UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

FORM 10-Q

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934

1-9370

(COMMISSION FILE NUMBER)

FOR THE QUARTERLY PERIOD JUNE 30,DECEMBER 31, 2009

FOR

RECEIVABLE ACQUISITION & MANAGEMENT CORPORATION

(Exact Name of Registrant as Specified in the Charter)

DELAWARE13-3186327
(State of Other Jurisdiction(I.R.S. Employer
of Incorporation)Identification Number)

2500 Plaza 5,
Harborside Financial Center
Jersey City, NJ 07311
201-633-4715201-633-4725

Check whether the Registrant (1) has filed all reports required by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports) and (2) has been subject to such filing requirements for the past 90 days:
Yes xNo ¨

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).  Yes ¨      No x

Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  Yes ¨      No   x

AsIndicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company.  See the definitions of August 15, 2009, there were 16,052,896 shares“large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Registrant’s Common Stock, $0.001 par value per share, outstanding.Exchange Act. (Check One)
 
TransitionalLarge accelerated filer ¨       Accelerated filer ¨      Non-accelerated filer ¨     Small Business Disclosure Format Yes ¨reporting company No x

Indicate the number of shares outstanding of each of the Registrant's classes of common stock, as of the latest practicable date:
February 12, 2010
Common Stock:  16,052,896

 
RECEIVABLE ACQUISITION & MANAGEMENT CORPORATION
FOR THE QUARTERLY PERIOD ENDED JUNE 30, 2009

TABLE OF CONTENTS

PART IFINANCIAL INFORMATION4
   
ITEM 1.FINANCIAL STATEMENTS2
CONDENSED CONSOLIDATED  BALANCE SHEETS AT SEPTEMBER 30, 2009 AND  DECEMBER 31, 2009 – UNAUDITED2
CONDENSED CONSOLIDATED  STATEMENTS OF OPERATIONS FOR THREE MONTHS ENDED DECEMBER 31, 2009  AND 2008– UNAUDITED3
CONDENSED CONSOLIDATED  STATEMENTS  OF CASH FLOW FOR THE THREE MONTHS ENDED DECEMBER 31, 2009 AMD 2008 – UNAUDITED4
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS5-11
   
ITEM 2.MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION & OPERATIONS1912
   
 RISK FACTORS23
ITEM 3.QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK2316
   
ITEM 4T.CONTROLS AND PROCEDURES2417
   
PART IIOTHER INFORMATION24
   
ITEM 1.1A.LEGAL PROCEEDINGS2417
  
ITEM 2.UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS2517
   
ITEM 3.DEFAULTS UPON SENIOR SECURITIES2517
   
ITEM 4.SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS2518
   
ITEM 5.OTHER INFORMATION2518
   
ITEM 6.EXHIBITS2518
   
SIGNATURES2619
 
THIS REPORT CONTAINS FORWARD-LOOKING STATEMENTS THAT INVOLVE RISKS AND UNCERTAINTIES. SUCH STATEMENTS ARE BASED ON CURRENT EXPECTATIONS, ASSUMPTIONS, ESTIMATES AND PROJECTIONS ABOUT THE COMPANY AND ITS INDUSTRY.  FORWARD-LOOKING STATEMENTS ARE SUBJECT TO KNOWN AND UNKNOWN RISKS, UNCERTAINTIES AND OTHER FACTORS THAT MAY CAUSE ACTUAL RESULTS, LEVELS OF ACTIVITY, PERFORMANCE, ACHIEVEMENTS AND PROSPECTS TO BE MATERIALLY DIFFERENT FROM THOSE EXPRESSED OR  IMPLIED BY SUCH FORWARD-LOOKING STATEMENTS.  THE COMPANY UNDERTAKES NO OBLIGATION TO UPDATE PUBLICLY ANY FORWARD-LOOKING STATEMENTS FOR ANY REASON EVEN IF NEW INFORMATION BECOMES AVAILABLE OR OTHER EVENTS OCCURRING IN THE FUTURE.
 
- 2 - -1

RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
(FORMERLY FEMINIQUE CORPORATION AND SUBSIDIARIES)
INDEX TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - UNAUDITEDBALANCE SHEETS
FOR THE NINE AND THREE MONTHS ENDED JUNE 30, 2009 AND 2008
PAGE(S)
FINANCIAL STATEMENTS:
Condensed Consolidated Balance Sheets as of June 30, 2009 and September 30, 2008 (Unaudited)4
Condensed Consolidated Statements of Income (Loss) for the nine months ended June 30, 2009 and 2008 (Unaudited)
5
Condensed Consolidated Statements of Cash Flows for the nine months ended June 30, 2009 and 2008 (Unaudited)6
Notes to Consolidated Financial Statements (Unaudited)7-18
(UNAUDITED)

- 3 - -
  
December
31, 2009
  
September
30, 2009
 
       
ASSETS      
       
CURRENT ASSETS      
Cash $185,582  $196,443 
Prepaid expenses  -   939 
Finance receivables - short term  46,434   47,050 
         
Total current assets  232,016   244,432 
         
OTHER ASSETS        
Finance receivables - long-term  92,867   94,113 
         
Total other assets  92,867   94,113 
         
TOTAL ASSETS $324,883  $338,545 
         
LIABILITIES AND STOCKHOLDERS' EQUITY
        
         
CURRENT LIABILITIES        
Accrued and other expenses $41,885  $37,798 
         
Total current liabilities  41,885   37,798 
         
STOCKHOLDERS'  EQUITY        
Preferred stock, par value $10 per share; 10,000,000 shares authorized in 2009 and 2008 and 0 shares issued and outstanding at December 31, 2009 and September 30, 2009  -   - 
Common stock, par value $.001 per share; 325,000,000 shares authorized in 2009 and 2008 and 16,052,896 shares issued and  outstanding at  December 31, 2009 and September 30, 2009
  16,053    16,053  
Additional paid-in capital  614,566   614,566 
Accumulated deficit  (347,621)  (329,872)
         
Total stockholders' equity  282,998   300,747 
         
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $324,883  $338,545 

RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)
       
ASSETS      
  June 30,  September 30, 
  2009  2008 
       
CURRENT ASSETS      
Cash $188,162  $233,450 
Prepaid Expenses  939   939 
Finance receivables - short term  68,542   79,457 
Total current assets  257,643   313,846 
         
OTHER ASSETS        
Finance receivables - long-term  137,103   158,938 
Total other assets  137,103   158,938 
TOTAL ASSETS $394,746  $472,784 
         
LIABILITIES AND STOCKHOLDERS' EQUITY        
         
CURRENT LIABILITIES        
Accrued and other expenses $34,273  $37,497 
Total current liabilities  34,273   37,497 
         
TOTAL LIABILITIES  34,273   37,497 
         
STOCKHOLDERS'  EQUITY        
Preferred stock, par value $10 per share;        
10,000,000 shares authorized in June 30, 2009 and September 30, 2008 and 0 and 0 shares        
issued and outstanding at June 30, 2008 and September 30, 2008 respectively  —   — 
Common stock, par value $.001 per share;        
325,000,000 shares authorized in  June 30, 2009 and September 30, 2008        
and 16,052,896 and 17,122,896 shares issued and 16,052,896 and 16,052,896        
outstanding at  June 30, 2009 and September 30, 2008, respectively  16,053   17,123 
Additional paid-in capital  614,541   628,535 
Retained earnings (accumulated deficit)  (195,332)  (195,332)
   435,262   450,326 
         
Less: Cost of treasury stock, 1,070,000 shares  —   (15,039)
         
Total stockholders' equity  435,262   435,287 
         
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $469,535  $472,784 
         
         
The accompanying notes are an integral part of the condensed consolidated financial statements.
- 4 - -
RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME  OPERATIONS (UNAUDITED)
FOR THE NINE AND THREE MONTHS ENDED JUNE 30, 2009 AND 2008
  FOR THE NINE MONTHS ENDED  FOR THE THREE MONTHS ENDED 
  JUNE 30,  JUNE 30, 
  2009  2008  2009  2008 
             
