nbsp;</P>
<P style="line-height:20pt; margin-top:0px; margin-bottom:16px; font-size:12pt">On a positive note, we have recently seen an increase in activity on a number of new opportunities we have been pursuing over the last few years. &nbsp;We also expect revenue in 2009 to quadruple to over $20 million from our real-estate development projects in British Columbia if we are able to successfully complete the development of our properties. &nbsp;We have added a number of key individuals to our operations to assist us in further developing and executing our business strategy in the U.S. and Canada and we believe that we are well positioned and have sufficient capital resources to survive the economic downturn.&#148;</P>
<P style="line-height:20pt; margin-top:0px; margin-bottom:16px; font-size:12pt"><U>FINANCIAL DETAILS:</U></P>
<P style="line-height:20pt; margin-top:0px; margin-bottom:16px; font-size:12pt">The Company reported revenue of $4,938,918 for the year ended December 31, 2007 compared to $6,243,865 for the year ended December 31, 2006, a decrease of 21% from the previous year. &nbsp;Due to the downturn in the U.S. economy, the Company experienced a 27% decrease in revenue from its liquidation services. &nbsp;Revenues from the Company&#146;s liquidation services totaled $3,574,616 during the 2007 fiscal year as compared to $4,917,198 during the 2006 fiscal year. &nbsp;Revenue from the Company&#146;s auction operations, iCollector and NAALive, remained substantially unchanged. &nbsp;</P>
<P style="line-height:20pt; margin-top:0px; margin-bottom:16px; font-size:12pt" align=justify>The decrease in liquidation services revenue, which currently accounts for approximately 72% of the Company&#146;s total revenue, is the result of a decrease in demand for liquidation inventory from top retailers in the U.S. &nbsp;In order to weather the loss of revenues during the economic downturn, the Company has implemented strong cost controls in order to reduce recurring operating expenditures and is considering ways in which it might expand its operations in order to supplement revenue. &nbsp;If the U.S. economy does not experience a significant recovery during the 2008 fiscal year, the Company expects that its operations will continue to be adversely affected.</P>
<P style="line-height:20pt; margin-top:0px; margin-bottom:16px; font-size:12pt" align=justify>The Company reported gross profit of $1,958,697 or 40% of total revenue for the year ended December 31, 2007, compared to $2,375,466 or 38% of total revenue for the year ended December 31, 2006. &nbsp;&nbsp;The marginal increase in gross profit as a percentage of revenue is a result of improvements in the pricing and product offerings of its liquidation operations. &nbsp;The increase also reflects the performance of the Company&#146;s higher-profit auction broadcasting services group, the growth of which outperformed the growth of the liquidation services groups during the fiscal year ended December 31, 2007. </P>
<P style="line-height:20pt; margin-top:0px; margin-bottom:16px; font-size:12pt">The Company&#146;s overall operating expenses for the year remained substantially unchanged. The Company&#146;s operating expenses totalled $2,994,064, or 61% of net revenues for the year ended December 31, 2007 as compared to $2,816,617, or 45% of net revenues for the year ended December 31, 2006. &nbsp;As a percentage of revenues, operating expenses increased significantly due to the decrease in revenue experienced in 2007. &nbsp;Management believes that the implementation of cost controls in order to reduce recurring operating expenditures and any expansion of its operations may result in increased revenue, which would improve the ratio of operating expenses to revenues. &nbsp;</P>
<P style="line-height:20pt; margin-top:0px; margin-bottom:16px; font-size:12pt">The Company reported a net loss of $693,258 or $(0.011) per share for the year ended December 31, 2007 compared to net income of $167,233 or $0.003 per share in 2006. &nbsp;The loss for the year ended December 31, 2007 is attributed to a write-down of inventory in the amount of $163,415, depreciation in the amount of $194,737, and a write-down of $225,111 to accounts receivable primarily due to the bankruptcy of an auction house located in the U.S. &nbsp;</P>
<P style="line-height:20pt; margin-top:0px; margin-bottom:16px; font-size:12pt">Shareholders&#146; equity, defined as the carrying amount of the Company&#146;s assets minus its liabilities, increased to $14,012,307 at December 31, 2007 from $12,890,232 at December 31, 2006. &nbsp;</P>
<P style="margin:0px; font-family:Verdana" align=justify>About Ableauctions.com </P>
<P style="margin:0px; font-family:Verdana">Ableauctions.com Inc. (AMEX &#147;aac&#148;) is a high-tech liquidator and on-line auction facilitator that operates the domains <I>iCollector.com</I>, <I>Naalive.com </I>and <I>Unlimited Closeouts.com</I>. &nbsp;</P>
<P style="margin:0px"><BR></P>
<P style="margin:0px; font-family:Verdana">As an on-line auction facilitator, the Company, with the experience of over 3,000 auctions, has developed state-of-the-art technology to broadcast auctions over the Internet (<FONT style="color:#0000FF"><U>www.ableauctions.com/technology</U></FONT>) and currently provides the technology and related services to auction houses, enabling them to broadcast auctions over the Internet. &nbsp;The Company broadcasts business and industrial auctions over the Internet for auctioneers and members of the National Auctioneers Association (NAA) and art, antique and collectible auctions for numerous galleries and auction houses around the world through eBay Live Auctions.</P>
<P style="margin:0px"><BR></P>
<P style="margin:0px; font-family:Verdana">As a liquidator, the Company, through Unlimited Closeouts, purchases overstocks, order cancellations and discontinued products from major manufacturers and importers, then sells the merchandise to major retail chains, other resellers or the public. &nbsp;</P>
<P style="margin:0px"><BR></P>
<P style="margin:0px; font-family:Verdana"><I>For a comprehensive Corporate Update and prior releases, visit </I><FONT style="color:#0000FF"><I><U>www.ableauctions.com</U></FONT>. &nbsp;For more information, contact Investor Relations at </I><FONT style="color:#0000FF"><I><U>investorrelations@ableauctions.com</FONT></U></I></P>
<P style="margin:0px"><BR></P>
<P style="line-height:normal; margin:0px; font-family:Verdana; font-size:7pt">This press release contains forward-looking statements, particularly as related to, among other things, the business plans of the Company, statements relating to goals, plans and projections regarding the Company's financial position and the Company's business strategy. The words or phrases &quot;would be,&quot; &quot;will allow,&quot; &quot;intends to,&quot; &quot;may result,&quot; &quot;are expected to,&quot; &quot;will continue,&quot; &quot;anticipates,&quot; &quot;expects,&quot; &quot;estimate,&quot; &quot;project,&quot; &quot;indicate,&quot; &quot;could,&quot; &quot;potentially,&quot; &quot;should,&quot; &quot;believe,&quot; &quot;considers&quot; or similar expressions are intended to identify &quot;forward-looking statements.&quot; These forward-looking statements fall within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934 and are subject to the safe harbor created by these sections. Actual results could differ materially from those projected in the forward-looking statements as a result of a number of risks and uncertainties. Such forward-looking statements are based on current expectations, involve known and unknown risks, a reliance on third parties for information, transactions or orders that may be cancelled, and other factors that may cause our actual results, performance or achievements, or developments in our industry, to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from anticipated results include risks and uncertainties related to the performance of our staff, management, financing, competition, on-line auction business, our ability to implement or manage our expansion strategy, general economic conditions, our ability to license our software to other auction houses, our ability to acquire profitable companies and integrate them into our business successfully and other factors that are detailed in our Annual Report on Form 10-KSB and on documents we file from time-to-time with the Securities and Exchange Commission. Statements made herein are as of the date of this press release and should not be relied upon as of any subsequent date. The Company cautions readers not to place undue reliance on such statements. The Company does not undertake, and the Company specifically disclaims any obligation, to update any forward-looking statements to reflect occurrences, developments, unanticipated events or circumstances after the date of such statement. Actual results may differ materially from the Company's expectations and estimates. The Company does not realize nor book the full revenue of auctions that it facilitates in its financials, only the net auction fees, that can vary from time-to-time, that it realizes.<FONT style="font-size:12pt"> </FONT></P>
<P style="margin:0px"><BR></P>
<P style="margin:0px" align=center><BR></P>
