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<SEC-DOCUMENT>0001297077-08-000102.txt : 20080915
<SEC-HEADER>0001297077-08-000102.hdr.sgml : 20080915
<ACCEPTANCE-DATETIME>20080915170602
ACCESSION NUMBER:		0001297077-08-000102
CONFORMED SUBMISSION TYPE:	10-Q
PUBLIC DOCUMENT COUNT:		4
CONFORMED PERIOD OF REPORT:	20080731
FILED AS OF DATE:		20080915
DATE AS OF CHANGE:		20080915

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			CHAMPIONS BIOTECHNOLOGY, INC.
		CENTRAL INDEX KEY:			0000771856
		STANDARD INDUSTRIAL CLASSIFICATION:	BIOLOGICAL PRODUCTS (NO DIAGNOSTIC SUBSTANCES) [2836]
		IRS NUMBER:				521401755
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			0430

	FILING VALUES:
		FORM TYPE:		10-Q
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-17263
		FILM NUMBER:		081072260

	BUSINESS ADDRESS:	
		STREET 1:		2200 WILSON BLVD
		STREET 2:		SUITE 102-316
		CITY:			ARLINGTON
		STATE:			VA
		ZIP:			22201
		BUSINESS PHONE:		703-526-0400

	MAIL ADDRESS:	
		STREET 1:		2200 WILSON BLVD.
		STREET 2:		SUITE 102-316
		CITY:			ARLINGTON
		STATE:			VA
		ZIP:			22201

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	CHAMPIONS SPORTS INC
		DATE OF NAME CHANGE:	19920703

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	INTERNATIONAL GROUP INC
		DATE OF NAME CHANGE:	19860319
</SEC-HEADER>
<DOCUMENT>
<TYPE>10-Q
<SEQUENCE>1
<FILENAME>cbi10q073108-3.htm
<TEXT>
<html>
<head><meta content="text/html; charset=">
<title>SECURITIES AND EXCHANGE COMMISSION</title>
</head>

<body >
<ul>
</ul>

<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>UNITED STATES</b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>SECURITIES AND EXCHANGE
COMMISSION</b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>Washington, D.C. 20549</b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<b>FORM 10-Q</b></p align="center">
</td>
</tr>
</table></div>
<p>
</p>
<div align="center" style="position:relative; left: 0"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="43.999989" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="513.333205" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="557.333194" colspan="2" rowspan="1" >
<p>
<font size="2">Mark One</font></p>
</td>
</tr>
<tr valign="top">
<td width="43.999989" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="513.333205" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="43.999989" colspan="1" rowspan="1" >
<p>
<font size="2">[X]</font></p>
</td>
<td width="513.333205" colspan="1" rowspan="1" >
<p>
<font size="2">QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF</font></p>
</td>
</tr>
<tr valign="top">
<td width="43.999989" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="513.333205" colspan="1" rowspan="1" >
<p>
<font size="2">THE SECURITIES EXCHANGE ACT OF 1934</font></p>
</td>
</tr>
<tr valign="top">
<td width="43.999989" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="513.333205" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2">For the quarterly period ended July 31,
2008</font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2">OR</font></p align="center">
</td>
</tr>
</table></div>
<p>
</p>
<div align="center" style="position:relative; left: 0"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="43.999989" colspan="1" rowspan="1" >
<p>
<font size="2">[&nbsp;&nbsp;&nbsp;]</font></p>
</td>
<td width="513.333205" colspan="1" rowspan="1" >
<p>
<font size="2">TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF</font></p>
</td>
</tr>
<tr valign="top">
<td width="43.999989" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="513.333205" colspan="1" rowspan="1" >
<p>
<font size="2">THE SECURITIES EXCHANGE ACT OF 1934</font></p>
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2">For the transition period from ______ to
________</font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2">Commission file number
<u>&nbsp;0-17263</u></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b><u>CHAMPIONS BIOTECHNOLOGY,
INC.</u></b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2">(Exact name of registrant as specified in its
charter)</font></p align="center">
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: 0"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="235.999941" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><u>Delaware</u></font></p align="center">
</td>
<td width="29.333326" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="209.333281" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><u>52-1401755</u></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="235.999941" colspan="1" rowspan="1" >
<p align="center">
<font size="2">(State or other jurisdiction of</font></p align="center">
</td>
<td width="29.333326" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="209.333281" colspan="1" rowspan="1" >
<p align="center">
<font size="2">(I.R.S. Employer</font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="235.999941" colspan="1" rowspan="1" >
<p align="center">
<font size="2">organization)</font></p align="center">
</td>
<td width="29.333326" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="209.333281" colspan="1" rowspan="1" >
<p align="center">
<font size="2">Identification No.)</font></p align="center">
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="381.333238" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><u>1400 N. 14<sup>th</sup> Street, Arlington,
VA</u></font></p align="center">
</td>
<td width="125.333302" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><u>22209</u></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="381.333238" colspan="1" rowspan="1" >
<p align="center">
<font size="2">(Address of principal executive
offices)</font></p align="center">
</td>
<td width="125.333302" colspan="1" rowspan="1" >
<p align="center">
<font size="2">(Zip code)</font></p align="center">
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><u>(410) 630-1313</u></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2">(Registrant&#8217;s telephone number, including area
code)</font></p align="center">
</td>
</tr>
</table></div>
<p align="center">
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><u>2200 Wilson Blvd., Suite 102-316, Arlington, VA
22201</u></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2">(Former address)</font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Indicate by check mark
whether the registrant (1) has filed all reports required to be filed by Section
13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12
months (or for such shorter period that the Registrant was required to file such
reports), and (2) has been subject to such filing requirements for the past 90
days.&nbsp;&nbsp;&nbsp;Yes <u>&nbsp;X&nbsp;</u>&nbsp;No  __</font></p>
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Indicate by check
mark&nbsp;whether the registrant is a large accelerated filer, an accelerated
filer, a non-accelerated filer, or a smaller reporting company.  See the
definitions of &#8220;large accelerated filer,&#8221; &#8220;accelerated
filer&#8221; and &#8220;smaller reporting company&#8221; in Rule 12b-2 of the
Exchange Act.</font></p>
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
</table></div>
<p>
</p>
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="158.666627" colspan="1" rowspan="1" >
<p>
<font size="2">Large accelerated
filer&nbsp;&nbsp;[&nbsp;&nbsp;&nbsp;]</font></p>
</td>
<td width="277.333264" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="201.333283" colspan="1" rowspan="1" >
<p>
<font size="2">Accelerated filer&nbsp;&nbsp;[&nbsp;&nbsp;&nbsp;]</font></p>
</td>
</tr>
<tr valign="top">
<td width="158.666627" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="277.333264" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="201.333283" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="158.666627" colspan="1" rowspan="1" >
<p>
<font size="2">Non-accelerated
filer&nbsp;&nbsp;&nbsp;[&nbsp;&nbsp;&nbsp;]</font></p>
</td>
<td width="277.333264" colspan="1" rowspan="1" >
<p align="center">
<font size="2">(Do not check if a smaller reporting
company)</font></p align="center">
</td>
<td width="201.333283" colspan="1" rowspan="1" >
<p>
<font size="2">Smaller reporting company&nbsp;&nbsp;[X]</font></p>
</td>
</tr>
</table></div>
<p>
</p>
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p>
<font size="2">Indicate by check mark whether the registrant is a shell company
(as defined in Rule 12b-2 of the Exchange Act</font></p>
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p>
<font size="2">Yes    <u>    </u>    No&nbsp;<u>&nbsp;X&nbsp;</u></font></p>
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p>
<font size="2">As of September 15, 2008, the Registrant had a total of
33,272,718 shares of common stock outstanding.</font></p>
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center" style="border-bottom:double">
<font size="2">&nbsp;</font></p>
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>CHAMPIONS BIOTECHNOLOGY, INC.</b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>FORM 10-Q</b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><u>INDEX</u></font></p align="center">
</td>
</tr>
</table></div>
<p>
</p>
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">PART I.</font></p>
</td>
<td width="633.333175" colspan="2" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">Financial Information</font></p>
</td>
<td width="55.999986" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="567.999858" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="55.999986" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">Item 1.</font></p>
</td>
<td width="567.999858" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">Financial Statements</font></p>
</td>
<td width="55.999986" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="567.999858" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="55.999986" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="567.999858" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">Condensed Consolidated Balance Sheets as of July 31, 2008
(Unaudited) and April 30, 2008 (Audited)</font></p>
</td>
<td width="55.999986" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">3</font></p>
</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="567.999858" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="55.999986" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="567.999858" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">Condensed Consolidated Statements of Operations</font></p>