REVENUES            
Financing income $188,422  $396,722  $55,629  $99,824 
Gain  (loss) on sales of finance receivable  —   35,910   —   (11,034)
Service income and other  18,973   81,271   4,257   42,126 
TOTAL INCOME  207,395   513,903   59,886   130,916 
                 
COSTS AND EXPENSES                
Selling, general and administrative  284,402   372,027   47,294   91,335 
Total costs and expenses  284,402   372,027   47,294   91,335 
                 
NET INCOME (LOSS) BEFORE OTHER INCOME  (77,008)  141,876   12,592   39,581 
                 
OTHER INCOME (LOSS)                
Interest income  2,218   6,573   291   2,387 
Interest expense  —   (19,921)  —   (7,385)
Other income      59,314       (3,585)
Total other income (loss)  2,218   45,966   291   (8,583)
                 
NET INCOME INCOME (LOSS) BEFORE PROVISION FOR INCOME TAX $(74,789) $187,842  $12,883  $30,998 
                 
PROVISION FOR INCOME TAXES  —   —   —   — 
                 
NET INCOME (LOSS) APPLICABLE TO COMMON STOCK $(74,789) $187,842  $12,883  $30,998 
                 
BASIC INCOME (LOSS) PER COMMON SHARE $(0.00) $0.01  $0.00  $0.00 
                 
DILUTED INCOME (LOSS) PER COMMON SHARE $(0.00) $0.01  $0.00  $0.00 
                 
WEIGHTED AVERAGE OUTSTANDING SHARES                
OF COMMON STOCK - BASIC  16,052,896   17,108,107   16,052,896   17,122,896 
                 
WEIGHTED AVERAGE OUTSTANDING SHARES                
OF COMMON STOCK - DILUTED  16,052,896   19,004,107   17,948,896   19,018,896 
                 
                 
The accompanying notes are an integral part of the condensed consolidated financial statements.
- 5 - -
RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS  (UNAUDITED)
FOR THE NINE MONTHS ENDED JUNE 30, 2009 AND 2008
  2009  2008 
       
CASH FLOWS FROM OPERATING ACTIVITIES:      
Net Income (Loss) $(74,789) $187,842 
         
Adjustments to reconcile net income (loss) to        
net cash provided by (used in) operating activities:        
         
Changes in Certain Assets and Liabilities        
Proceeds from sale of portfolio - net of gain  —   177,545 
Acquisition of finance receivables, net of buybacks  —   (201,982)
Collections applied to principal on finance receivables  32,749   131,224 
(Increase) in prepaid expenses  —   (151)
(Decrease) accrued expenses  (3,223)  (56,063)
Net cash provided by (used in) operating activities  (45,263)  238,415 
         
CASH FLOWS FROM FINANCING ACTIVITIES        
Repurchase of  common stock  (25)  150 
Payments on notes payable  —   (269,278)
Net cash (used in) financing activities  (25)  (269,128)
         
NET (DECREASE) IN CASH  (45,288)  (30,713)
         
CASH AND CASH EQUIVALENTS - BEGINNING OF PERIOD  233,450   286,530 
         
CASH AND CASH EQUIVALENTS - END OF PERIOD $188,162  $255,817 
         
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION        
         
CASH PAID DURING THE PERIOD        
Interest expense $—  $19,921 
Income taxes $—  $— 
The accompanying notes are an integral part of thethese condensed consolidated financial statements.

- 6 - -2

RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED DECEMBER 31, 2009 AND 2008
(UNAUDITED)

  2009  2008 
       
REVENUES      
Financing income $53,920  $77,951 
Service income and other  2,800   8,785 
Total revenues  56,720   86,736 
         
COSTS AND EXPENSES        
Selling, general and administrative  74,590   136,385 
Total costs and expenses  74,590   136,385 
         
INCOME (LOSS) FROM OPERATIONS  (17,870)  (49,649)
         
OTHER INCOME (EXPENSES)        
Interest income  121   1,429 
Total other income (expenses)  121   1,429 
         
(LOSS) BEFORE PROVISION FOR INCOME TAXES  (17,749)  (48,220)
         
PROVISION FOR INCOME TAXES  -   - 
         
(LOSS) APPLICABLE TO COMMON STOCK $(17,749) $(48,220)
         
(LOSS) PER COMMON SHARE, BASIC AND DILUTED $(0.00) $(0.00)
         
WEIGHTED AVERAGE SHARES OUTSTANDING, BASIC  AND DILUTED  16,052,896   16,052,896 

The accompanying notes are an integral part of these condensed consolidated financial statements.

3

RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE THREE MONTHS ENDED DECEMBER 31, 2009 AND 2008
(UNAUDITED)

  2009  2008 
       
CASH FLOWS FROM OPERATING ACTIVITIES:      
 Net  (loss) $(17,749) $(48,220)
Adjustments to reconcile net  (loss) to net cash  (used in) operating activities:        
         
Changes in Operating Assets and Liabilities        
Collections applied to principal on finance receivables  1,862   21,426 
Prepaid Assets  939   - 
Accrued expenses  4,087   22,174 
Net cash  (used in) operating activities  (10,861)  (4,620)
         
CASH FLOWS FROM FINANCING ACTIVITIES        
Purchase of retired common stock  -   (25)
Net cash (used in) financing activities  -   (25)
         
NET (DECREASE) IN CASH  (10,861)  (4,645)
         
CASH AND CASH EQUIVALENTS - BEGINNING OF YEAR  196,443   233,450 
         
CASH AND CASH EQUIVALENTS - END OF PERIOD $185,582  $228,805 
         
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION        
         
CASH PAID DURING THE YEAR        
Interest expense $-  $- 
Income taxes  -   - 

The accompanying notes are an integral part of these condensed consolidated financial statements.

4

RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30,DECEMBER 31, 2009 AND 2008 (UNAUDITED)

NOTE 1-SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

A.THE COMPANY AND PRESENTATION

The condensed consolidated unaudited interim financial statements included herein have been prepared by Receivable Acquisition and Management Corporation and Subsidiaries (the "Company"), formerly Feminique Corporation and Subsidiaries without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (the "SEC"). Certain information and footnote disclosures normally included in the financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted as allowed by such rules and regulations, and the Company believes that the disclosures are adequate to make the information presented not misleading. It is suggested that these condensed consolidated financial statements be read in conjunction with the September 30, 20082009 audited consolidated financial statements and the accompanying notes thereto. While management believes the procedures followed in preparing these condensed consolidated financial statements are reasonable, the accuracy of the amounts are in some respects dependent upon the facts that will exist, and procedures that will be accomplished by the Company later in the year.

The management of the Company believes that the accompanying unaudited condensed consolidated financial statements contain all adjustments (including normal recurring adjustments) necessary to present fairly the operations, changes in stockholders' equity (deficit), and cash flows for the periods presented.
On November 25, 2003, the Feminique Corporation incorporated a wholly-owned subsidiary Receivable Acquisition and Management Corp of New York. The Company purchases, manages and collects defaulted consumer receivables.
On April 21, 2004, Feminique Corporation amended its certificate of incorporation to increase its authorized number of shares of common stock from 75,000,000 shares to 325,000,000 shares.  This amendment was approved by Feminique Corporation’s shareholders at its April 20, 2004 annual meeting.  The shareholders also changed the name of Feminique Corporation to Receivable Acquisition and Management Corporation.