<P style="margin:0px; page-break-before:always" align=justify><BR></P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin:0px; font-family:Arial; font-size:12pt" align=center><B>ABLEAUCTIONS.COM, INC.</B></P>
<P style="margin:0px" align=center><BR></P>
<P style="line-height:14pt; margin:0px; font-family:Arial; font-size:12pt" align=center><B>CONSOLIDATED BALANCE SHEET</B></P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin:0px; font-family:Arial; font-size:12pt" align=center><B>DECEMBER 31, 2007</B></P>
<P style="margin:0px"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0 align=center><TR height=0 style="font-size:0"><TD width=383.533></TD><TD width=15.733></TD><TD width=102></TD><TD width=18></TD><TD width=91.333></TD><TD width=9.733></TD></TR>
<TR><TD style="border-top:1px solid #000000" valign=top width=383.533><P>&nbsp;</P></TD><TD style="border-top:1px solid #000000" valign=top colspan=5><P style="margin:0px; font-family:Arial" align=justify>DECEMBER 31</P>
</TD></TR>
<TR><TD valign=top width=383.533><P>&nbsp;</P></TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P>&nbsp;</P></TD></TR>
<TR><TD style="border-bottom:1px solid #000000" valign=top width=383.533><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=15.733><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=102><P style="margin:0px; font-family:Arial" align=center>2007</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top colspan=2><P style="margin:0px; font-family:Arial" align=center>2006</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; padding-right:19.533px; font-family:Arial">ASSETS</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px"><BR></P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px"><BR></P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; font-family:Arial">Current</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px"><BR></P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px"><BR></P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; padding-left:22.8px; font-family:Arial">Cash and cash equivalents</P>
</TD><TD valign=top width=15.733><P style="margin:0px; font-family:Arial">$</P>
</TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>1,594,657&nbsp;</P>
</TD><TD valign=top width=18><P style="margin:0px; font-family:Arial" align=right>$</P>
</TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>1,004,558&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; padding-left:22.8px; font-family:Arial">Accounts receivable &#150; trade, net of allowance </P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>888,199&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>1,406,250&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; padding-left:22.8px; font-family:Arial">Employee receivable</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>298,464&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>30,514&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; padding-left:22.8px; font-family:Arial">Mortgages and loans receivable</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>1,009,846&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>4,092,852&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; padding-left:22.8px; font-family:Arial">Inventory</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>817,448&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>860,643&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; padding-left:22.8px; font-family:Arial">Prepaid expenses</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>37,055&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>47,849&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; padding-left:22.8px; font-family:Arial">Notes receivable </P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=15.733><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=102><P style="margin:0px; font-family:Arial" align=right>&nbsp;-&nbsp;</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>1,931&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P>&nbsp;</P></TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>4,645,669&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>7,444,597&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P>&nbsp;</P></TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; font-family:Arial">Other receivable</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>215,067&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>99,961&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; font-family:Arial">Deposits</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>388,212&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>&nbsp;-&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; font-family:Arial">Intangible Asset</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>355,759&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>430,534&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; font-family:Arial">Property and Equipment</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>3,183,055&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>2,857,322&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; font-family:Arial">Property Held for Development</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>4,124,221&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>1,455,031&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; font-family:Arial">Investment in Joint Venture</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>1,507,403&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>1,237,269&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P>&nbsp;</P></TD><TD style="border-top:1px solid #000000" valign=top width=15.733><P>&nbsp;</P></TD><TD style="border-top:1px solid #000000" valign=top width=102><P>&nbsp;</P></TD><TD style="border-top:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-top:1px solid #000000" valign=top colspan=2><P>&nbsp;</P></TD></TR>
<TR><TD style="border-bottom:3px double #000000" valign=top width=383.533><P>&nbsp;</P></TD><TD style="border-bottom:3px double #000000" valign=top width=15.733><P style="margin:0px; font-family:Arial">$</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=102><P style="margin:0px; font-family:Arial" align=right>14,419,386&nbsp;</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=18><P style="margin:0px; font-family:Arial" align=right>$&nbsp;</P>
</TD><TD style="border-bottom:3px double #000000" valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>13,524,714&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; font-family:Arial">LIABILITIES</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; font-family:Arial">Current</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; padding-left:22.8px; font-family:Arial">Accounts payable and accrued liabilities</P>
</TD><TD valign=top width=15.733><P style="margin:0px; font-family:Arial">$</P>
</TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>398,629&nbsp;</P>
</TD><TD valign=top width=18><P style="margin:0px; font-family:Arial" align=right>$&nbsp;</P>
</TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>85,788&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; padding-left:22.8px; font-family:Arial">Deferred revenue</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>8,450&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>-&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; padding-left:22.8px; font-family:Arial">Bank loan </P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=15.733><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=102><P style="margin:0px; font-family:Arial" align=right>&nbsp;-&nbsp;</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>548,694&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=15.733><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=102><P style="margin:0px; font-family:Arial" align=right>407,079&nbsp;</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>634,482&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; font-family:Arial">STOCKHOLDERS&#146; EQUITY </P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P>&nbsp;</P></TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; font-family:Arial">Capital Stock</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; padding-left:22.8px; font-family:Arial">Authorized:</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; padding-left:46.8px; font-family:Arial">&nbsp;100,000,000 common shares with a par value of $0.001</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; padding-left:22.8px; font-family:Arial">Issued and outstanding:</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; padding-left:52.8px; font-family:Arial">65,348,009 common shares at December 31, 2007</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; padding-left:52.8px; font-family:Arial">62,406,834 common shares at December 31, 2006</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>65,348&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>62,406&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; padding-left:22.8px; font-family:Arial">Additional paid-in capital</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>37,881,636&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>37,319,119&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; font-family:Arial">Deficit</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>(25,380,855)</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>(24,687,597)</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; font-family:Arial">Accumulated Other Comprehensive Income </P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>2,115,740&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>196,304&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; font-family:Arial">Treasury Stock, at cost (2007: 3,585,376 shares)</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=15.733><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=102><P style="margin:0px; font-family:Arial" align=right>(669,562)</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>&nbsp;-&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=15.733><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=102><P style="margin:0px; font-family:Arial" align=right>14,012,307&nbsp;</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>12,890,232&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=383.533><P style="margin:0px; font-family:Arial">Contingent Liabilities</P>