</td>
<td width="55.999986" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="567.999858" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">for the Three months ended July 31, 2008 and 2007
(Unaudited)</font></p>
</td>
<td width="55.999986" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">4</font></p>
</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="567.999858" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="55.999986" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="567.999858" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">Condensed Consolidated Statements of Cash Flows for
the</font></p>
</td>
<td width="55.999986" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="567.999858" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">Three months ended July 31, 2008 and 2007 (Unaudited)</font></p>
</td>
<td width="55.999986" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">5</font></p>
</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="567.999858" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="55.999986" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="567.999858" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">Notes to Condensed Consolidated Financial Statements
(Unaudited)</font></p>
</td>
<td width="55.999986" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">6-8</font></p>
</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="567.999858" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="55.999986" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">Item 2.</font></p>
</td>
<td width="567.999858" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">Management&#8217;s Discussion and Analysis of Financial Condition
and Results of Operations</font></p>
</td>
<td width="55.999986" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">9-11</font></p>
</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="567.999858" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="55.999986" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"> </font></p>
</td>
<td width="65.333317" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">Item 3.</font></p>
</td>
<td width="567.999858" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">Quantitative and Qualitative Disclosures About Market
Risk</font></p>
</td>
<td width="55.999986" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">11</font></p>
</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="567.999858" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="55.999986" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">Item 4.</font></p>
</td>
<td width="567.999858" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">Controls and procedures</font></p>
</td>
<td width="55.999986" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">11</font></p>
</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="567.999858" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="55.999986" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="567.999858" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="55.999986" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" >
<p>
<font size="2">PART II.</font></p>
</td>
<td width="633.333175" colspan="2" rowspan="1" >
<p>
<font size="2">Other Information</font></p>
</td>
<td width="55.999986" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="567.999858" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="55.999986" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" >
<p>
<font size="2">Item 1.</font></p>
</td>
<td width="567.999858" colspan="1" rowspan="1" >
<p>
<font size="2">Legal Proceedings.</font></p>
</td>
<td width="55.999986" colspan="1" rowspan="1" >
<p>
<font size="2">12</font></p>
</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">Item 2.</font></p>
</td>
<td width="567.999858" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">Unregistered Sales of Equity Securities and Use of
Proceeds.</font></p>
</td>
<td width="55.999986" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">12</font></p>
</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" >
<p>
<font size="2">Item 3.</font></p>
</td>
<td width="567.999858" colspan="1" rowspan="1" >
<p>
<font size="2">Defaults Upon Senior Securities.</font></p>
</td>
<td width="55.999986" colspan="1" rowspan="1" >
<p>
<font size="2">12</font></p>
</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">Item 4.</font></p>
</td>
<td width="567.999858" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">Submission of Matters to a Vote of Security Holders.</font></p>
</td>
<td width="55.999986" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">12</font></p>
</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" >
<p>
<font size="2">Item 5.</font></p>
</td>
<td width="567.999858" colspan="1" rowspan="1" >
<p>
<font size="2">Other Information</font></p>
</td>
<td width="55.999986" colspan="1" rowspan="1" >
<p>
<font size="2">12</font></p>
</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="65.333317" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">Item 6.</font></p>
</td>
<td width="567.999858" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">Exhibits</font></p>
</td>
<td width="55.999986" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="67.999983" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="633.333175" colspan="2" rowspan="1" >
<p>
<font size="2">Signatures&nbsp;&nbsp;&nbsp;</font></p>
</td>
<td width="55.999986" colspan="1" rowspan="1" >
<p>
<font size="2">13</font></p>
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center" style="border-bottom:double">
<font size="2">2&nbsp;</font></p>
</td>
</tr>
</table></div>
<p>
</p>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>PART I</b></font></p align="center">
</td>
</tr>
</table></div>
<p>
</p>
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="59.999985" colspan="1" rowspan="1" >
<p>
<font size="2"><b>Item 1.</b></font></p>
</td>
<td width="577.333189" colspan="1" rowspan="1" >
<p>
<font size="2"><b>Financial Statements</b></font></p>
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>CHAMPIONS BIOTECHNOLOGY, INC.</b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>AND</b> <b>SUBSIDIARIES</b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>CONDENSED CONSOLIDATED BALANCE
SHEETS</b></font></p align="center">
</td>
</tr>
</table></div>
<p>
</p>
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="21.333328" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="97.333309" colspan="2" rowspan="1" bgcolor=#99CCFF>
<p align="center">
<font size="2">July 31, 2008</font></p align="center">
</td>
<td width="23.999994" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="center">
<font size="2">April 30, 2008</font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="21.333328" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="97.333309" colspan="2" rowspan="1" >
<p align="center">
<font size="2"><b>(Unaudited)</b></font></p align="center">
</td>
<td width="23.999994" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>(Audited)</b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"><b>ASSETS</b></font></p>
</td>
<td width="21.333328" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="97.333309" colspan="2" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="23.999994" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="21.333328" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="97.333309" colspan="2" rowspan="1" >
&nbsp;</td>
<td width="23.999994" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"><b>CURRENT ASSETS</b></font></p>
</td>
<td width="21.333328" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="97.333309" colspan="2" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="23.999994" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash and cash
equivalents</font></p>
</td>
<td width="21.333328" colspan="1" rowspan="1" >
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="97.333309" colspan="2" rowspan="1" >
<p align="right">
<font size="2">3,494,872&nbsp;</font></p align="right">
</td>
<td width="23.999994" colspan="1" rowspan="1" >
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="98.666642" colspan="1" rowspan="1" >
<p align="right">
<font size="2">3,709,136&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable</font></p>
</td>
<td width="21.333328" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="97.333309" colspan="2" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">6,173&nbsp;</font></p align="right">
</td>
<td width="23.999994" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">&nbsp;&nbsp;-&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses</font></p>
</td>
<td width="21.333328" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="97.333309" colspan="2" rowspan="1" >
<p align="right">
<font size="2">71,483&nbsp;</font></p align="right">
</td>
<td width="23.999994" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" >
<p align="right">
<font size="2">52,873&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaid contract
expenses</font></p>
</td>
<td width="21.333328" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="97.333309" colspan="2" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">95,795&nbsp;</font></p>
</td>
<td width="23.999994" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">-&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" >
<p>
<font size="2"><b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Current Assets
</b></font></p>
</td>
<td width="119.999970" colspan="3" rowspan="1" >
<p align="right">
<font size="2">3,668,323&nbsp;</font></p align="right">
</td>
<td width="23.999994" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" >
<p align="right">
<font size="2">3,762,009&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;Intangibles assets</font></p>
</td>
<td width="21.333328" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="97.333309" colspan="2" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">241,836&nbsp;</font></p align="right">
</td>
<td width="23.999994" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">227,465&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;Goodwill</font></p>
</td>