B.FINANCE RECEIVABLES

The Company accountshas adopted the provisions of Financial Accounting Standards Board Accounting Standards Codification (FASB ASC) 310-30 for its investment in finance receivables, under the guidance of Statement of Position (“SOP”) 03-3, “Accounting for Loans or Certain Debt Securities Acquired in a Transfer.” This SOPASC 10-30 limits the yield that may be accreted (accretable yield) to the excess of the Company’s estimate of undiscounted expected principal, interest and other cash flows (cash flows expected at the acquisition to be collected) over the Company’s initial investment in the finance receivables. Subsequent increases in cash flows expected to be collected are recognized prospectively through adjustment of the finance receivables yield over its remaining life. Decreases in cash flows expected to be collected are recognized as impairment to the finance receivable portfolios. The Company’s proprietary collections model is designed to track and adjust the yield and carrying value of the finance receivables based on the actual cash flows received in relation to the expected cash flows.
- 7 - -
RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2009 AND 2008 (UNAUDITED)
NOTE 1- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
B. FINANCE RECEIVABLES (CONTINUED)

During the ninethree months ended June 30,December 31, 2009 and 2008, the Company neither acquired nor sold any finance receivables.
During the quarter ended December 31, 2007, the Company acquired total portfolios for $201,982. The Company will use for these portfolios the "Recovery Method" for revenue recognition under which no revenue is recognized until the investment amount of $201,982 has been recovered.
During the quarter ended December 31, 2007 the Company sold several portfolios for a total sales price of $224,489. The Company recognized a net gain of $46,944 on these sales.

In the event that cash collections would be inadequate to amortize the carrying balance, an impairment charge would be taken with a corresponding write-off of the receivable balance. Accordingly, the Company does not maintain an allowance for credit losses.

5

RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
DECEMBER 31, 2009 AND 2008 (UNAUDITED)

NOTE 1-SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

B.FINANCE RECEIVABLES (CONTINUED)
 
The agreements to purchase the aforementioned receivables include general representations and warranties from the sellers covering account holder death or bankruptcy, and accounts settled or disputed prior to sale. The representation and warranty period permitting the return of these accounts from the Company to the seller is typically 90 to 180 days. Any funds received from the seller of finance receivables as a return of purchase price are referred to as buybacks. Buyback funds are simply applied against the finance receivable balance received. They are not included in the Company’s cash collections from operations nor are they included in the Company’s cash collections applied to principal amount. Gains on sale of finance receivables, representing the difference between sales price and the unamortized value of the finance receivables, are recognized when finance receivables are sold.
- 8 - -
RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2009 AND 2008 (UNAUDITED)
NOTE 1- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
B. FINANCE RECEIVABLES (CONTINUED)

Changes in finance receivables for the periodthree months ended June 30,December 31, 2009 were as follows:

  2009 
    
Balance at beginning of year October 1, 2008 $238,394 
Acquisition of finance receivables - net  — 
Cash collections applied to principal  (32,749)
Sale of portfolio - net of gain  — 
Balance at the end of the year $205,645 
Estimated Remaining Collections ("ERC")* $245,000 
  2009 
    
Balance at beginning of year October 1, 2009 $141,163 
Acquisition of finance receivables - net  - 
Cash collections applied to principal  (1,862)
Sale of portfolio - net of gain  - 
Balance at the end of the period $139,301 
Estimated Remaining Collections ("ERC")* $175,220 

*Estimated remaining collection refers to the sum of all future projected cash collections from acquired portfolios. ERC is not a balance sheet item, however, it is provided for informational purposes. Income recognized on finance receivables was $188,422$53,920 and $396,722$77,951 for the periodperiods ended June 30,December 31, 2009 and 2008 respectively.

Under SOP-03-3ASC 310-30 debt security impairment is recognized only if the fair market value of the debt has declined below its amortized costs. Currently no amortized costs are below fair market value. Therefore, the Company has not recognized any impairment for the finance receivables.

C.PRINCIPLES OF CONSOLIDATION

The consolidated financial statements include the accounts of the Company and its subsidiaries.  All significant intercompany accounts and transactions have been eliminated in consolidation.
 
6

RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
DECEMBER 31, 2009 AND 2008 (UNAUDITED)

NOTE 1-SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

D.CASH AND CASH EQUIVALENTS

The Company considers all highly liquid debt instruments and other short-term investments with an initial maturity of three months or less to be cash or cash equivalents. There were no cash equivalents as of June 30,December 31, 2009 and September 30, 2008.2009.

The Company maintains cash and cash equivalents balances at financial institutions that are insured by the Federal Deposit Insurance Corporation up to $250,000.  At June 30, 2009 and September 30, 2008, the Company’s uninsured cash balances total $0 and $0, respectively.

E. INCOME TAXES
E.  INCOME TAXES

The Company has adoptedaccounts for income taxes pursuant to the provisions of Statement of Financial Accounting Standards (“SFAS”) No. 109,the ASC 740, Accounting for Income Taxes. The statementTaxes, which requires an asset and liability approach for financial accountingto calculating deferred income taxes. The asset and reporting of income taxes, andliability approach requires the recognition of deferred tax assetsliabilities and liabilitiesassets for the expected future tax consequences of temporary differences between the financial reporting basescarrying amounts and the tax basesbasis of the Company’s assets and liabilities at enacted tax rates expected to be in effect when such amounts are realized or settled.
- 9 - -
RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2009 AND 2008 (UNAUDITED)
NOTE 1- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
liabilities.

F. USE OF ESTIMATES
F.  USE OF ESTIMATES

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

G. SHARE-BASED COMPENSATION

Effective December 31, 2005, the Company adopted the provisions of Financial Accounting Standards Board Statement of Financial Accounting Standard ("SFAS") No. 123(R), "Share-Based Payments," which establishes the accounting for employee stock-based awards. Under the provisions of SFAS No.123(R), stock-based compensation is measured at the grant date, based on the calculated fair value of the award, and is recognized as an expense over the requisite employee service period (generally the vesting period of the grant). The Company adopted SFAS No. 123(R) using the modified prospective method and, as a result, periods prior to December 31, 2005 have not been restated. The Company recognized stock-based compensation for awards issued under the Company's stock option plans in other income/expenses included in the Consolidated Statement of Operations. Additionally, no modifications were made to outstanding stock options prior to the adoption of SFAS No. 123(R), and no cumulative adjustments were recorded in the Company's financial statements.
The Company measures compensation expense for its non-employee stock-based compensation under the Financial Accounting Standards Board (FASB) Emerging Issues Task Force (EITF) Issue No. 96-18, "Accounting for Equity Instruments that are Issued to Other Than Employees for Acquiring, or in Conjunction with Selling, Goods or Services". The fair value of the option issued is used to measure the transaction, as this is more reliable than the fair value of the services received.
The fair value is measured at the value of the Company's common stock on the date that the commitment for performance by the counterparty has been reached or the counterparty's performance is complete. The fair value of the equity instrument is charged directly to compensation expense and additional paid-in capital.
- 10 - -
RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2009 AND 2008 (UNAUDITED)
NOTE 1- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
H. REVENUE RECOGNITION

Revenue is recognized based on AICPA Statement of Position 03-3, if the management is reasonably comfortable with expected cash flows. In the event, expected cash flows cannot be reasonably estimated, the Company will use the “Recovery Method” under which revenues are only recognized after the initial investment has been recovered.

I. EARNINGS (LOSS) PER SHARE OF COMMON STOCK
G.  EARNINGS (LOSS) PER SHARE OF COMMON STOCK

Historical net income (loss) per common share is computed using the weighted average number of common shares outstanding. Diluted earnings per share (EPS) include additional dilution from common stock equivalents, such as stock issuable pursuant to the exercise of stock options and warrants. Common stock equivalents were not included in the computation of diluted earnings per share when the Company reported a loss because to do so would be anti-dilutiveantidilutive for periods presented.