</TD><TD valign=top width=15.733><P>&nbsp;</P></TD><TD valign=top width=102><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top colspan=2><P>&nbsp;</P></TD></TR>
<TR><TD style="border-bottom:3px double #000000" valign=top width=383.533><P style="margin:0px; font-family:Arial">Commitments</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=15.733><P style="margin:0px; font-family:Arial">$</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=102><P style="margin:0px; font-family:Arial" align=right>14,419,386&nbsp;</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=18><P style="margin:0px; font-family:Arial" align=right>$&nbsp;</P>
</TD><TD style="border-bottom:3px double #000000" valign=top colspan=2><P style="margin:0px; font-family:Arial" align=right>13,524,714&nbsp;</P>
</TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<P style="margin:0px; font-family:Arial">Approved By The Directors:</P>
<P style="margin-top:0px; margin-bottom:-16px; font-family:Arial"><U>&#147;Abdul Ladha&#148;</U></P>
<P style="margin:0px; text-indent:336px; font-family:Arial"><U>&#147;Barrett Sleeman&#148;</U></P>
<P style="margin:0px" align=center><BR></P>
<P style="margin:0px" align=center><BR></P>
<P style="margin:0px; font-family:Arial" align=center>The accompanying notes are an integral part of these consolidated financial statements<B> </B></P>
<P style="margin:0px" align=center><BR></P>
<P style="margin:0px" align=center><BR></P>
<P style="margin:0px" align=center><BR></P>
<P style="margin:0px" align=center><BR>
<BR></P>
<P style="margin:0px; page-break-before:always" align=justify><BR></P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin:0px; font-family:Arial; font-size:12pt" align=center><B>ABLEAUCTIONS.COM, INC.</B></P>
<P style="margin:0px" align=center><BR></P>
<P style="line-height:14pt; margin:0px; font-family:Arial; font-size:12pt" align=center><B>CONSOLIDATED STATEMENT OF OPERATIONS</B></P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin:0px; font-family:Arial; font-size:12pt" align=center><B>DECEMBER 31, 2007</B></P>
<P style="margin:0px"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0 align=center><TR height=0 style="font-size:0"><TD width=384></TD><TD width=18></TD><TD width=102></TD><TD width=18></TD><TD width=101.067></TD></TR>
<TR><TD style="border-top:1px solid #000000" valign=top width=384><P>&nbsp;</P></TD><TD style="border-top:1px solid #000000" valign=top colspan=4><P style="margin:0px; padding-left:16.8px; font-family:Arial" align=justify>YEAR ENDED DECEMBER 31</P>
</TD></TR>
<TR><TD valign=top width=384><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P>&nbsp;</P></TD></TR>
<TR><TD style="border-bottom:1px solid #000000" valign=top width=384><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=102><P style="margin:0px; font-family:Arial" align=center>2007</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=101.067><P style="margin:0px; font-family:Arial" align=center>2006</P>
</TD></TR>
<TR><TD valign=top width=384><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px"><BR></P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P style="margin:0px"><BR></P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; font-family:Arial">Net Revenues</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px"><BR></P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P style="margin:0px"><BR></P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; padding-left:22.8px; font-family:Arial">Sales &amp; Commissions</P>
</TD><TD valign=top width=18><P style="margin:0px; font-family:Arial">$</P>
</TD><TD valign=bottom width=102><P style="margin:0px; font-family:Arial" align=right>4,938,918&nbsp;</P>
</TD><TD valign=top width=18><P style="margin:0px; font-family:Arial">$</P>
</TD><TD valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>6,243,865&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; font-family:Arial">Cost of Revenues</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=102><P style="margin:0px; font-family:Arial" align=right>2,980,221&nbsp;</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>3,868,399&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; font-family:Arial">Gross Profit</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>1,958,697&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>2,375,466&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; font-family:Arial">Investment Income</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=102><P style="margin:0px; font-family:Arial" align=right>397,977&nbsp;</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>541,006&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=384><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=102><P style="margin:0px; font-family:Arial" align=right>2,356,674&nbsp;</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>2,916,472&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; font-family:Arial">Operating Expenses</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P>&nbsp;</P></TD><A NAME="OLE_LINK6"></A></TR>
<TR><TD valign=top width=384><P style="margin:0px; padding-left:22.8px; font-family:Arial">Accounting and legal</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>124,973&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>151,174&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; padding-left:22.8px; font-family:Arial">Advertising and promotion</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>60,990&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>109,491&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; padding-left:22.8px; font-family:Arial">Automobile and travel</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>77,056&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>99,103&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; padding-left:22.8px; font-family:Arial">Bad debts</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>225,111&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>12,664&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; padding-left:22.8px; font-family:Arial">Commission</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>423,564&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>863,736&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; padding-left:22.8px; font-family:Arial">Depreciation and amortization of fixed assets</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>194,737&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>180,504&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; padding-left:22.8px; font-family:Arial">Insurance</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>37,615&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>32,326&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; padding-left:22.8px; font-family:Arial">Interest</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>52,012&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>33,786&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; padding-left:22.8px; font-family:Arial">Investor relations and shareholder information</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>111,906&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>28,690&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; padding-left:22.8px; font-family:Arial">Management fees, salaries and benefits</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>1,243,207&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>992,017&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; padding-left:22.8px; font-family:Arial">Office and administration</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>112,821&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>107,968&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; padding-left:22.8px; font-family:Arial">Rent, utilities and maintenance</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>170,070&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>84,711&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; padding-left:22.8px; font-family:Arial">Telephone and internet</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=102><P