<td width="21.333328" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="97.333309" colspan="2" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">661,909&nbsp;</font></p>
</td>
<td width="23.999994" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">661,909&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"><b>TOTAL ASSETS</b></font></p>
</td>
<td width="21.333328" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="97.333309" colspan="2" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:double">
<font size="2">4,572,068&nbsp;</font></p>
</td>
<td width="23.999994" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:double">
<font size="2">4,651,383&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="119.999970" colspan="3" rowspan="1" >
&nbsp;</td>
<td width="23.999994" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"><b>LIABILITIES AND STOCKHOLDERS&#8217; EQUITY</b></font></p>
</td>
<td width="119.999970" colspan="3" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="23.999994" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="119.999970" colspan="3" rowspan="1" >
&nbsp;</td>
<td width="23.999994" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="646.666505" colspan="6" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"><b>CURRENT LIABILITIES</b></font></p>
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable</font></p>
</td>
<td width="21.333328" colspan="1" rowspan="1" >
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="94.666643" colspan="1" rowspan="1" >
<p align="right">
<font size="2">189,006&nbsp;</font></p align="right">
</td>
<td width="26.666660" colspan="2" rowspan="1" >
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="98.666642" colspan="1" rowspan="1" >
<p align="right">
<font size="2">147,971&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred revenue</font></p>
</td>
<td width="117.333304" colspan="2" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">806,937&nbsp;</font></p align="right">
</td>
<td width="26.666660" colspan="2" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">504,622&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other accrued
expenses</font></p>
</td>
<td width="21.333328" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="94.666643" colspan="1" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">-&nbsp;</font></p>
</td>
<td width="26.666660" colspan="2" rowspan="1" >
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">361,275&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"><b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total current
liabilities</b></font></p>
</td>
<td width="21.333328" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="94.666643" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">995,943&nbsp;</font></p>
</td>
<td width="26.666660" colspan="2" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">1,013,868&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="21.333328" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="94.666643" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="26.666660" colspan="2" rowspan="1" >
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="21.333328" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="94.666643" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="26.666660" colspan="2" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="646.666505" colspan="6" rowspan="1" >
<p>
<font size="2"><b>COMMITMENTS AND CONTINGENCIES</b></font></p>
</td>
</tr>
<tr valign="top">
<td width="646.666505" colspan="6" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="646.666505" colspan="6" rowspan="1" >
<p>
<font size="2"><b>STOCKHOLDERS&#8217; EQUITY</b></font></p>
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Preferred stock, $10 par value;
56,075 shares authorized;</font></p>
</td>
<td width="119.999970" colspan="3" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="23.999994" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0 shares issued and
outstanding</font></p>
</td>
<td width="119.999970" colspan="3" rowspan="1" >
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="23.999994" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Common stock, $.001 par value;
50,000,000 shares authorized;</font></p>
</td>
<td width="119.999970" colspan="3" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="23.999994" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;33,272,718 shares issued and
outstanding</font></p>
</td>
<td width="119.999970" colspan="3" rowspan="1" >
<p align="right">
<font size="2">33,273&nbsp;</font></p align="right">
</td>
<td width="23.999994" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" >
<p align="right">
<font size="2">33,248&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Additional paid-in
capital</font></p>
</td>
<td width="119.999970" colspan="3" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">11,580,064&nbsp;</font></p align="right">
</td>
<td width="23.999994" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">11,715,182&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accumulated deficit</font></p>
</td>
<td width="21.333328" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="97.333309" colspan="2" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">(7,236,029)</font></p>
</td>
<td width="23.999994" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">(7,068,547)</font></p>
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="119.999970" colspan="3" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">4,377,308&nbsp;</font></p align="right">
</td>
<td width="23.999994" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">4,679,883&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaid consulting</font></p>
</td>
<td width="21.333328" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="97.333309" colspan="2" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">(801,183)</font></p>
</td>
<td width="23.999994" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">(1,042,368)</font></p>
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total stockholders&#8217;
equity</font></p>
</td>
<td width="21.333328" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="97.333309" colspan="2" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">3,576,125&nbsp;</font></p>
</td>
<td width="23.999994" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">3,637,515&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="119.999970" colspan="3" rowspan="1" >
&nbsp;</td>
<td width="23.999994" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="401.333233" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"><b>TOTAL LIABILITIES AND STOCKHOLDERS&#8217;
EQUITY</b></font></p>
</td>
<td width="21.333328" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="97.333309" colspan="2" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:double">
<font size="2">4,572,068&nbsp;</font></p>
</td>
<td width="23.999994" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:double">
<font size="2">4,651,383&nbsp;</font></p>
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2">The accompanying notes are an integral part of these condensed
consolidated financial statements.</font></p align="center">
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center" style="border-bottom:double">
<font size="2">3&nbsp;</font></p>
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>CHAMPIONS BIOTECHNOLOGY, INC.</b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>AND SUBSIDIARIES</b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS</b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>FOR THE THREE MONTHS ENDED JULY 31, 2008 AND 2007
(UNAUDITED)</b></font></p align="center">
</td>
</tr>
</table></div>
<p>
</p>
<div align="center" style="position:relative; left: -1"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="29.333326" colspan="2" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="center">
<font size="2"><b><u>2008</u></b></font></p align="center">
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="center">
<font size="2"><b><u>2007</u></b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="129.333301" colspan="3" rowspan="1" >
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"><b>REVENUES</b></font></p>
</td>
<td width="129.333301" colspan="3" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Personalized oncology and
preclinical contract revenue </font></p>
</td>
<td width="29.333326" colspan="2" rowspan="1" >
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="98.666642" colspan="1" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">673,117&nbsp;</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" >
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="101.333308" colspan="1" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">250,000&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">    </font></p>
</td>
<td width="129.333301" colspan="3" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" >
<p>
<font size="2"><b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total
revenues</b></font></p>
</td>
<td width="27.999993" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="99.999975" colspan="2" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">673,117&nbsp;</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">250,000&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="129.333301" colspan="3" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" >
<p>
<font size="2"><b>OPERATING EXPENSES </b></font></p>
</td>
<td width="129.333301" colspan="3" rowspan="1" >
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="29.333326" colspan="2" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Research and development
</font></p>
</td>
<td width="29.333326" colspan="2" rowspan="1" >
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" >
<p align="right">
<font size="2">217,163&nbsp;</font></p align="right">
</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" >
<p align="right">
<font size="2">75,000&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cost of personalized oncology and preclinical contract revenue	</td>
<td width="29.333326" colspan="2" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">259,600&nbsp;</font></p align="right">
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">80,562&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;General and
administrative</font></p>
</td>
<td width="29.333326" colspan="2" rowspan="1" >