The following is a reconciliation of the computation for basic and diluted EPS:
  June 30,  June 30, 
  2009  2008 
       
Net income (loss) $(74,789) $187,842 
         
Weighted-average common shares        
Outstanding (Basic)  16,052,896   17,108,107 
         
Weighted-average common stock        
Equivalents        
Stock options  —   950,000 
Warrants  —   946,000 
         
Weighted-average common shares        
Outstanding (Diluted)  16,052,896   19,004,107 
For the nine month period ended June 30, 2009 options (950,000) and warrants (946,000) were not included in the computation of diluted EPS because inclusion would have been anti-dilutive.
- 11 - -
RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2009 AND 2008 (UNAUDITED)
NOTE 1- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
H.   RECENT ACCOUNT PRONOUNCEMENTS

J. RECENT ACCOUNTING PRONOUNCEMENTS

In September 2006, the SEC staff issued Staff Accounting Bulletin No. 108, Considering the Effects of Prior Year Misstatements when Quantifying Misstatements in Current Year Financial Statements (SAB 108). SAB 108 was issued in order to eliminate the diversity in practice surrounding how public companies quantify financial statement misstatements. SAB 108 requires that registrants quantify errors using both a balance sheet and income statement approach and evaluate whether either approach results in a misstated amount that, when all relevant quantitative and qualitative factors are considered, is material. SAB108 must be implemented by the end of the Company's first fiscal year ending after November 15, 2007. The adoption of SAB 108 did not  have a material impact on the Company's  financial reporting or disclosures.
In March 2006, the FASB issued FASB Statement No. 156, Accounting for Servicing of Financial Assets - an amendment of FASB Statement No. 140. This Statement:
1. Requires an entity to recognize a servicing asset or servicing liability each time it undertakes an obligation to service a financial asset by entering into a servicing contract under certain situations.
2. Requires all separately recognized servicing assets and servicing liabilities to be initially measured at fair value, if practicable.
3. Permits an entity to choose either the amortization method or the fair value measurement method subsequent measurement methods for each class of separately recognized servicing assets and servicing liabilities.
4. At its initial adoption, permits a one-time reclassification of available-for-sale securities to trading securities by entities with recognized servicing rights, without calling into question the treatment of other available-for-sale securities under Statement 115, provided that the available-for-sale securities  are identified in some manner as offsetting the entity's exposure to changes in fair value of servicing assets or servicing liabilities that a servicer elects to subsequently measure at fair value.
5. Requires separate presentation of servicing assets and servicing liabilities subsequently measured at fair value in the statement of financial position and additional disclosures for all separately recognized servicing assets and servicing liabilities.
The adoption of FASB No. 156 did not have a material impact on the company’s results or financial statements.
In September 2006, the FASB issued FASB Statement No. 157, Fair Value Measurements. This Statement defines fair value, establishes a framework for measuring fair value in generally accepted accounting principles (GAAP), and expands disclosures about fair value measurements.
- 12 - -
RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2009 AND 2008 (UNAUDITED)

NOTE 1- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

J. RECENT ACCOUNTING PRONOUNCEMENTS (CONTINUED)
This Statement applies under other accounting pronouncements that require or permit fair value measurements, the Board having previously concluded in those accounting pronouncements that fair value is the relevant measurement attribute. Accordingly, this Statement does not require any new fair value measurements. FASB Statement No. 157 will be effective for our financial statements issued for our fiscal year beginning October 1, 2008. The adoption of FASB Statement No. 157 did not have a material impact on the Company's results of operations or financial statements.
In February 2008, FASB Staff Position ("FSP") FAS No. 157-2, "Effective Date of FASB Statement No. 157" ("FSP No. 157-2") was issued. FSP No. 157-2 defers the effective date of SFAS No. 157 to fiscal years beginning after December 15, 2008, and interim periods within those fiscal years, for all nonfinancial assets and liabilities, except those that are recognized or disclosed at fair value in the financial statements on a recurring basis (at least annually). Examples of items within the scope of FSP No. 157-2 are nonfinancial assets and nonfinancial liabilities initially measured at fair value in a business combination (but not measured at fair value in subsequent periods), and long-lived assets, such as property, plant and equipment and intangible assets measured at fair value for an impairment assessment under SFAS No. 144.
In June 2006, the Financial Accounting Standards Board ("FASB") issued FASB Interpretation No. 48, "Accounting for Uncertainty in Income Taxes - an interpretation of FASB Statement No. 109" (FIN 48), which prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. FIN 48 also provides guidance on recognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. FIN 48 will be effective for our fiscal year beginning October 1, 2007.The adoption of FIN 48 did not have a material impact on our financial reporting and disclosure.
In September 2006, the Securities and Exchange Commission issued Staff Accounting Bulletin No. 108, “Quantifying Misstatements”. SAB 108 is effective for financial statements issued for fiscal years beginning after November 15, 2007.  The adoption of SAB 108 did not have material impact on its results or financial statements.
The FASB also issued in September 2006 Statement of Financial Accounting Standards No. 158, employers’ Accounting for Defined Benefit Pension and other Postretirement Plans effective for financial statements issued for fiscal years beginning after December 15, 2006. This Standard requires recognition of the funded status of a benefit plan in the statement of financial position. The adoption FASB 158 did not have a material impact on its results or financial statements.
In February 2007 the FASB issued Financial Accounting Standards No. 159, The Fair Value Option for Financial Assets and Financial Liabilities – including an amendment of FASB Statement No. 115 effective for financial statements issued for fiscal years beginning after November 15, 2007. This Statement permits entities to choose to measure many financial instruments and certain other items at fair value. The adoption of FASB 159 did not have a material impact on its operations or financial statements.
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RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2009 AND 2008 (UNAUDITED)

NOTE 1- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

J. RECENT ACCOUNTING PRONOUNCEMENTS (CONTINUED)
Also in February 2007 the FASB issued Financial Accounting Standards No. 160, Non-controlling Interests in Consolidated Financial Statements- an amendment of ARB No. 51 effective for financial statements issued for fiscal years beginning after December 15, 2008. The Company does not expect FASB 160 to have a material impact on its results or financial statements.
In March 2008 the FASB issued Financial Accounting Standards No. 161, Disclosures about Derivative Instruments and Hedging Activities – an amendment of FASB No. 133 effective for financial statements issued for fiscal years beginning after November 15, 2007. This Statement requires enhanced disclosures about an entity’s derivatives and hedging activities and thereby improves the transparence of financial reporting. The adoption of FASB 161 did not have a material impact on its results of operations or financial statements.
In May of 2008, the FASB issued Statement No. 162, “The Hierarchy of Generally Accepted Accounting Principles.”  This statement identifies literature established by the FASB as the source for accounting principles to be applied by entities which prepare financial statements presented in conformity with generally accepted accounting principles (GAAP) in the United States.  This statement is effective 60 days following approval by the SEC of the Public Company Accounting Oversight Board amendments to AU Section 411, “The Meaning of Present Fairly in Conformity With Generally Accepted Accounting Principles.”  This statement will require no changes in the Company’s financial reporting practices.
In May of 2008 the Financial Accounting Standards Board (FASB) issued Statement of Financial Accounting Standards (SFAS) No. 163, “Accounting for Financial Guarantee Insurance – an interpretation of FASB Statement No. 60, Accounting and Reporting by Insurance Enterprises.  This statement requires that an insurance enterprise recognize a claim liability prior to an event of default (insured event) when there is evidence that credit deterioration has occurred in an insured financial obligation.  This statement also clarifies how Statement 60 applies to financial guarantee insurance contracts.  This statement is effective for fiscal years beginning after December 15, 2008.  This statement has no effect on the Company’s financial reporting at this time.
In May of 2009, the Financial Accounting Standards Board (FASB) issued Statement of Financial Accounting Standards (SFAS) No. 165, “Subsequent Events”. This Statement is intended to establish general standards of accounting for and disclosures of events that occur after the balance sheet date but before financial statements are issued or are available to be issued.  It requires the disclosure of the date through which an entity has evaluated subsequent events and the basis for that date—that is, whether that date represents the date the financial statements were issued or were available to be issued.  This Statement is effective for interim and annual periods ending after June 15, 2009. The adoption of SFAS 165 will not have a material impact on its financial position or results of operations.
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RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2009 AND 2008 (UNAUDITED)
NOTE 1- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

J. RECENT ACCOUNTING PRONOUNCEMENTS (CONTINUED)
In June 2009, the FASB issued SFAS No. 166, “Accounting for Transfers of Financial Assets, an amendment of SFAS No. 140” (SFAS 166). SFAS No. 166 has not yet been superseded by FASB Accounting Standards Codification Topic 105. SFAS 166 amends SFAS No. 140 to improve the relevance, representational faithfulness, and comparability of the information that a reporting entity provides in its financial reports about a transfer of financial assets; the effects of a transfer on its financial position, financial performance, and cash flows; and a transferor’s continuing involvement in transferred financial assets. This Statement is effective as of the beginning of each reporting entity’s first annual reporting period that begins after November 15, 2009, for interim periods within that first annual reporting period, and for interim and annual reporting periods thereafter. Earlier application is prohibited. The recognition and measurement provisions of this Statement shall be applied to transfers that occur on or after the effective date. The Company is currently assessing the impact of the adoption of SFAS 166.
 