style="margin:0px; font-family:Arial" align=right>160,002&nbsp;</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>120,447&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=102><P style="margin:0px; font-family:Arial" align=right>2,994,064&nbsp;</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>2,816,617&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; font-family:Arial">(Loss) from Operations</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=102><P style="margin:0px; font-family:Arial" align=right>(637,390)</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>99,855&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; font-family:Arial">Other Items</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; padding-left:22.8px; font-family:Arial">Foreign exchange gain (Loss) </P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>(67,221)</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>42,660&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; padding-left:22.8px; font-family:Arial">Share of net income of joint venture</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=bottom width=102><P style="margin:0px; font-family:Arial" align=right>11,353&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>&nbsp;-&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; padding-left:22.8px; font-family:Arial">Loss on sale of Asset</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>-&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>(1,413)</P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; padding-left:22.8px; font-family:Arial">Gain on sale of property held for development</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>-&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>26,131&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P>&nbsp;</P></TD><TD style="border-top:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-top:1px solid #000000" valign=top width=102><P style="margin:0px; font-family:Arial" align=right>(55,868)</P>
</TD><TD style="border-top:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-top:1px solid #000000" valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>67,378&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P>&nbsp;</P></TD><TD style="border-top:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-top:1px solid #000000" valign=top width=102><P>&nbsp;</P></TD><TD style="border-top:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-top:1px solid #000000" valign=top width=101.067><P>&nbsp;</P></TD></TR>
<TR><TD style="border-bottom:3px double #000000" valign=top width=384><P style="margin:0px; font-family:Arial">(Loss) for the Year</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=18><P style="margin:0px; font-family:Arial">$</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=102><P style="margin:0px; font-family:Arial" align=right>(693,258)</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=18><P style="margin:0px; font-family:Arial">$</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>167,233&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; padding-left:22.8px; text-indent:-22.8px; font-family:Arial">Basic (loss) Earnings per Share</P>
</TD><TD valign=top width=18><P style="margin:0px; font-family:Arial">$</P>
</TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>(0.011)</P>
</TD><TD valign=top width=18><P style="margin:0px; font-family:Arial">$</P>
</TD><TD valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>0.003&nbsp;</P>
</TD></TR>
<TR><TD style="border-bottom:3px double #000000" valign=top width=384><P style="margin:0px; padding-left:22.8px; text-indent:-20.533px; font-family:Arial">Diluted (loss) Earnings per Share</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=18><P style="margin:0px; font-family:Arial">$</P>
</TD><TD style="border-bottom:3px double #000000" valign=bottom width=102><P style="margin:0px; font-family:Arial" align=right>(0.011)</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=18><P style="margin:0px; font-family:Arial">$</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>0.003&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=bottom width=102><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; font-family:Arial">Weighted Average Number of Shares Outstanding:</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=384><P style="margin:0px; padding-left:22.8px; text-indent:-22.8px; font-family:Arial">Basic</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=102><P style="margin:0px; font-family:Arial" align=right>63,775,539&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>62,406,834&nbsp;</P>
</TD></TR>
<TR><TD style="border-bottom:3px double #000000" valign=top width=384><P style="margin:0px; padding-left:22.8px; text-indent:-20.533px; font-family:Arial">Diluted</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:3px double #000000" valign=top width=102><P style="margin:0px; font-family:Arial" align=right>63,775,539&nbsp;</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:3px double #000000" valign=top width=101.067><P style="margin:0px; font-family:Arial" align=right>62,406,834&nbsp;</P>
</TD></TR>
</TABLE>
<P style="margin:0px" align=justify><BR></P>
<P style="margin:0px; font-family:Arial" align=center>The accompanying notes are an integral part of these consolidated financial statements.</P>
<P style="margin:0px" align=center><BR>
<BR></P>
<P style="margin:0px; page-break-before:always" align=justify><BR></P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin:0px; font-family:Arial; font-size:12pt" align=center><B>ABLEAUCTIONS.COM, INC.</B></P>
<P style="margin:0px" align=center><BR></P>
<P style="line-height:14pt; margin:0px; font-family:Arial; font-size:12pt" align=center><B>CONSOLIDATED STATEMENT OF COMPREHENSIVE (LOSS) INCOME</B></P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin:0px; font-family:Arial; font-size:12pt" align=center><B>DECEMBER 31, 2007</B></P>
<P style="margin:0px" align=justify><BR></P>
<P style="margin:0px" align=justify><BR></P>
<TABLE style="font-size:10pt" cellspacing=0 align=center><TR height=0 style="font-size:0"><TD width=390></TD><TD width=18></TD><TD width=96></TD><TD width=18></TD><TD width=114></TD></TR>
<TR><TD style="border-top:1px solid #000000" valign=top width=390><P>&nbsp;</P></TD><TD style="border-top:1px solid #000000" valign=top colspan=4><P style="margin:0px; padding-left:16.8px; font-family:Arial">YEAR ENDED DECEMBER 31</P>
</TD></TR>
<TR><TD valign=top width=390><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=114><P>&nbsp;</P></TD></TR>
<TR><TD style="border-bottom:1px solid #000000" valign=top width=390><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=96><P style="margin:0px; font-family:Arial" align=center>2007</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=114><P style="margin:0px; font-family:Arial" align=center>2006</P>
</TD></TR>
<TR><TD valign=top width=390><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px"><BR></P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=114><P style="margin:0px"><BR></P>
</TD></TR>
<TR><TD valign=top width=390><P style="margin:0px; font-family:Arial">(Loss) Income for the Year</P>
</TD><TD valign=top width=18><P style="margin:0px; font-family:Arial">$</P>
</TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>(693,258)</P>
</TD><TD valign=top width=18><P style="margin:0px; font-family:Arial">$</P>
</TD><TD valign=top width=114><P style="margin:0px; font-family:Arial" align=right>167,233&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=390><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=114><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=390><P style="margin:0px; font-family:Arial">Other Comprehensive Income (Loss), net of tax</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=114><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=390><P style="margin:0px; padding-left:22.8px; font-family:Arial">Foreign currency translation adjustments</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=96><P style="margin:0px; font-family:Arial" align=right>1,919,436&nbsp;</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=114><P style="margin:0px; font-family:Arial" align=right>(154,180)</P>
</TD></TR>
<TR><TD valign=top width=390><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=114><P>&nbsp;</P></TD></TR>
<TR><TD style="border-bottom:3px double #000000" valign=top width=390><P style="margin:0px; font-family:Arial">Consolidated Comprehensive Income </P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=18><P style="margin:0px; font-family:Arial">$</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=96><P style="margin:0px; font-family:Arial" align=right>1,226,178&nbsp;</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=18><P style="margin:0px; font-family:Arial">$</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=114><P style="margin:0px; font-family:Arial" align=right>13,053&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=390><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=114><P>&nbsp;</P></TD></TR>