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">384,552&nbsp;</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">91,229&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">    </font></p>
</td>
<td width="129.333301" colspan="3" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" >
<p>
<font size="2"><b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total
operating expenses</b></font></p>
</td>
<td width="29.333326" colspan="2" rowspan="1" >
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">861,315&nbsp;</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">246,791&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="129.333301" colspan="3" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" >
<p>
<font size="2"><b>OPERATING (LOSS) INCOME</b></font></p>
</td>
<td width="29.333326" colspan="2" rowspan="1" >
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">(188,198)</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">3,209&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="129.333301" colspan="3" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" >
<p>
<font size="2"><b>OTHER INCOME</b></font></p>
</td>
<td width="129.333301" colspan="3" rowspan="1" >
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest
income</font></p>
</td>
<td width="29.333326" colspan="2" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">20,716&nbsp;</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">5,359&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="129.333301" colspan="3" rowspan="1" >
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="129.333301" colspan="3" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" >
<p>
<font size="2"><b> (LOSS) INCOME BEFORE TAXES</b></font></p>
</td>
<td width="129.333301" colspan="3" rowspan="1" >
<p align="right">
<font size="2">(167,482)</font></p align="right">
</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" >
<p align="right">
<font size="2">8,568&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Provision for income
taxes</font></p>
</td>
<td width="29.333326" colspan="2" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">-&nbsp;</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">-    &nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="129.333301" colspan="3" rowspan="1" >
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"><b>NET (LOSS) INCOME </b></font></p>
</td>
<td width="29.333326" colspan="2" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:double">
<font size="2">(167,482)</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="101.333308" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:double">
<font size="2">8,568&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="129.333301" colspan="3" rowspan="1" >
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"><b>(Loss) earnings per common share:</b></font></p>
</td>
<td width="29.333326" colspan="2" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" >
<p>
<font size="2"><b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Basic</b></font></p>
</td>
<td width="29.333326" colspan="2" rowspan="1" >
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="98.666642" colspan="1" rowspan="1" >
<p align="right">
<font size="2"> (0.01)</font></p align="right">
</td>
<td width="18.666662" colspan="1" rowspan="1" >
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="101.333308" colspan="1" rowspan="1" >
<p align="right">
<font size="2">0.00&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"><b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Diluted</b></font></p>
</td>
<td width="29.333326" colspan="2" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="98.666642" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">(0.01)</font></p align="right">
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="101.333308" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">0.00&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" >
<p>
<font size="2"><b>Shares used in calculating (loss) earnings per common
share:</b></font></p>
</td>
<td width="129.333301" colspan="3" rowspan="1" >
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"><b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Basic
</b></font></p>
</td>
<td width="129.333301" colspan="3" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">33,268,914&nbsp;</font></p align="right">
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">30,842,049&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="417.333229" colspan="1" rowspan="1" >
<p>
<font size="2"><b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Diluted
</b></font></p>
</td>
<td width="29.333326" colspan="2" rowspan="1" >
&nbsp;</td>
<td width="98.666642" colspan="1" rowspan="1" >
<p align="right">
<font size="2">33,268,914&nbsp;</font></p align="right">
</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="101.333308" colspan="1" rowspan="1" >
<p align="right">
<font size="2">31,080,085&nbsp;</font></p align="right">
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2">The accompanying notes are an integral part of these condensed
consolidated financial statements.</font></p align="center">
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center" style="border-bottom:double">
<font size="2">4&nbsp;</font></p>
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>CHAMPIONS BIOTECHNOLOGY, INC.</b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>AND SUBSIDIARIES</b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>CONDENSED CONSOLIDATED STATEMENTS OF CASH
FLOWS</b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>FOR THE THREE MONTHS ENDED JULY 31, 2008 AND 2007
(UNAUDITED)</b></font></p align="center">
</td>
</tr>
</table></div>
<p>
</p>
<div align="center" style="position:relative; left: -1"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="center">
<font size="2"><b>2008</b></font></p align="center">
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="center">
<font size="2"><b>2007</b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="13.333330" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"><b>CASH FLOWS FROM OPERATING ACTIVITIES</b></font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="13.333330" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net (loss) income from operating
activities</font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">(167,482)</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">8,568&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Adjustments to reconcile net (loss)
income to net cash (used in) provided by operating <b>activities:</b></font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share based compensation</font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;  Excess tax benefits from share based payment
arrangements&nbsp;&nbsp;</font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" >
<p align="right">
<font size="2">(4,767)</font></p align="right">
</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
<p align="right">
<font size="2">-&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stock compensation
expense</font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">13,619&nbsp;</font></p align="right">
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">-&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of prepaid consulting
services</font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" >
<p align="right">
<font size="2">84,973&nbsp;</font></p align="right">
</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
<p align="right">
<font size="2">26,838&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">Changes in:</font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Increase) in accounts
receivable</font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" >
<p align="right">
<font size="2">(6,173)</font></p align="right">
</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
<p align="right">
<font size="2">-&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Increase) in prepaid
expenses</font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2"> (18,609)</font></p align="right">
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">-&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Increase) in prepaid contract
expenses</font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" >
<p align="right">
<font size="2">(95,795)</font></p align="right">
</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
<p align="right">
<font size="2">-&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"> </font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">-&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Increase in accounts
payable</font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" >
<p align="right">
<font size="2">41,035&nbsp;</font></p align="right">
</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
<p align="right">
<font size="2">12,689&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Increase in deferred
revenue</font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">302,315&nbsp;</font></p align="right">
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">-&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Decrease) increase in other
accrued expenses</font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">(361,275)</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">27,488&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
<p>
<font size="2"><b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash (used in) provided by
operating activities</b></font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">(212,159)</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">75,583&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
<p>
<font size="2"><b>CASH FLOWS FROM INVESTING ACTIVITIES</b></font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"><b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</b>(Increase) in intangible
assets</font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">(14,372)</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">-&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="13.333330" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>Net cash (used in) investing