7

RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
DECEMBER 31, 2009 AND 2008 (UNAUDITED)

NOTE 1-SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

H.RECENT ACCOUNT PRONOUNCEMENTS (CONTINUED)
In June 2009, the FASB issued SFAS No. 167, “Amendments to FASB Interpretation No. 46(R)” (SFAS 167). SFAS No. 167 has not yet been superseded by FASB Accounting Standards Codification Topic 105. SFAS 167 amends certain requirements of FASB Interpretation No. 46 (revised December 2003), Consolidation of Variable Interest Entities, to improve financial reporting by enterprises involved with variable interest entities and to provide more relevant and reliable information to users of financial statements. This Statement is effective as of the beginning of each reporting entity’s first annual reporting period that begins after November 15, 2009, for interim periods within that first annual reporting period, and for interim and annual reporting periods thereafter. Earlier application is prohibited. The Company is currently assessing the impact of the adoption of SFAS 167.
 
On June 2009, the FASB issued SFAS 168,ASC 105-10, “The FASB Accounting Standards Codification TM and the Hierarchy of Generally Accepted Accounting Principles—a replacement of FASB Statement No. 162” (“SFAS 168”162”). Under SFAS 168,ASC 105-10, the FASB Accounting Standards Codification will become the source of authoritative U.S. generally accepted accounting principles (“GAAP”) recognized by the FASB to be applied by nongovernmental entities. On the effective date of this statement, the Codification will supersede all existing non-SEC accounting and reporting standards. This standard is effective for financial statements issued for interim and annual periods ending after September 15, 2009. The adoption of SFAS 168 willASC 105-10 did not have a material impact on itsthe Company’s financial position or results of operations

operations.

NOTE 2-NOTES PAYABLE

A. The Company issued on October 30, 2006 a note payable for the value of $150,000 in exchange for the retirement of 2,000,000 shares of common stock for $200,000. The company paid $50,000 in cash and issued a note payable of $150,000 for the balance. The terms are as follows: The Company is currently paying $3,000 per month. The note had an outstanding balance of $102,899 as of December 31, 2007. During the month of January 2008 the note was repaid in full for a discounted value of $40,000. The amount of $62,899 was recognized as income.
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RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2009 AND 2008 (UNAUDITED)
NOTE 2- NOTES PAYABLE (CONTINUED)
B. The Company issued on January 8, 2007 a private note offering in the amount of $300,000. The Company intends to pay the holder of the note in 24 fixed monthly payments of $14,546 from the date of issuance of the note at a rate of 15% per annum on or before January 9, 2009 (the "Maturity Date”). The note was repaid in full during the year ended September 30, 2008.

NOTE 3-STOCK OPTIONS

In April 2004, the Company adopted a stock option plan upon approval by the shareholders at the Annual General Meeting under which selected eligible key employees of the Company are granted the opportunity to purchase shares of the Company’s common stock. The plan provides that 37,500,000 shares of the Company’s authorized common stock be reserved for issuance under the plan as either incentive stock options or non-qualified options. Options are granted at prices not less than 100 percent of the fair market value at the end of the date of grant and are exercisable over a period of ten years or aas long as that person continues to be employed or serve on the on the Board of Directors, whichever is shorter. At June 30,December 31, 2009 and September 30, 2008,2009, the Company had 950,000no options outstanding under this plan.
8

RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
DECEMBER 31, 2009 AND 2008 (UNAUDITED)
NOTE 4-3-WARRANTS

The Company issued warrants during the year 2004. At June 30,December 31, 2009 and September 30, 2008,2009, respectively, the Company had 946,000 warrants outstanding exercisable at approximately $.01$.0075 per warrant per share. The warrants expire on December 31, 2010.

NOTE 5-4-INCOME TAXES

Income Taxestaxes are provided for the tax effects of transactions reported in the financial statements and consist of taxes currently due.  Deferred taxes related to differences between the basis of assets and liabilities for financial and income tax reporting will either be taxable or deductible when the assets or liabilities are recovered or settled.  The difference between the basis of assets and liabilities for financial and income tax reporting are not material therefore, the provision for income taxes from operations consist of income taxes currently payable.

There was no provision for income taxestax for the three months and nine months ending June 30,ended December 31, 2009 and 2008.

At June 30,Due to the uncertainty of utilizing the approximate $347,621 and $243,552 in net operating losses, for the three months ended December 31, 2009 and 2008 respectively, and recognizing the Company haddeferred tax assets, an accumulated deficit approximating $270,121 and $176,149offsetting valuation allowance has been established. The losses are available to offset future taxable income through 2028.
2030.
 
  December 31,  December 31, 
   2009  2008 
       
Deferred tax assets $121,667  $85,243 
Less: valuation  (121,667)  (85,243)
Totals $-  $- 
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RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30,DECEMBER 31, 2009 AND 2008 (UNAUDITED)
NOTE 5-INCOME TAXES (CONTINUED)
  June 30,  June 30, 
  2009  2008 
       
Deferred tax assets $(94,542) $(61,652)
Less: valuation  94,542   61,652 
Totals $—  $— 

NOTE 6-5-STOCK HOLDERS’ EQUITY

COMMON STOCK

There were 325,000,000 shares of common stock authorized, with 16,052,896 and 17,122,896 shares issued and 16,052,896 outstanding at June 30,December 31, 2009 and September 30, 2008, respectively.2009. The par value for the common stock is $.001 per share.

The following details the stock transactions for the periodthree months ended June 30,December 31, 2009 and 2008.
During the month ended December 31, 2007 the Company cancelled 6,020 shares of common stock at $.025 per share for a total amount of $151.

During the quarter ended December 31,September 30, 2008 the Company retired the Treasury stock ofrepurchased 1,070,000 shares of common stock at a market price of approximately $ .014 per share. The total purchase price was $15,039. The shares were accounted for as treasury stock as of September 30, 2008.  During the quarter ended December 31, 2008 the Company retired these treasury shares.

There were no common stock transactions for the three months ended December 31, 2009.

PREFERRED STOCK

There were 10,000,000 shares of preferred stock authorized, no shares issued and outstanding as of June 30,December 31. 2009 and September 30, 2008.2009.
 
NOTE 7-6-RELATED PARTY

The Company receives fees from Ramco Income Fund Limited.Limited (“Fund”) a Bermuda entity. The Company manages Ramco Income Fund Limited a Bermuda entity.is the investment manager of the Fund.  The servicing fees for the periodsyear ended June 30,December 31, 2009 and 2008 were $18,973$2,800 and $81,271,$8,075 respectively.

NOTE 8-7-FAIR VALUE MEASUREMENTS

On January 1, 2009,The Company has categorized its financial assets and liabilities based  upon the Company adopted SFAS No. 157 “Fairfair value hierarchy specified by FASB Accounting Standards Codification   (“ASC “) Topic 820, Fair Value Measurements”Measurement and Disclosures (“SFAS 157”ASC 820”). SFAS 157 This standard defines fair value, provides a consistent frameworkguidance for measuring fair value under Generally Accepted Accounting Principles and expandsrequires certain disclosures. This standard does not require any new fair value financial statement disclosure requirements. SFAS 157’smeasurement, but discusses valuation techniques, are based on observablesuch as the market approach (comparable market prices), the income approach (present value of future income or cash flow), and unobservable inputs. Observablethe cost approach (cost to replace the service capacity of an asset or replacement cost).  This standard provides for a fair value hierarchy that prioritizes the inputs reflect readily obtainable data from independent sources, while unobservable inputs reflect our market assumptions. SFAS 157 classifies these inputsto valuation techniques used to measure fair value into thethree broad levels. The following hierarchy:
Level 1 Inputs– Quoted prices for identical instruments in active markets.
Level 2 Inputs– Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations whose inputs are observable or whose significant value drivers are observable.
Level 3 Inputs– Instruments with primarily unobservable value drivers.
is a brief description of those three levels:
 
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RECEIVABLE ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30,DECEMBER 31, 2009 AND 2008 (UNAUDITED)

NOTE 7-FAIR VALUE MEASUREMENTS (CONTINUED)

Level 1 – Observable inputs such as quoted prices (unadjusted) in active markets for identical assets or liabilities.
 