<TR><TD style="border-bottom:3px double #000000" valign=top width=390><P style="margin:0px; font-family:Arial">Basic and Diluted Comprehensive Earnings per Share</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=18><P style="margin:0px; font-family:Arial">$</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=96><P style="margin:0px; font-family:Arial" align=right>0.019&nbsp;</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=18><P style="margin:0px; font-family:Arial">$</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=114><P style="margin:0px; font-family:Arial" align=right>0.000&nbsp;</P>
</TD></TR>
</TABLE>
<P style="margin:0px" align=center><BR></P>
<P style="margin:0px" align=center><BR></P>
<P style="margin:0px; font-family:Arial" align=center>The accompanying notes are an integral part of these consolidated financial statements.</P>
<P style="margin:0px" align=center><BR></P>
<P style="margin:0px" align=justify><BR></P>
<P style="margin:0px" align=center><BR>
<BR></P>
<P style="margin:0px; page-break-before:always" align=justify><BR></P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin:0px; font-family:Arial; font-size:12pt" align=center><B>ABLEAUCTIONS.COM, INC.</B></P>
<P style="margin:0px" align=center><BR></P>
<P style="line-height:14pt; margin:0px; font-family:Arial; font-size:12pt" align=center><B>CONSOLIDATED STATEMENT OF CASH FLOWS</B></P>
<P style="margin:0px"><BR></P>
<P style="line-height:14pt; margin:0px; font-family:Arial; font-size:12pt" align=center><B>DECEMBER 31, 2007</B></P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0 align=center><TR height=0 style="font-size:0"><TD width=414></TD><TD width=18></TD><TD width=90></TD><TD width=18></TD><TD width=96></TD></TR>
<TR><TD style="border-top:1px solid #000000" valign=top width=414><P>&nbsp;</P></TD><TD style="border-top:1px solid #000000" valign=top colspan=4><P style="margin:0px; padding-left:4.8px; font-family:Arial" align=justify>YEAR ENDED DECEMBER 31</P>
</TD></TR>
<TR><TD valign=top width=414><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P>&nbsp;</P></TD></TR>
<TR><TD style="border-bottom:1px solid #000000" valign=top width=414><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=90><P style="margin:0px; font-family:Arial" align=center>2007</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=96><P style="margin:0px; font-family:Arial" align=center>2006</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; font-family:Arial">Cash Flows from Operating Activities</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px"><BR></P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px"><BR></P>
</TD><A NAME="OLE_LINK7"></A></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:22.8px; font-family:Arial">(Loss) Income for the year from continuing operations</P>
</TD><TD valign=top width=18><P style="margin:0px; font-family:Arial">$</P>
</TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>(693,258)</P>
</TD><TD valign=top width=18><P style="margin:0px; font-family:Arial">$</P>
</TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>167,233&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:22.8px; font-family:Arial">Non-cash items included in net loss:</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:46.8px; font-family:Arial">Depreciation and amortization</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>194,737&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>180,504&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:46.8px; font-family:Arial">Stock-based compensation</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>37,224&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>51,848&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:46.8px; font-family:Arial">Loss on sale of asset</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>&nbsp;-&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>1,413&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:46.8px; font-family:Arial">Joint Venture Income</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>(11,353)</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:46.8px; font-family:Arial">Gain on sale of property held for development</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=90><P style="margin:0px; font-family:Arial" align=right>&nbsp;-&nbsp;</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=96><P style="margin:0px; font-family:Arial" align=right>(26,131)</P>
</TD></TR>
<TR><TD valign=top width=414><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>(472,650)</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>374,867&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:22.8px; font-family:Arial">Changes in operating working capital items:</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:46.8px; font-family:Arial">(Increase) Decrease in accounts receivable</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>599,478&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>143,317&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:46.8px; font-family:Arial">(Increase) Decrease in inventory</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>126,418&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>406,134&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:46.8px; font-family:Arial">(Increase)Decrease in prepaid expenses</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>13,256&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>220,509&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:58.8px; text-indent:-12px; font-family:Arial">Decrease in marketable securities</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>&nbsp;-&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>3,091,017&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:58.8px; text-indent:-12px; font-family:Arial">(Increase) Decrease in employee receivable</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>(256,902)</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>(30,514)</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:58.8px; text-indent:-12px; font-family:Arial">Increase (Decrease) in accounts payable and accrued liabilities</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=bottom width=90><P style="margin:0px; font-family:Arial" align=right>221,939&nbsp;</P>
</TD><TD valign=bottom width=18><P>&nbsp;</P></TD><TD valign=bottom width=96><P style="margin:0px; font-family:Arial" align=right>6,400&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:46.8px; font-family:Arial">Increase (Decrease) in deferred revenue</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>7,188&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>&nbsp;-&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=414><P>&nbsp;</P></TD><TD style="border-top:1px solid #000000; border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-top:1px solid #000000; border-bottom:1px solid #000000" valign=top width=90><P style="margin:0px; font-family:Arial" align=right>238,727&nbsp;</P>
</TD><TD style="border-top:1px solid #000000; border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-top:1px solid #000000; border-bottom:1px solid #000000" valign=top width=96><P style="margin:0px; font-family:Arial" align=right>4,211,730&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; font-family:Arial">Cash Flows from Investing Activities</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:22.8px; font-family:Arial">Purchase of property and equipment, net</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>(34,267)</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>(28,882)</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; text-indent:22.8px; font-family:Arial">Purchase of property held for development</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>(1,816,545)</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>(92,133)</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; text-indent:22.8px; font-family:Arial">Proceeds from sale of property held for development</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>-</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>322,134&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:22.8px; font-family:Arial">Loan advances</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>(186,464)</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>(3,017,522)</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:22.8px; font-family:Arial">Loan repayments</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>3,420,332&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>1,080,139&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:22.8px; font-family:Arial">Investment in intangible assets</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>-&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>(127,634)</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:22.8px; font-family:Arial">Investment in joint venture</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>-&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>&nbsp;&nbsp;&nbsp;(1,237,269)</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:22.8px; font-family:Arial">Other receivables</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>(82,977)</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>(99,961)</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:22.8px; font-family:Arial">Deposits</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>(361,435)</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>&nbsp;-&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:22.8px; font-family:Arial">Note