activities</b></font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">(14,372)</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">-&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="13.333330" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"><b>CASH FLOWS FROM FINANCING ACTIVITIES</b></font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="13.333330" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Payment of officers loan
payable</font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">-&nbsp;</font></p align="right">
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">(43,693)</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds from exercise of
options</font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" >
<p align="right">
<font size="2">7,500&nbsp;</font></p align="right">
</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
<p align="right">
<font size="2">-&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Excess tax benefits
from share based payment arrangements</font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">4,767&nbsp;</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">-&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="13.333330" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"><b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash provided by
(used in) financing activities</b></font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">12,267&nbsp;</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">(43,693)</font></p>
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="13.333330" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"><b>    &nbsp;Net (decrease) increase in cash and cash
equivalents</b></font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">(214,264)</font></p align="right">
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">31,890&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="13.333330" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"><b>CASH AND CASH EQUIVALENTS &nbsp;BEGINNING OF
PERIOD</b></font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">3,709,136&nbsp;</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:solid windowtext .5pt">
<font size="2">475,135&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="13.333330" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"><b>CASH AND CASH EQUIVALENTS - END OF PERIOD</b></font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:double">
<font size="2">3,494,872&nbsp;</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right" style="border-bottom:double">
<font size="2">507,025&nbsp;</font></p>
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="13.333330" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2"><b>SUPPLEMENTAL DISCLOSURE OF CASH FLOW
INFORMATION:</b></font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash paid during the year
for:</font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest
paid</font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">-&nbsp;</font></p align="right">
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
<p align="right">
<font size="2">-&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Income
Tax Paid</font></p>
</td>
<td width="13.333330" colspan="1" rowspan="1" >
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="85.333312" colspan="1" rowspan="1" >
<p align="right">
<font size="2">-&nbsp;</font></p align="right">
</td>
<td width="18.666662" colspan="1" rowspan="1" >
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="79.999980" colspan="1" rowspan="1" >
<p align="right">
<font size="2">-&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="598.666517" colspan="3" rowspan="1" >
<p>
<font size="2"><b>SUPPLEMENTAL SCHEDULE OF NON-CASH FLOW INVESTING AND FINANCING
ACTIVITIES:</b></font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="498.666542" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="13.333330" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="85.333312" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="598.666517" colspan="3" rowspan="1" >
<p>
<font size="2">In May 2007, the Company issued 525,000 stock options for prepaid
consulting valued at $157,473.</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="598.666517" colspan="3" rowspan="1" bgcolor=#99CCFF>
<p>
<font size="2">In May 2007, the Company issued 4,000,000 shares for 100% of the
shares of Biomerk, Inc.</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
<td width="79.999980" colspan="1" rowspan="1" bgcolor=#99CCFF>
&nbsp;</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2">The accompanying notes are an integral part of these condensed
consolidated financial statements.</font></p align="center">
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center" style="border-bottom:double">
<font size="2">5&nbsp;</font></p>
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>CHAMPIONS BIOTECHNOLOGY, INC.</b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>AND SUBSIDIARIES</b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS</b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>JULY 31, 2008 AND 2007
(UNAUDITED)</b></font></p align="center">
</td>
</tr>
</table></div>
<p>
<p>
<font size="2"><b>(1) <u>ORGANIZATION AND BASIS OF PRESENTATION
</u></b></font><p>
<font size="2">The accompanying condensed consolidated financial statements of
Champions Biotechnology, Inc. ("Champions" or the "Company") as of  and for the
three months ended July&nbsp;31, 2008 and 2007 are unaudited. The accompanying
unaudited condensed consolidated balance sheets, statements of operations and
statements of cash flows have been prepared in accordance with U.S. generally
accepted accounting principles (GAAP) for interim financial information and in
conjunction with the rules and regulations of the Securities and Exchange
Commission (SEC). Accordingly, they do not include all of the disclosures
required by Generally Accepted Accounting Principles (&#8220;GAAP&#8221;) for
complete financial statements. The financial statements reflect all adjustments,
consisting only of normal, recurring adjustments, which are in the opinion of
management, necessary for a fair presentation for the interim periods.
Management of the Company has made a number of estimates and assumptions
relating to the reporting of assets and liabilities and related revenue and
expense accounts and the disclosure of contingent assets and liabilities to
prepare these condensed consolidated financial statements in conformity with
GAAP. Actual results could differ materially from those estimates. These
financial statements should be read in conjunction with the audited consolidated
financial statements and notes thereto included in the Company&#8217;s Annual
Report on Form&nbsp;10-K for the fiscal year ended April 30, 2008. The results
for the three months ended July 31, 2008 may not be indicative of the results
for the entire year.</font><p>
<font size="2"><b><u>Impact of Recent Accounting
Pronouncements</u></b></font><p>
<font size="2">The Company adopted Statement of Financial Accounting Standards
("SFAS") No. 157, "Fair Value Measurement" ("SFAS No. 157") on May 1, 2008.
SFAS&nbsp;157 defines fair value as the price that would be received to sell an
asset or paid to transfer a liability in an orderly transaction between market
participants at the measurement date (an exit price). The standard outlines a
valuation framework and creates a fair value hierarchy in order to increase the
consistency and comparability of fair value measurements and the related
disclosures. Under GAAP, certain assets and liabilities must be measured at fair
value, and SFAS&nbsp;157 details the disclosures that are required for items
measured at fair value. In February 2008, the Financial Accounting Standards
Board issued Staff Position No.&nbsp;157-2 (FSP 157-2), which delays the
effective date of SFAS&nbsp;157 for one year for all nonfinancial assets and
liabilities, except those that are recognized or disclosed at fair value in the
financial statements on a recurring basis. The Company does not have
nonfinancial assets and nonfinancial liabilities that are required to be
measured at fair value on a recurring basis. Based on this guidance, the Company
expects to adopt the provisions of SFAS&nbsp;157 as related to nonfinancial
assets and nonfinancial liabilities, effective January&nbsp;1, 2009 and this
adoption is not expected to have a material impact on the Company&#8217;s
financial statements.</font><p>
<font size="2">The Company did not elect the fair value measurement option under
SFAS No. 159, "The Fair Value Option for Financial Assets and Liabilities&#8221;
and presently, the Company does not have any financial assets and liabilities
that would need to be measured under the fair measurement option under SFAS
159.</font><p>
<font size="2">In December 2007, the FASB issued SFAS No.&nbsp;160,
"Non-controlling Interests in Consolidated Financial Statements: an amendment of
ARB No.&nbsp;51" ("SFAS No.&nbsp;160"). SFAS No.&nbsp;160 replaces the term
minority interests with the newly-defined term of non-controlling interests and
establishes this line item as an element of stockholders&#8217; equity, separate
from the parent&#8217;s equity. SFAS No.&nbsp;160 also includes expanded
disclosure requirements regarding the interests of the parent and its
non-controlling interest. The Company is continuing to review the provisions of
SFAS No.&nbsp;160, which is effective the first quarter of fiscal 2010, and
currently does not expect this new accounting standard to have a significant
impact on the Consolidated Financial Statements. </font><p>
<font size="2">In March 2008, the FASB issued SFAS No.&nbsp;161, "Disclosures
about Derivative Instruments and Hedging Activities: an amendment of FASB
Statement No.&nbsp;133" ("SFAS No.&nbsp;161"). SFAS No.&nbsp;161 changes the
disclosure requirements for derivative instruments and hedging activities. The
Company is reviewing the provisions of SFAS No.&nbsp;161, which is effective the
first quarter of fiscal 2010, and currently does not anticipate that this new
accounting standard will have a significant impact on the Consolidated Financial
Statements. </font><p>
<font size="2">In May 2008, the FASB issued SFAS No. 162, "The Hierarchy of
Generally Accepted Accounting Principles" (SFAS No. 162). SFAS No. 162
identifies the sources of accounting principles and the framework for selecting
principles used in the preparation of financial statements.&nbsp;&nbsp;SFAS No.