Level 2 – Inputs other than quoted prices that are observable for the asset or liability either directly or indirectly.  These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active
Level 3 – Unobservable inputs that reflect the Company’s own assumptions.
The following table represents the fair value hierarchy for those financial assets and liabilities measured at fair value on a recurring basis as of MarchDecember 31, 2009.

Assets Level I  Level II  Level III  Total 
  
 
          
Finance receivables  —   —   205,645   205,645 
                 
Total Assets  —   —   205,645   205,645 
                 
Liabilities  —   —   —   — 
                 
Total Liabilities  —   —   —   — 
                 
Assets Level I  Level II  Level III  Total 
              
Finance receivables  -   -   139,301   139,301 
                 
Total Assets  -   -   139,301   139,301 
                 
Liabilities  -   -   -   - 
                 
Total Liabilities  -   -   -   - 

NOTE 8-SUBSEQUENT EVENTS

Management has evaluated all subsequent events occurring since September 30, 2009 through February 12, 2010. There have been no subsequent events that would require changes to the accompanying financial statements or disclosure therein other than what is noted above.
 
- 18 - -11

ITEM 2.

ITEM 2. MANAGEMENTS’SMANAGEMENT’S DISCUSSION & ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.

This “Management’s Discussion and Analysis of Financial Condition and Results of Operations” should be read in conjunction with “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Annual Report on Form 10-K10K as of and for the year ended September 30, 20082009 as filed with the Securities and Exchange Commission.   Cautionary Statements Pursuant to Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995:

This report contains forward-looking statements within the meaning of the federal securities laws. These forward-looking statements involve risks, uncertainties and assumptions that, if they never materialize or prove incorrect, could cause the results of the Company to differ materially from those expressed or implied by such forward-looking statements. All statements, other than statements of historical fact, are forward-looking statements, including statements regarding overall trends, gross margin trends, operating cost trends, liquidity and capital needs and other statements of expectations, beliefs, future plans and strategies, anticipated events or trends, and similar expressions concerning matters that are not historical facts. The risks, uncertainties and assumptions referred to above may include the following:
§changes in the business practices of credit originators in terms of selling defaulted consumer receivables   or outsourcing defaulted consumer receivables to third-party contingent fee collection agencies;
§ability to acquire sufficient portfolios;
§ability to recover sufficient amounts on acquired portfolios;
§a decrease in collections if bankruptcy filings increase or if bankruptcy laws or other debt collection laws change;
§changes in government regulations that affect the Company’s ability to collect sufficient amounts on its acquired or serviced receivables;
§the Company’s ability to retain the services of recovery partners;
§changes in the credit or capital markets, which affect the Company’s ability to borrow money or raise capital to purchase or service defaulted consumer receivables;
§the degree and nature of the Company’s competition; and
§our ability to respond to changes in technology and increased competition;
§the risk factors listed from time to time in the Company’s filings with the Securities and Exchange Commission.
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RESULTS OF OPERATIONS

Overview

The Company is engaged in the purchase and recovery of defaulted consumer receivables. These receivables are acquired at deep discounts and outsourced for collections on a contingency basis. The Company also manages Ramco Income Fund, Ltd, a Bermuda domiciled mutual fund with circa $400,000 under management.fund. The Company is no longer making new investmentsacquiring any portfolios and is seeking to acquire or merge with or acquire another operating entity.entity seeking to go public via reverse merger. There is no guaranteeassurance that the Companycompany will succeed.  The following table summarizes collections, revenues, operating expenses, income before taxes and fully diluted net income.succeed in such a merger or acquisition.

  Three Months Ended December 31, 2009 
   2009  2008  $ Change  % Change 
             
Net Collections (excluding sale) $53,961  $98,216  $(44,255)  -45%
                 
Finance Income $53,920  $77,951  $(24,031)  -31%
                 
Servicing Income $2,800  $8,785  $(5,985)  -68%
                 
Operating Expenses $74,590  $136,385  $(61,795)  -45%
                 
Net Income (Loss) $(17,749) $(48,220) $30,471   -161%
 
  Three Months Ended June 30, 2009 & 2008 
  2009  2008  $ Change  % Change 
                 
Net Collections (excluding sale) $59,455  $118,277  $(58,822)  -49.73%
                 
Finance Income $55,629  $99,824  $(44,195)  -44%
as a % of Collections  94%  84%        
                 
Servicing Income $4,257  $42,126  $(37,869)  -90%
                 
Gain (Loss) on Portfolio Sale  —  $(11,034)        
                 
Operating Expenses $47,294  $91,335  $(44,041)  -48%
                 
Net Income (Loss) $12,883  $30,998  $(18,115)  -58%
                 
Fully Diluted  EPS  —   —         
 
12

Revenue

TheDuring the quarter ended December 31, 2009, the Company had a net incomeloss of $12,883($17,749) on revenue of $59, 886 during the quarter ended June 30, 2009$56,720 versus net income of $30,998 on revenue of $130,916 during the quarter ended June 30, 2008. For the nine months ended June 30, 2009, the Company hada net loss of ($74,789) on48,220) and revenue of $207,395 versus revenue of $513,903 and net income of $187,842 during the nine months$86,736 quarter ended June 30, 2009.December 31, 2008. Total revenue for the quarter ended June 30,December 31, 2009 included finance income of $55,629$53,920 and $4,257 servicing income of $2,800 versus finance income of $99,824$77,951 and servicing income of $42,126 during quarter ended June 30, 2008. Finance income$8,785 during the quarter ended June 30, 2009December 31, 2008. Finance income declined by 44%approximately 31% or $44,195 compared to$24,031 and servicing income declined by 68% or $5,985 during the quarter ended June 30, 2008. Servicing income declined by 90% or $37,869December 31, 2009 when compared to quarter ended June 30,December 31, 2008. Servicing income largely came from servicinghas been declining due to run-off of portfolios other than from Ramco Income Fund managed by the Company and is expected to decline during subsequent quarters due to additional redemptions of sharesheld in Ramco Income Fund and declining recoveries from two other managed portfolios. During the nine months ended June 30, 2009, finance income declined by 53% or $208,300 compared to nine months ended June 30, 2008 and finance income declined by 77% or $62,298 compared to nine months ended June 30, 2008. During the quarter ended June 30, 2009, the Companyanother special purpose vehicle (SPV). The company collected $59,455 versus $118,277$53,961 during the quarter ended June 30,December 31, 2009 versus $98,216 during the quarter ended December 31, 2008. The Company is not making fresh investmentCash collections continue to decline due to tough economic environment and lack of investments in new portfolios and is running off the existing portfolios.
- 20 - -

Operating Expenses

During the quarter ended June 30, 2009, totalTotal operating expenses declined by 48% or $44,041for the three month ended December 31, 2009 were $74,590 compared to $47,294 from $91,335 during$136,385 for the quarterthree month ended June 30,December 31, 2008. The Company continues to reduce operating expenses in the facelight of declining recoveringrecoveries and lack of fresh investments.investments in new portfolios.

Rent and Occupancy

Rent and occupancy expenses were $9,635 during the quarter ended June 30, 2009 compared to $9,355 during$10,059 for the three months ended June 30,December 31, 2009 versus $9,410 for the three months ended December 31, 2008.