receivable</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=90><P style="margin:0px; font-family:Arial" align=right>&nbsp;1,931&nbsp;</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=96><P style="margin:0px; font-family:Arial" align=right>3,237&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=414><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=90><P style="margin:0px; font-family:Arial" align=right>940,575&nbsp;</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=96><P style="margin:0px; font-family:Arial" align=right>(3,197,891)</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; font-family:Arial">Cash Flows from Financing Activities</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:22.8px; font-family:Arial">Proceed from bank loan</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>-&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>548,694&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:22.8px; font-family:Arial">Repayment of Bank Loan</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>(548,694)</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>(1,395,349)</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:22.8px; font-family:Arial">Exercise of stock options</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>-&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>36,000&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; padding-left:22.8px; font-family:Arial">Proceeds from issuance of capital stock, net</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>528,235&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; text-indent:22.8px; font-family:Arial">Purchase of treasury stock</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=90><P style="margin:0px; font-family:Arial" align=right>(669,562)</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=96><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=414><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=90><P style="margin:0px; font-family:Arial" align=right>(690,021)</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=96><P style="margin:0px; font-family:Arial" align=right>(810,655)</P>
</TD></TR>
<TR><TD valign=top width=414><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P>&nbsp;</P></TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; font-family:Arial">Effect of Exchange Rates on Cash</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>100,818&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>(154,180)</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; font-family:Arial">Change in Cash and Cash Equivalents for the Year</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=90><P style="margin:0px; font-family:Arial" align=right>489,281&nbsp;</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD valign=top width=96><P style="margin:0px; font-family:Arial" align=right>203,184&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=414><P style="margin:0px; font-family:Arial">Cash and Cash Equivalents, Beginning Of Year</P>
</TD><TD valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=90><P style="margin:0px; font-family:Arial" align=right>1,004,558&nbsp;</P>
</TD><TD style="border-bottom:1px solid #000000" valign=top width=18><P>&nbsp;</P></TD><TD style="border-bottom:1px solid #000000" valign=top width=96><P style="margin:0px; font-family:Arial" align=right>955,554&nbsp;</P>
</TD></TR>
<TR><TD style="border-bottom:3px double #000000" valign=top width=414><P style="margin:0px; font-family:Arial">Cash and Cash Equivalents, End of Year</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=18><P style="margin:0px; font-family:Arial">$</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=90><P style="margin:0px; font-family:Arial" align=right>1,594,657&nbsp;</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=18><P style="margin:0px; font-family:Arial">$</P>
</TD><TD style="border-bottom:3px double #000000" valign=top width=96><P style="margin:0px; font-family:Arial" align=right>1,004,558&nbsp;</P>
</TD></TR>
</TABLE>
<P style="margin:0px" align=justify><BR></P>
<P style="margin:0px; font-family:Arial" align=justify><B>Supplemental Disclosures With Respect To Cash Flows</B> (Note 13)</P>
<P style="margin:0px" align=center><BR></P>
<P style="margin:0px" align=justify><BR></P>
<P style="margin:0px; font-family:Arial" align=center>The accompanying notes are an integral part of these consolidated financial statements</P>
<P style="margin:0px" align=center><BR>
<BR></P>
</DIV><DIV style="width:864px"><P style="margin:0px; page-break-before:always" align=justify><BR></P>
<P style="margin:0px" align=justify><BR></P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR>
<BR></P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
</DIV></BODY>
<!-- EDGAR Validation Code: 55EE00F6 -->
</HTML>
[{"type": "8-K", "sequence": "1", "filename": "f478kfinancialresults10k2007.htm", "description": "FORM 8-K FINANCIAL RESULTS AS AT MARCH 31, 2008", "secsgml_size_bytes": 86387}]
{"company-data": {"conformed-name": "ABLEAUCTIONS COM INC", "cik": "0001099290", "assigned-sic": "7389", "irs-number": "593404233", "state-of-incorporation": "FL", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "8-K", "act": "34", "file-number": "001-15931", "film-number": "08725330"}, "business-address": {"street1": "1963 LOUGHEED HIGHWAY", "city": "COQUITLAM", "state": "A1", "zip": "V3K 3T8", "phone": "604-521-3369"}, "mail-address": {"street1": "1963 LOUGHEED HIGHWAY", "city": "COQUITLAM", "state": "A1", "zip": "V3K 3T8"}}
ABLEAUCTIONS
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC  20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported):  March 31, 2008
ABLEAUCTIONS.COM, INC.
(Exact name of Registrant as specified in charter)
Florida
000-28179
59-3404233
(State or other jurisdiction
(Commission File Number)
(IRS Employer
of incorporation)
Identification Number)
Suite 2000 - 1963 Lougheed Highway
Coquitlam, British Columbia Canada
(Address of principal executive offices)
Registrant's telephone number, including area code:  604-521-3369
This Form 8-K and other reports filed by the Registrant from time to time with the Securities and Exchange Commission (collectively the "Filings") contain forward looking statements and information that are based upon beliefs of, and information currently available to, the Registrant's management as well as estimates and assumptions made by the Registrant's management.  When used in the Filings the words "anticipate", "believe", "estimate", "expect", "future", "intend", "plan" or the negative of these terms and similar expressions as they relate to the Registrant or the Registrant's management identify forward looking statements.  Such statements reflect the current view of the Registrant with respect to future events and are subject to risks, uncertainties, assumptions and other factors relating to the Registrant's industry, operations and results of operations and any businesses that may be acquired by the Registrant.  Should one or more of these risks or uncertainties materialize, or should the underlying assumptions prove incorrect, actual results may differ significantly from those anticipated, believed, estimated, expected, intended or planned.
Item 12.
Results of Operations and Financial Condition.
On March 31, 2008, the Registrant announced financial results for the year ended December 31, 2007.  A copy of the press release is attached hereto as an exhibit.
Item 7.
Financial Statements and Exhibits.
99.1
Press Release
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 hereunto duly authorized.
ABLEAUCTIONS.COM, INC.
Abdul Ladha
Abdul Ladha, Chief Executive Officer
Dated:  March 31, 2008
Exhibit 99
PRESS RELEASE
ABLEAUCTIONS ANNOUNCES 2007 FINANCIAL RESULTS
OJAI, CALIFORNIA – March 31, 2008 – Ableauctions.com Inc.  (AMEX:AAC) (the "Company") announced today the results of operations for the year ended December 31, 2007.
FINANCIAL SUMMARY:
The Company reported revenue of $4,938,918 for the year ended December 31, 2007 compared to $6,243,865 for the year ended December 31, 2006, a decrease of 21% from the previous year.
The Company reported a net loss of $693,258 or $(0.011) per share for the year ended December 31, 2007 compared to net income of $167,233 or $0.003 per share in 2006.  The loss for the year ended December 31, 2007 is attributed to a write-down of inventory in the amount of $163,415, depreciation in the amount of $194,737, and a write-down of $225,111 to accounts receivable primarily due to the bankruptcy of an auction house located in the U.S.
Shareholders' equity, defined as the carrying amount of the Company's assets minus its liabilities, increased to $14,012,307 at December 31, 2007 from $12,890,232 at December 31, 2006.
MANAGEMENT'S REVIEW OF RESULTS:
Commenting on the 2007 results, Abdul Ladha, President and Chief Executive Officer of Ableauctions.com Inc. said, "We have maintained profitability over the last several years as result of prudent management and innovative approaches to enhancing our business model.   This year, while our shareholders equity has grown, we have incurred an operating loss of $693,258.  This loss can be attributed to two main factors; the downturn in the general economy of the United States and the shift in our investment strategy.