162 is effective 60 days following the SEC&#8217;s approval of the Public
Company Accounting Oversight Board amendments to AU Section 411, "The Meaning of
Present Fairly in Conformity with Generally Accepted Accounting Principles". The
implementation of this standard will not have a material impact on Consolidated
Financial Statements.</font></p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center" style="border-bottom:double">
<font size="2">6&nbsp;</font></p>
</td>
</tr>
</table></div>
<p>
<font size="2"><b><u>Reclassifications</u></b></font><p>
<font size="2">The Company has reclassified certain amounts for the three months
ended July 31, 2007 to conform to the presentation of the July 31, 2008 amounts.
The reclassifications have no effect on the net loss for the period ended July
31, 2008</font><p>
<font size="2"><b>(2) <u>NET (LOSS) INCOME PER SHARE</u></b></font><p>
<font size="2">Basic earnings per common share (EPS) is computed by dividing net
income by the weighted-average number of common shares outstanding during the
period. Diluted EPS is computed by dividing net income by the weighted-average
number of common shares outstanding during the period increased to include all
additional common shares that would have been outstanding assuming potentially
dilutive common share equivalents had been issued. Dilutive common share
equivalents include (1)&nbsp;the dilutive effect of in-the-money shares related
to stock options, which is calculated based on the average share price for each
period using the treasury stock method.  Under the treasury stock method, the
exercise price of an option, the average amount of compensation cost, if any,
for future service that the Company has not yet recognized, and the amount of
tax benefits that would be recorded in additional paid-in capital, if any, when
the option is exercised, are assumed to be used to repurchase shares in the
current period. For the three months ended July&nbsp;31, 2008 and 2007, there
were an aggregate of 35,523,530 and 31,080,685 respectively, potential common
shares related to share-based instruments, excluded from the diluted EPS
computation because their inclusion would have had an anti-dilutive effect.
</font><p>
<font size="2">The following is a reconciliation of the computation for basic
and diluted EPS:</font></p>
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="191.999952" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="26.666660" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="29.333326" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="89.333311" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="center">
<font size="2"><b>July 31,</b></font></p align="center">
</td>
<td width="21.333328" colspan="1" rowspan="1" BGCOLOR=#ffffff>
&nbsp;</td>
<td width="90.666644" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="center">
<font size="2"><b>July 31,</b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="191.999952" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="26.666660" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="29.333326" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="89.333311" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>2008</b></font></p align="center">
</td>
<td width="21.333328" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="90.666644" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>2007</b></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="191.999952" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="26.666660" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="29.333326" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="89.333311" colspan="1" rowspan="1" BGCOLOR=#ffffff>
&nbsp;</td>
<td width="21.333328" colspan="1" rowspan="1" BGCOLOR=#ffffff>
&nbsp;</td>
<td width="90.666644" colspan="1" rowspan="1" BGCOLOR=#ffffff>
&nbsp;</td>
</tr>
<tr valign="top">
<td width="191.999952" colspan="1" rowspan="1" >
<p>
<font size="2">Net income (loss)</font></p>
</td>
<td width="26.666660" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="29.333326" colspan="1" rowspan="1" >
<p align="right">
<font size="2">&nbsp;$</font></p align="right">
</td>
<td width="89.333311" colspan="1" rowspan="1" >
<p align="right">
<font size="2">(167,482)</font></p align="right">
</td>
<td width="21.333328" colspan="1" rowspan="1" >
<p align="right">
<font size="2">&nbsp;$</font></p align="right">
</td>
<td width="90.666644" colspan="1" rowspan="1" >
<p align="right">
<font size="2">8,568&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="191.999952" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="26.666660" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="29.333326" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="89.333311" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="21.333328" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="90.666644" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="238.666607" colspan="3" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">Weighted-average common shares</font></p>
</td>
<td width="29.333326" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="89.333311" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="21.333328" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="90.666644" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="219.999945" colspan="2" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">outstanding (basic)</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="29.333326" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="89.333311" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">33,268,914&nbsp;</font></p align="right">
</td>
<td width="21.333328" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="90.666644" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">30,842,049&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="191.999952" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="26.666660" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="29.333326" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="89.333311" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="21.333328" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="90.666644" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="238.666607" colspan="3" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">Weighted-average common stock</font></p>
</td>
<td width="29.333326" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="89.333311" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="21.333328" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="90.666644" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="219.999945" colspan="2" rowspan="1" BGCOLOR=#ffffff>
&nbsp;Equivalents	</td>
<td width="18.666662" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="29.333326" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="89.333311" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="21.333328" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="90.666644" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="219.999945" colspan="2" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stock
options</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="29.333326" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="89.333311" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">-</font></p align="right">
</td>
<td width="21.333328" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="90.666644" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">238,636&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="219.999945" colspan="2" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="29.333326" colspan="1" rowspan="1" >
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="89.333311" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="21.333328" colspan="1" rowspan="1" >
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="90.666644" colspan="1" rowspan="1" >
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="191.999952" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="26.666660" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="29.333326" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="89.333311" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="21.333328" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="90.666644" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="238.666607" colspan="3" rowspan="1" BGCOLOR=#ffffff>
<p>
<font size="2">Weighted-average common shares</font></p>
</td>
<td width="29.333326" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="89.333311" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="21.333328" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="90.666644" colspan="1" rowspan="1" BGCOLOR=#ffffff>
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="219.999945" colspan="2" rowspan="1" >
<p>
<font size="2">outstanding (diluted)</font></p>
</td>
<td width="18.666662" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="29.333326" colspan="1" rowspan="1" >
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="89.333311" colspan="1" rowspan="1" >
<p align="right">
<font size="2">33,268,914&nbsp;</font></p align="right">
</td>
<td width="21.333328" colspan="1" rowspan="1" >
<p align="right">
<font size="2">&nbsp;</font></p align="right">
</td>
<td width="90.666644" colspan="1" rowspan="1" >
<p align="right">
<font size="2">31,080,085&nbsp;</font></p align="right">
</td>
</tr>
</table></div>
<p>
<p>
<font size="2"><b>(3) <u>COMMITMENTS AND CONTINGENCIES</u></b></font><p>
<font size="2"><b><u>Operating leases</u></b></font><p>
<font size="2">The Company leases, as tenant, space under an operating lease,
which expires September 30, 2008. The Company also leases, as tenant, space
under an operating lease which expires February 28, 2009.</font><p>
<font size="2">Rental expense during the three months ended July 31, 2008 and
2007 was $19,280 and $0, respectively.</font><p>
<font size="2"><b>(4) <u>SHARE BASED COMPENSATION</u></b></font><p>
<font size="2">The total employee share based compensation cost that has been
recognized in results of operations was $13,619 for the three months ended July
31, 2008.  As of July 31, 2008, there was $155,611 unrecognized compensation
cost related to employee share based compensation arrangements.  The cost is
expected to be recognized over a weighted average period of 2.69
years.</font><p>
<font size="2">The total nonemployee consulting share based compensation cost
that has been recognized in the results of operations was $84,973 for the three
months ended July 31, 2008.  As of July 31, 2008 there was $801,183 unrecognized
compensation related to nonemployee consulting share based compensation
arrangements. The cost is expected to be recognized over a weighted average
period of 2.21 years.</font></p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center" style="border-bottom:double">
<font size="2">7&nbsp;</font></p>
</td>
</tr>
</table></div>
<p>
<p>
<font size="2"><b>(5) <u>PROVISION FOR INCOME TAXES</u></b></font><p>
<font size="2">Deferred income taxes are determined using the liability method
for the temporary differences between the financial reporting basis and income
tax basis of the Company&#8217;s assets and liabilities. Deferred income taxes
are measured based on the tax rates expected to be in effect when the temporary
differences are included in the Company&#8217;s consolidated tax return.
