Balance sheet 2003

		6-4-04 draft		Balance Sheet 2003 (current back to 2000)
				Prophy Research Corporation
				Year end (Dec 31) 2003
				(in dollars except number of shares)


			Main		Main		Main
		Now	changes		changes		changes	Begin
		year end	during	year end	during	year end	during	year end
		2003	2003	2002	2002	2001	2001	2000
Current assests
	Cash	1,027	-25	1,052	0	1,052	-25	1,077
	Other	0		0		0		0
Long term assets
	Real assets	0		0		0		0
	Patent aps*	288,270	19,820	268,450	16,920	251,530	16,520	235,010
Total assets		289,297		269,502		252,582		236,087

Liabilities		0		0		0		0
Net assets		289,297		269,502		252,582		236,087

Goodwill stock		288,270	19,820	268,450	16,920	251,530	16,520	235,010
Paid in capital stock		61,876	1,942	59,934	109	59,825	689	59,136
Total stock		350,146		328,384		311,355		294,146

Retained earnings (loss)		-60,849	-1,967	-58,882	-109	-58,773	-714	-58,059
Stockholders' equity		289,297		269,502		252,582		236,087

Number of shares		31,130.36	2,176.20	28,954.16	1702.90	27,251.26	1,720.90	25530.36
Equity/share		9.29		9.31		9.27		9.25
Cash assets/share		0.03		0.04		0.04		0.04








			Main		Main		Main
		Now	changes		changes		changes	Begin
		year end	during	year end	during	year end	during	year end
		2003	2003	2002	2002	2001	2001	2000

Values assigned to patent rights*: (These values are strictly fig newtons of my imagination.)
	OptiDose®	244,770	19,820	224,950	16,420	208,530	15,520	193,010
	OsteoPat	43,500	0	43,500	500	43,000	1,000	42,000
	Other	0	0	0	0	0	0	0
	Total pat aps	288,270	19,820	268,450	16,920	251,530	16,520	235,010


**Prophy ownership of patent rights: All USA intellectual property (patents, trademarks, etc.) that I mention in our reports is 100% owned
by the company. Earlier I gave our guys in Switzerland 50% of our Swiss patent. Heinz & Julia have done virtually everything that has been done
in Switzerland to date.

I still need to actually transfer title of our USA OptiDose rights, but we own them. (I'd forgotten til I did this balance sheet, I'll get on it.)