We derive most of our revenues, both from our liquidation and auction broadcast services, from the United States.  Revenues from our liquidation sector dropped sharply, by 27%, in 2007 as our existing and potential customers remained conservative in their spending, especially in the fourth quarter, as the United States economy struggled and continues to be challenged in the near term.  Revenues from our auction broadcast services, iCollector and NAALive, remained substantially unchanged despite a significant loss incurred from the insolvency of an auction house located in the U.S.
We are adjusting accordingly and concentrating on prudent capital management while retaining a focus on building new revenue streams, maintaining cutting-edge technological capabilities, and developing our Canadian based projects.
In an effort to expand our business, we develop real estate and make short term loans.  The returns on our investments, real property development and lending help to support the development of our liquidation and auction businesses, including the development of new technologies for use by our on-line businesses.  In 2007, we realized lower investment income as we shifted the focus of our investment portfolio from loans and securities, which tend to have shorter return cycles, to real-estate development projects, which have longer return cycles.  In the absence of a shift in investment strategy, we may have realized greater investment income that could have offset some of the losses from operations we experienced during the 2007 fiscal year.  However, we believe that income from our development projects will be greater over time.
On a positive note, we have recently seen an increase in activity on a number of new opportunities we have been pursuing over the last few years.  We also expect revenue in 2009 to quadruple to over $20 million from our real-estate development projects in British Columbia if we are able to successfully complete the development of our properties.  We have added a number of key individuals to our operations to assist us in further developing and executing our business strategy in the U.S. and Canada and we believe that we are well positioned and have sufficient capital resources to survive the economic downturn."
FINANCIAL DETAILS:
The Company reported revenue of $4,938,918 for the year ended December 31, 2007 compared to $6,243,865 for the year ended December 31, 2006, a decrease of 21% from the previous year.  Due to the downturn in the U.S. economy, the Company experienced a 27% decrease in revenue from its liquidation services.  Revenues from the Company's liquidation services totaled $3,574,616 during the 2007 fiscal year as compared to $4,917,198 during the 2006 fiscal year.  Revenue from the Company's auction operations, iCollector and NAALive, remained substantially unchanged.
The decrease in liquidation services revenue, which currently accounts for approximately 72% of the Company's total revenue, is the result of a decrease in demand for liquidation inventory from top retailers in the U.S.  In order to weather the loss of revenues during the economic downturn, the Company has implemented strong cost controls in order to reduce recurring operating expenditures and is considering ways in which it might expand its operations in order to supplement revenue.  If the U.S. economy does not experience a significant recovery during the 2008 fiscal year, the Company expects that its operations will continue to be adversely affected.
The Company reported gross profit of $1,958,697 or 40% of total revenue for the year ended December 31, 2007, compared to $2,375,466 or 38% of total revenue for the year ended December 31, 2006.   The marginal increase in gross profit as a percentage of revenue is a result of improvements in the pricing and product offerings of its liquidation operations.  The increase also reflects the performance of the Company's higher-profit auction broadcasting services group, the growth of which outperformed the growth of the liquidation services groups during the fiscal year ended December 31, 2007.
The Company's overall operating expenses for the year remained substantially unchanged. The Company's operating expenses totalled $2,994,064, or 61% of net revenues for the year ended December 31, 2007 as compared to $2,816,617, or 45% of net revenues for the year ended December 31, 2006.  As a percentage of revenues, operating expenses increased significantly due to the decrease in revenue experienced in 2007.  Management believes that the implementation of cost controls in order to reduce recurring operating expenditures and any expansion of its operations may result in increased revenue, which would improve the ratio of operating expenses to revenues.
The Company reported a net loss of $693,258 or $(0.011) per share for the year ended December 31, 2007 compared to net income of $167,233 or $0.003 per share in 2006.  The loss for the year ended December 31, 2007 is attributed to a write-down of inventory in the amount of $163,415, depreciation in the amount of $194,737, and a write-down of $225,111 to accounts receivable primarily due to the bankruptcy of an auction house located in the U.S.
Shareholders' equity, defined as the carrying amount of the Company's assets minus its liabilities, increased to $14,012,307 at December 31, 2007 from $12,890,232 at December 31, 2006.
About Ableauctions.com
Ableauctions.com Inc. (AMEX "aac") is a high-tech liquidator and on-line auction facilitator that operates the domains
iCollector.com
,
Naalive.com
and
Unlimited Closeouts.com
.
As an on-line auction facilitator, the Company, with the experience of over 3,000 auctions, has developed state-of-the-art technology to broadcast auctions over the Internet (
www.ableauctions.com/technology
) and currently provides the technology and related services to auction houses, enabling them to broadcast auctions over the Internet.  The Company broadcasts business and industrial auctions over the Internet for auctioneers and members of the National Auctioneers Association (NAA) and art, antique and collectible auctions for numerous galleries and auction houses around the world through eBay Live Auctions.
As a liquidator, the Company, through Unlimited Closeouts, purchases overstocks, order cancellations and discontinued products from major manufacturers and importers, then sells the merchandise to major retail chains, other resellers or the public.
For a comprehensive Corporate Update and prior releases, visit
www.ableauctions.com
.  For more information, contact Investor Relations at
investorrelations@ableauctions.com
This press release contains forward-looking statements, particularly as related to, among other things, the business plans of the Company, statements relating to goals, plans and projections regarding the Company's financial position and the Company's business strategy. The words or phrases "would be," "will allow," "intends to," "may result," "are expected to," "will continue," "anticipates," "expects," "estimate," "project," "indicate," "could," "potentially," "should," "believe," "considers" or similar expressions are intended to identify "forward-looking statements." These forward-looking statements fall within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934 and are subject to the safe harbor created by these sections. Actual results could differ materially from those projected in the forward-looking statements as a result of a number of risks and uncertainties. Such forward-looking statements are based on current expectations, involve known and unknown risks, a reliance on third parties for information, transactions or orders that may be cancelled, and other factors that may cause our actual results, performance or achievements, or developments in our industry, to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from anticipated results include risks and uncertainties related to the performance of our staff, management, financing, competition, on-line auction business, our ability to implement or manage our expansion strategy, general economic conditions, our ability to license our software to other auction houses, our ability to acquire profitable companies and integrate them into our business successfully and other factors that are detailed in our Annual Report on Form 10-KSB and on documents we file from time-to-time with the Securities and Exchange Commission. Statements made herein are as of the date of this press release and should not be relied upon as of any subsequent date. The Company cautions readers not to place undue reliance on such statements. The Company does not undertake, and the Company specifically disclaims any obligation, to update any forward-looking statements to reflect occurrences, developments, unanticipated events or circumstances after the date of such statement. Actual results may differ materially from the Company's expectations and estimates. The Company does not realize nor book the full revenue of auctions that it facilitates in its financials, only the net auction fees, that can vary from time-to-time, that it realizes.