Deferred tax assets and liabilities are recognized based on anticipated future
tax consequences attributable to differences between financial statement
carrying amounts of assets and liabilities and their respective tax
bases.</font><p>
<font size="2">At July 31, 2008 and 2007, deferred tax assets consist of the
following:  </font></p>
<div style="position:relative; left: 35"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="258.666602" colspan="1" rowspan="1" >
<p>
<font size="2">  &nbsp;</font></p>
</td>
<td width="25.333327" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;</font></p>
</td>
<td width="73.333315" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><u>2008</u></font></p align="center">
</td>
<td width="21.333328" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="77.333314" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><u>2007</u></font></p align="center">
</td>
</tr>
<tr valign="top">
<td width="258.666602" colspan="1" rowspan="1" >
<p>
<font size="2">Deferred tax asset </font></p>
</td>
<td width="25.333327" colspan="1" rowspan="1" >
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="73.333315" colspan="1" rowspan="1" >
<p align="right">
<font size="2">2,532,610&nbsp;</font></p align="right">
</td>
<td width="21.333328" colspan="1" rowspan="1" >
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="77.333314" colspan="1" rowspan="1" >
<p align="right">
<font size="2">2,483,487&nbsp;</font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="258.666602" colspan="1" rowspan="1" >
&nbsp;Less:  valuation allowance	</td>
<td width="25.333327" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="73.333315" colspan="1" rowspan="1" >
<p align="right">
<font size="2">(2,532,610)</font></p align="right">
</td>
<td width="21.333328" colspan="1" rowspan="1" >
<p align="right">
<font size="2">&nbsp;&nbsp;</font></p align="right">
</td>
<td width="77.333314" colspan="1" rowspan="1" >
<p align="right">
<font size="2">(2,483,487) </font></p align="right">
</td>
</tr>
<tr valign="top">
<td width="258.666602" colspan="1" rowspan="1" >
<p>
<font size="2">Net deferred tax asset</font></p>
</td>
<td width="25.333327" colspan="1" rowspan="1" >
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="73.333315" colspan="1" rowspan="1" >
<p align="right">
<font size="2">-0-&nbsp;&nbsp;</font></p align="right">
</td>
<td width="21.333328" colspan="1" rowspan="1" >
<p align="right">
<font size="2">$</font></p align="right">
</td>
<td width="77.333314" colspan="1" rowspan="1" >
<p align="right">
<font size="2">-0-&nbsp;&nbsp;</font></p align="right">
</td>
</tr>
</table></div>
<p>
<p>
<font size="2">At July 31, 2008 and 2007, the Company had federal net operating
loss carryforwards in the approximate amounts of $7,236,029 and $7,095,677
available to offset future taxable income subject to Section 382 analysis
limitations.  The Company established valuation allowances equal to the full
amount of the deferred tax assets due to the uncertainty of the utilization of
the operating losses in future periods. </font><p>
<font size="2"><b>(6) <u>RELATED PARTY TRANSACTIONS</u></b></font><p>
<font size="2">The Chairman of the Company participates in conducting and
providing the Company&#8217;s Personalized Oncology services.  During the three
months ended July 31, 2008, the Company paid compensation to the Chairman for
these services which are provided in the ordinary course of business.  The
Company believes the compensation is on the same basis as if the same services
were provided by unrelated parties.   The Chairman of the Company is a director
of ImClone Systems, Incorporated and Alfacell Corporation, companies which have
entered into contracts for the Company to perform services.  During the three
months ended July 31, 2008, the Company recorded revenue of $12,345 from
Alfacell Corporation  and had deferred revenue of $198,450 from ImClone Systems,
Incorporated.  All services provided under these contracts are in the ordinary
course of business at prices and on terms and conditions that the Company
believes are the same as those that would result from arm&#8217;s length
negotiations between unrelated parties.</font></p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center" style="border-bottom:double">
<font size="2">8&nbsp;</font></p>
</td>
</tr>
</table></div>
<p>
<font size="2"><b>Item 2.    &nbsp;Management&#8217;s Discussion and Analysis of
Financial Condition and Results of Operations.</b></font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As used in this
Quarterly Report 10-Q, "Champions Biotechnology," "Champions," "we," "ours," and
"us" refer to Champions Biotechnology, Inc., except where the context otherwise
requires or as otherwise indicated.</font></p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2">DISCLOSURE REGARDING FORWARD-LOOKING
STATEMENTS</font></p align="center">
</td>
</tr>
</table></div>
<p>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This document contains
"forward-looking statements" within the meaning of Section 27A of the Securities
Act of 1933 ("Securities Act") and Section 21E of the Securities Exchange Act of
1934 ("Exchanges Act") that inherently involve risk and uncertainties.  The
Company generally uses words such as "believe," "may," "could," "will,"
"intend," "estimate," "expect," "anticipate," "plan," "likely," "promise" and
similar expressions to identify forward-looking statements.  One should not
place undue reliance on these forward-looking statements.  The Company&#8217;s
actual results could differ materially from those anticipated in the
forward-looking statements for many unforeseen factors, which may include, but
are not limited to, changes in general economic conditions, the ongoing threat
of terrorism, ability to have access to financing sources on reasonable terms
and other risks. Those risks include, but are not limited to, the risks
identified in our periodic reports filed with the Securities and Exchange
Commission, including our most recent Annual Report on form 10-KSB.  Although
the Company believes the expectations reflected in the forward-looking
statements are reasonable, they relate only to events as of the date on which
the statements are made, and the Company&#8217;s future results, levels of
activity, performance or achievements may not meet these expectations.  The
Company does not intend to update any of the forward-looking statements after
the date of this document to conform these statements to actual results or to
changes in the Company&#8217;s expectations, except as required by
law.</font><p>
<font size="2"><i>Overview</i></font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company is engaged
in the development of advanced preclinical platforms and predictive tumor
specific data to enhance and accelerate the value of oncology drugs.&nbsp; The
Company&#8217;s Preclinical Platform is a novel approach based upon the
implantation of primary human tumors in immune deficient mice followed by
propagation of the resulting xenografts (Biomerk Tumorgrafts&#8482;) in a manner
that preserves the biological characteristics of the original human tumor.&nbsp;
The Company believes that Biomerk Tumorgrafts closely reflect human cancer
biology and their response to drugs is more predictive of clinical outcomes in
cancer patients.&nbsp; The Company is building its Biomerk Tumorgraft platform
through the procurement, development and characterization of numerous
Tumorgrafts within each of several cancer types.&nbsp; Tumorgrafts are procured
through agreements with institutions in the United States and Europe and
developed and tested through agreement with a U.S. based preclinical