Depreciation

The Company did not record any depreciation expense for the ninethree months ended June 30, 2008.December 31, 2009.
  
Purchase of Defaulted Receivables

During the quarters ended June 30,December 31, 2009 and June 30,December 31, 2008, the Company did not purchaseacquire any portfolio of receivablesportfolios.

WhenPortfolio Data

The following table shows the Company acquires aCompany’s portfolio of defaulted receivables, it estimatesbuying activity during the expected recovery ofquarter, among other things, the portfolio. A 36 to 60 month projection of cash collections is created for each portfolio. Only after the portfolio has established probable and estimable performance in excess of projections will the accretable yield be increased and recognized as revenue.  Ifpurchase price, actual cash collections areand estimated cash collection as of December 31, 2009.

Purchase Period Purchase Price(1)  Actual Cash Collection (2)  Estimated (3) 
12/31/2003 $569,070  $1,822,975  $12,973 
4/11/2005 $375,000  $531,316  $21,000 
7/25/2005 $177,668  $314,495  $3,642 
4/7/2006 $331,974  $389,357  $20,961 
12/31/04-12/20/06 $780,875  $1,305,102  $55,075 
1/7/2007 $324,248  $404,167  $27,569 
10/4/2007 $201,982  $34,510  $34,000 

(1)           Purchase price refers to the cash paid to a seller to acquire defaulted receivables, plus certain capitalized expenses, less than the original forecast,purchase price refunded by the Company will take an impairment charge. Collection activities commence within 30 daysseller due to the return of purchase, which allows for adequate timenon-compliant accounts (also defined as buybacks). Non-compliant refers to scrub the portfolio for deceased,contractual representations and warranties between the seller and the Company. These representations and warranties from the sellers generally cover account holders’ death or bankruptcy and accounts settled incarcerated and bankruptcy filedor disputed prior to sale. The seller can replace or repurchase these accounts. For modeling and revenue recognition purposes, the company uses 15 calendar days.

(2)           Actual cash collections net of recovery cost or sale.
13

(3)Total estimated collections refers to the actual cash collections, including cash sales, plus estimated remaining collections.   The Company will take an impairment charge if the actual recoveries fall short of expected recoveries.
Recovery Partners

The Company outsources all its recovery activities to carefully selected debt collection agencies and network of collection attorneys with specific collection expertise. The company is currently using four6 collection agencies and several law firms in the U.S. and U.K. The average contingent collections fee wasis approximately 26%25% which is expected to rise during the quarter ended June 30, 2009.later years of recovery. The Company records revenues net of all collection fees.

Seasonality

Collections tend to be higher in the first and second quarters of the year and lower in the third and fourth quarter of the year, due to consumer payment patterns in connection with seasonal employment, income tax refunds and holiday spending habits.

Currency Risk

The Company plans to acquire defaulted receivable portfolios in the United Kingdom and such purchase may expose the Company to adverse currency risks.
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Liquidity and Capital Resources

As of June 30,December 31, 2009, the Company had a working capital of $223,370$190,131 versus $292,534working capital of $206,634 during the quarter ended June 30,December 31, 2008. The declinedecrease in working capital is in line withlargely due to declining collections dueand servicing fees and will continue to lack of new investments.decline for the same reasons.   The Company believes that funds generated from operations, resale of portfolios together with existing cash will be sufficient to finance its operations for the next twelve months. Forforeseeable future. At the nine monthsend of three month ended June 30,December 31, 2009, the Company had net cash of $188,162$185,582 versus net cash of $255,817$196,443 at the end of nine monthsquarter ended June 30,December 31, 2008. Net cash used inby operating activities was ($45,263) during the nine months ended June 30, 200910,861) versus net cash providedused by operating activities of $238,415 during($4,620) for the ninethree months ended June 30,December 31, 2008. NetThere were no cash used inflows from financing activities was ($25) during the nine months ended June 30, 2009 versus net cash used in financing activities of (269,128) during the nine months ended June 30, 2008. The decline was largely due to repayment of outstanding note payables. The Company did not raise any capital through issuance of securities during the nine month ended June 30, 2009.comparable quarters.

Cash generated from operations is depended upon the Company’s ability to collect on its defaulted consumer receivables. Many factors, including the economy, purchase price and the Company’s ability to retain the services of its recovery partners, are essential to generate cash flows. Fluctuations in these factors that cause a negative impact on the Company’s business could have a material negative impact on its expected future cash flows. During the quarter, ended June 30, 2009, the Company generated approximately $59,455$53,920 and collected $2,800 from servicing fees versus $98,216 from collections and $4,257$8,785 from servicing versus approximately $118,227 from collections and 42,126 from servicing, respectivelycompared during the quarter ended June 30,December 31, 2008. Cash collections will continue to decline due to a difficult economic environment, lack of portfolio investments and impaired ability to resell portfolios in the secondary market.

The Company believes that funds generated from operations, together with existing cash will be sufficient to finance its operations for the foreseeable future The Company has begun a strategic review of operations and is exploring the possibility of non-strategic acquisition or merger with another operating company.

Income Taxes

The CompanyWe did not record any income tax provision for taxes for the nine monththree months ended June 30,December 31, 2009.

Contractual Obligation

The Company entered into a 12 month lease with Regus Inc.H&Q Global Services at $2,500$2,800 per month plus variable expenses that include telecommunication, copier, postage and delivery charges. TheThis lease expires on February 28, 2010.March 31, 2010 and the Company is in the process of evaluating other lease options.

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Market Outlook for Charged-off Receivables

Recently there has been a substantial inflow of capital into this business which has resulted in significant increase in prices paid. Prices have started to come down due to a tighter credit environment and declining quality of consumer credit. Any pronounced correction will force many too sell their remaining portfolios and exit the market considering the payback periods have been stretched due to high prices paid.

Critical Accounting Policy & Estimates

Our Management’s Discussion and Analysis of Financial Condition and Results of Operations section discusses our condensed consolidated financial statements, which have been prepared in accordance with accounting principles generally accepted in the United States of America as promulgated by the Public Company Accounting Oversight Board. The preparation of these financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amount of revenues and expenses during the reporting period. On an ongoing basis, management evaluates its estimates and judgments, including those related to revenue recognition, accrued expenses, financing operations, and contingencies and litigation. Management bases its estimates and judgments on historical experience and on various other factors that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying value of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions and conditions. The most significant accounting estimates inherent in the preparation of our financial statements include estimates as to the appropriate carrying value of certain assets and liabilities which are not readily apparent from other sources. These accounting policies are described at relevant sections in this discussion and analysis and in the condensed consolidated financial statements included in this quarterly report.
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The Company utilizes the interest method under guidance provided by the AICPA issued Statement of PositionFinancial Accounting Standards Board Accounting Standards Certification (“SOP”ASC”) 03-03310-30 to determine income recognized on finance receivables. receivables
In October 2004, the American Institute of Certified Public Accountants issued Statement of Position (“SOP”) 03-03,2003, ASC 310-30, “Accounting for Loans or Certain Securities Acquired in a Transfer.”Transfer” was issued. This SOPASC proposes guidance on accounting for differences between contractual and expected cash flows from an investor’s initial investment in loans or debt securities acquired in a transfer if those differences are attributable, at least in part, to credit quality. This SOPASC is effective for loans acquired in fiscal years beginning after MarchDecember 15, 2005.2004. The SOPASC would limit the revenue that may be accrued to the excess of the estimate of expected future cash flows over a portfolio’s initial cost of accounts receivable acquired. The SOPASC would require that the excess of the contractual cash flows over expected cash flows not be recognized as an adjustment of revenue, expense, or on the balance sheet. The SOPASC would freeze the internal rate of return, referred to as IRR, originally estimated when the accounts receivable are purchased for subsequent impairment testing. Rather than lower the estimated IRR if the original collection estimates are not received, the carrying value of a portfolio would be written down to maintain the original IRR. Increases in expected future cash flows would be recognized prospectively through adjustment of the IRR over a portfolio’s remaining life. The SOPASC provides that previously issued annual financial statements would not need to be restated. Management is in the process of evaluating the application of this SOP.ASC. In accordance with ASC 310-30, the Company is currently is using the cost recovery method for revenue recognition for all its current portfolios.