ABLEAUCTIONS.COM, INC.
CONSOLIDATED BALANCE SHEET
DECEMBER 31, 2007
DECEMBER 31
2007
2006
ASSETS
Current
Cash and cash equivalents
$
1,594,657
$
1,004,558
Accounts receivable – trade, net of allowance
888,199
1,406,250
Employee receivable
298,464
30,514
Mortgages and loans receivable
1,009,846
4,092,852
Inventory
817,448
860,643
Prepaid expenses
37,055
47,849
Notes receivable
-
1,931
4,645,669
7,444,597
Other receivable
215,067
99,961
Deposits
388,212
-
Intangible Asset
355,759
430,534
Property and Equipment
3,183,055
2,857,322
Property Held for Development
4,124,221
1,455,031
Investment in Joint Venture
1,507,403
1,237,269
$
14,419,386
$
13,524,714
LIABILITIES
Current
Accounts payable and accrued liabilities
$
398,629
$
85,788
Deferred revenue
8,450
-
Bank loan
-
548,694
407,079
634,482
STOCKHOLDERS' EQUITY
Capital Stock
Authorized:
100,000,000 common shares with a par value of $0.001
Issued and outstanding:
65,348,009 common shares at December 31, 2007
62,406,834 common shares at December 31, 2006
65,348
62,406
Additional paid-in capital
37,881,636
37,319,119
Deficit
(25,380,855)
(24,687,597)
Accumulated Other Comprehensive Income
2,115,740
196,304
Treasury Stock, at cost (2007: 3,585,376 shares)
(669,562)
-
14,012,307
12,890,232
Contingent Liabilities
Commitments
$
14,419,386
$
13,524,714
Approved By The Directors:
"Abdul Ladha"
"Barrett Sleeman"
The accompanying notes are an integral part of these consolidated financial statements
ABLEAUCTIONS.COM, INC.
CONSOLIDATED STATEMENT OF OPERATIONS
DECEMBER 31, 2007
YEAR ENDED DECEMBER 31
2007
2006
Net Revenues
Sales & Commissions
$
4,938,918
$
6,243,865
Cost of Revenues
2,980,221
3,868,399
Gross Profit
1,958,697
2,375,466
Investment Income
397,977
541,006
2,356,674
2,916,472
Operating Expenses
Accounting and legal
124,973
151,174
Advertising and promotion
60,990
109,491
Automobile and travel
77,056
99,103
Bad debts
225,111
12,664
Commission
423,564
863,736
Depreciation and amortization of fixed assets
194,737
180,504
Insurance
37,615
32,326
Interest
52,012
33,786
Investor relations and shareholder information
111,906
28,690
Management fees, salaries and benefits
1,243,207
992,017
Office and administration
112,821
107,968
Rent, utilities and maintenance
170,070
84,711
Telephone and internet
160,002
120,447
2,994,064
2,816,617
(Loss) from Operations
(637,390)
99,855
Other Items
Foreign exchange gain (Loss)
(67,221)
42,660
Share of net income of joint venture
11,353
-
Loss on sale of Asset
-
(1,413)
Gain on sale of property held for development
-
26,131
(55,868)
67,378
(Loss) for the Year
$
(693,258)
$
167,233
Basic (loss) Earnings per Share
$
(0.011)
$
0.003
Diluted (loss) Earnings per Share
$
(0.011)
$
0.003
Weighted Average Number of Shares Outstanding:
Basic
63,775,539
62,406,834
Diluted
63,775,539
62,406,834
The accompanying notes are an integral part of these consolidated financial statements.
ABLEAUCTIONS.COM, INC.
CONSOLIDATED STATEMENT OF COMPREHENSIVE (LOSS) INCOME
DECEMBER 31, 2007
YEAR ENDED DECEMBER 31
2007
2006
(Loss) Income for the Year
$
(693,258)
$
167,233
Other Comprehensive Income (Loss), net of tax
Foreign currency translation adjustments
1,919,436
(154,180)
Consolidated Comprehensive Income
$
1,226,178
$
13,053
Basic and Diluted Comprehensive Earnings per Share
$
0.019
$
0.000
The accompanying notes are an integral part of these consolidated financial statements.
ABLEAUCTIONS.COM, INC.
CONSOLIDATED STATEMENT OF CASH FLOWS
DECEMBER 31, 2007
YEAR ENDED DECEMBER 31
2007
2006
Cash Flows from Operating Activities
(Loss) Income for the year from continuing operations
$
(693,258)
$
167,233
Non-cash items included in net loss:
Depreciation and amortization
194,737
180,504
Stock-based compensation
37,224
51,848
Loss on sale of asset
-
1,413
Joint Venture Income
(11,353)
Gain on sale of property held for development
-
(26,131)
(472,650)
374,867
Changes in operating working capital items:
(Increase) Decrease in accounts receivable
599,478
143,317
(Increase) Decrease in inventory
126,418
406,134
(Increase)Decrease in prepaid expenses
13,256
220,509
Decrease in marketable securities
-
3,091,017
(Increase) Decrease in employee receivable
(256,902)
(30,514)
Increase (Decrease) in accounts payable and accrued liabilities
221,939
6,400
Increase (Decrease) in deferred revenue
7,188
-
238,727
4,211,730
Cash Flows from Investing Activities
Purchase of property and equipment, net
(34,267)
(28,882)
Purchase of property held for development
(1,816,545)
(92,133)
Proceeds from sale of property held for development
-
322,134
Loan advances
(186,464)
(3,017,522)
Loan repayments
3,420,332
1,080,139
Investment in intangible assets
-
(127,634)
Investment in joint venture
-
(1,237,269)
Other receivables
(82,977)
(99,961)
Deposits
(361,435)
-
Note receivable
1,931
3,237
940,575
(3,197,891)
Cash Flows from Financing Activities
Proceed from bank loan
-
548,694
Repayment of Bank Loan
(548,694)
(1,395,349)
Exercise of stock options
-
36,000
Proceeds from issuance of capital stock, net
528,235
Purchase of treasury stock
(669,562)
(690,021)
(810,655)
Effect of Exchange Rates on Cash
100,818
(154,180)
Change in Cash and Cash Equivalents for the Year
489,281
203,184
Cash and Cash Equivalents, Beginning Of Year
1,004,558
955,554
Cash and Cash Equivalents, End of Year
$
1,594,657
$
1,004,558
Supplemental Disclosures With Respect To Cash Flows
(Note 13)
The accompanying notes are an integral part of these consolidated financial statements