OFF-BALANCE SHEET ARRANGEMENTS
 
The Company has no off-balance sheet arrangements

 
15

RISK FACTORS

IN ADDITION TO OTHER INFORMATION IN THIS REPORT, YOU SHOULD CONSIDER THE FOLLOWING RISK FACTORS CAREFULLY.  THESE RISKS MAY IMPAIR THE COMPANY'S OPERATING RESULTS AND BUSINESS PROSPECTS AS WELL AS THE MARKET PRICE OF THE COMPANY'S COMMON STOCK.

PENNY STOCK REGULATIONS AND REQUIREMENTS FOR LOW PRICED STOCK

The SEC adopted regulations which generally define a "penny stock" to be any non-Nasdaq equity security that has a market price of less than $5.00 per share, subject to certain exceptions.  Based upon the price of the Common Stock as currently traded on the NASDAQ Bulletin Board, the Company's Common Stock is subject to Rule 15g-9 under the Exchange Act which imposes additional sales practice requirements on broker-dealers which sell securities to persons other than established customers and "accredited investors."  For transactions covered by this rule, a broker-dealer must make a special suitability determination for the purchaser and have received a purchaser's written consent to the transaction prior to sale.  Consequently, this rule may have a negative effect on the ability of stockholders to sell common shares of the Company in the secondary market.

The risks, uncertainties and assumptions may include the following:
 
ITEM 3.QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK§Due to an inability to raise capital and a deep recession, the Company decided not to make new investments and has subsequently been in a run-off mode. The management is focused on merging with or acquiring another operating company that may be seeking to go public via reverse merger. There is no assurance that the management will succeed and as a result, shareholders may be adversely affected.

The Registrant is not required to provide the information called for in this Item 3 due to its status as a Smaller Reporting Company.
§changes in the business practices of credit originators in terms of selling defaulted consumer receivables   or outsourcing defaulted consumer receivables to third-party contingent fee collection agencies;

§ability to acquire sufficient portfolios;

§ability to recover sufficient amounts on acquired portfolios;

§a decrease in collections if bankruptcy filings increase or if bankruptcy laws or other debt collection laws change;

§changes in government regulations that affect the Company’s ability to collect sufficient amounts on its acquired or serviced receivables;

§the Company’s ability to retain the services of recovery partners;

§changes in the credit or capital markets, which affect the Company’s ability to borrow money or raise capital to purchase or service defaulted consumer receivables;

§the degree and nature of the Company’s competition;

§our ability to respond to changes in technology and increased competition;

§the risk factors listed from time to time in the Company’s filings with the Securities and Exchange Commission.

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ITEM4T.ITEM 4T.CONTROLS AND PROCEDURES.PROCEDURES

Evaluation of disclosure controls and procedures

The term “ disclosure controls and procedures “ is defined in Rules 13(a)-15e and 15(d) - 15(e) of the Securities Exchange Act of 1934, as amended (the Exchange Act). Our principal executive officer and principal financial officer have evaluated the effectiveness of our disclosure controls and procedures as of June 30,December 31, 2009. They have concluded that, as of June 30,December 31, 2009 that our disclosures were effective to ensure that:
 
(1)  That information required to be disclosed by the Company in reports that it files or submits under the act is recorded, processed, summarized and reported, within the time periods specified in the Commissions’ rules and forms, and
(2)  Controls and procedures are designed by the Company to ensure that information required to be disclosed by Receivable Acquisition & Management Corporation Inc. in the reports it files or submits under the Act is accumulated and communicated to the issuer’s management including the principal executive and principal financial officers or persons performing similar functions, as appropriate to allow timely decisions regarding financial disclosure.

This term refers to the controls and procedures of a Company that are designed to ensure that information required to be disclosed by a Company in the reports that it files under the Exchange Act is recorded, processed, summarized and reported within the required time periods. Our principal executive officer and principal financial officer have evaluated the effectiveness of our disclosure controls and procedures as of the end of the period covered by this quarterly report. They have concluded that, as of June 30, 2008December 31, 2009 our disclosure and procedures were effective in ensuring that required information will be disclosed on a timely basis in our reports filed under the exchange act.

CHANGES IN INTERNAL CONTROL OVER FINANCIAL REPORTING

No changes in the Company’s internal control over financial reporting have come to management’s attention during the Company’s last fiscal quarter that have materially affected, or are likely to materially affect, the Company’s internal control over financial reporting.
 
PART II

OTHER INFORMATION

ITEM 1.LEGAL PROCEEDINGS

The Company is not a party to any material pending legal proceedings or, to the best of its knowledge, a proceeding being contemplated by a governmental authority, nor is any of the Company’s property the subject of any pending legal proceedings or a proceeding being contemplated by a governmental authority except for the following:Not Applicable.

· On June 29, 2005, Allied Surgical Centers Management, LLC, et al. (“Allied”) filed a complaint against the Company seeking declaratory and injunctive relief in connection with contracts entered in April 2005 between Allied and the Company pursuant to which the Company acquired various account receivables from Allied (the “Contracts”).  Such complaint was filed in the Superior Court of the State of California, For the County of Los Angeles, Central District. Allied is seeking a declaratory judgment from the court which would exclude various account receivables (the “Disputed Account Receivables”) from the Contracts.  Allied is also seeking a temporary restraining order and preliminary injunction restricting the Company from attempting to seize or collecting the Disputed Account Receivables.  The Company filed a cross complaint on July 15, 2005.  In the cross complaint, the Company is seeking an accounting, a mandatory injunction for specific performance of the Contracts and damages in the amount of $21,000,000 in connection with Allied’s alleged breach of contract, fraud, intentional interference with prospective economic advantage, breach of good faith, breach of fiduciary duty, conversion and slander.  The Company and Allied have reached a settlement in connection with this matter. Allied has dropped all its claims and agreed to pay all funds received since the purchase of Allied’s portfolio in April 2005. The settlement agreement was executed on February 10, 2006 and the Company received the first settlement payment on March 1, 2006 and the final settlement payment in January 2008.
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ITEM 2.UNREGISTERED SALESSALE OF EQUITY SECURITIES AND USE OF PROCEEDS

None.  Not Applicable

ITEM 3.DEFAULTS UPON SENIOR SECURITIES

None.Not Applicable.
 
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ITEM 4.SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

None.Not Applicable.

ITEM 5.OTHER INFORMATION

None.Not Applicable

There were no material changes to the procedures by which security holders may recommend nominees to the registrant’s board of directors.
ITEM 6.EXHIBITS

Exhibits:

Exhibit  
Number Description
31.1 Certification by Principal Executive Officer pursuant to Sarbanes Oxley Section 302(1)
31.2Certification by Principal Financial Officer pursuant to Sarbanes Oxley Section 302(1)
32.1Certification by Principal Executive Officer a pursuant to 18 U.S.C. Section 1350(1)
32.2Certification by Principal Financial Officer a pursuant to 18 U.S.C. Section 1350(1)302 of the Sarbanes-Oxley Act of 2002.
   
(1)  32.1Filed herewith.Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.


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SIGNATURES

In accordance with the requirements of the Exchange Act, the Company has caused this report to be signed by the undersigned, thereunto duly authorized.
 
RECEIVABLE ACQUISITION & MANAGEMENT
RECEIVABLE ACQUISITION & MANAGEMENT
CORPORATION
Date:  February 12, 2010
By:  /s/   Max Khan
Max Khan
Chief Executive Officer
Chief Financial Officer
Director
Date:  August 14, 2009
In accordance with the Exchange Act, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated:
 
By:  /s/  Max Khan
/s/  Max Khan
 By:  Max Khan
Chief Executive Officer,
  Chief Financial Officer and Director
  Date:  February 12, 2010
19
Max Khan
Chief Executive Officer
(Principal executive officer)
Chief Financial Officer
(Principal financial and accounting officer)
 
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