facility.&nbsp; </font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We intend to leverage
our preclinical platform to evaluate oncology drug candidates and to develop a
portfolio of novel drug candidates through pre-clinical trials.&nbsp; As drugs
progress through this early stage of development, the Company plans to sell,
partner or license them to pharmaceutical and/or biotechnology companies, as
appropriate.&nbsp; We believe this strategy will enable the Company to leverage
the competencies of these partners or licensees to maximize the Company&#8217;s
return on investment in a time frame that is shorter than for traditional drug
development.&nbsp; The Company believes that this model is unlike that of many
new biotechnology companies that look to bring the process of drug development
through all phases of discovery, development, regulatory approvals, and
marketing, which requires a very large financial commitment and a long
development period, typically more than a decade, to commercialize.&nbsp; Thus
far we have acquired two oncology drug candidates and we have begun preclinical
development of the most promising candidate, SG410, through the use of contract
facilities.&nbsp; We have secured preclinical supply of SG410 and it is our
intention to develop a soluble form of the compound and evaluate its efficacy in
Biomerk Tumorgrafts from several cancer types.&nbsp; If results are promising it
is our intention to continue preclinical development and then sell, partner or
license SG410 for its remaining clinical development.&nbsp; </font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company also offers
its Biomerk Tumorgraft predictive preclinical platform and tumor specific data
to physicians to provide information that may enhance personalized patient care
options and to companies for evaluation of oncology drugs in a platform that
integrates predictive testing with biomarker discovery.&nbsp; We provide
Personalized Oncology services to physicians in the field of oncology by
establishing and administering expert medical information panels for their
patients to analyze medical records and test results, to assist in understanding
conventional and research options and to identify and arrange for testing,
analysis and study of cancer tissues, as appropriate.&nbsp; In FY08 the Company
generated all its revenue from its growing Personalized Oncology services while
we continued development of our Biomerk Tumorgraft platform.&nbsp; </font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In late fiscal year
2008, as we expanded our number of Biomerk Tumorgraft models, we began to offer
leading pharmaceutical and biotechnology companies the benefits of our Biomerk
Tumorgrafts for their preclinical evaluation programs.&nbsp; We provide
Preclinical eValuation services that we believe are more predictive of clinical
outcomes and that might provide for a faster and less expensive path for drug
approval. &nbsp;These services utilize Biomerk Tumorgrafts to evaluate tumor
sensitivity/resistance to various single and combination standard and novel
chemotherapy agents. &nbsp;The Preclinical eValuation services we offer also
include biomarker discovery and the identification of novel drug
combinations.&nbsp; &nbsp;In the fourth quarter of fiscal year 2008 the Company
established an agreement with ImClone Systems Incorporated for the preclinical
evaluation of certain therapeutic antibodies in ImClone&#8217;s clinical
development pipeline. As part of the agreement, ImClone will utilize our Biomerk
Tumorgrafts in the initial preclinical evaluation.</font></p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center" style="border-bottom:double">
<font size="2">9&nbsp;</font></p>
</td>
</tr>
</table></div>
<p>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Once we enter into an
agreement with a pharmaceutical or biotechnology company to perform Biomerk
testing services it takes several months to propagate the Tumorgrafts prior to
beginning the drug testing.  In the first quarter of fiscal 2009 we began the
initial testing under one of our contracts.  We are currently providing services
or in discussions to provide services to a number of other companies.</font><p>
<font size="2"><i>Results of Operations</i></font><p>
<font size="2"><b><u>Three Months Ended July 30, 2008 and 2007</u></b></font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b><u>Revenues</u>.
</b> For the three months ended July 31, 2008, the Company&#8217;s operating
revenue was $673,117. For the three months ended July 31, 2007, the operating
revenue was $250,000.  The Company primarily derived its revenue from its
Personalized Oncology business which provides services to assist physicians by
providing information that may enhance personalized treatment options for their
cancer patients through access to expert medical information panels and tumor
specific data.  Revenues are also derived from the Company&#8217;s Preclinical
eValuation business which offers the benefits of its Preclinical Platform to
pharmaceutical and biotechnology companies using Biomerk Tumorgraft studies
which have been shown to be predictive of how drugs perform in clinical
settings.  The Company began to generate revenue from its Preclinical eValuation
business in the first quarter of fiscal 2009 as it completed a small portion of
one study for one of its contractual customers during the quarter; that study
and others continue and are in progress.  Expectations for growth in the future
are from continued Personalized Oncology services and expected increased use of
our Preclinical eValuation services. The Company&#8217;s revenue is described as
Personalized Oncology and Preclinical Contract  revenue in the Condensed
Consolidated Statements of Operations.</font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At July 31, 2008, the
Company had deferred revenue of $806,937 which represents payments in advance on
future operations which will be recognized as earned when operations are
performed.  At July 31, 2007, the Company had no deferred revenue.</font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b><u>Expenses</u>.</b>
For the three months ended July 31, 2008, the operating expenses for the Company
were $861,315 compared to $246,791 for the three months ended July 31, 2007.
</font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Research and
development expenses</font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For the three months
ended July 31, 2008, research and development expenses were $217,163 and $75,000
for the three months ended July 31, 2007.  The increase of $142,163 was
primarily a result of the increase in Tumorgrafts acquired and their
propogation, characterization and development for future utilization in
preclinical studies.  Increases also resulted from preclinical development
expenses for the Company&#8217;s lead oncology drug candidate, SG410.</font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cost of personalized
oncology and preclinical contract services</font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For the three months
ended July 31, 2008, the costs of personalized oncology and preclinical contract
services were $259,600 and $80,562 for the three months ended July 31, 2007.
These costs were primarily for conducting the Company&#8217;s personalized
oncology services, including medical information panels and personalized
tumorgrafts, but also include costs related to preclinical evaluation studies in
progress under contract.</font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;General and
administrative expenses</font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For the three months
ended July 31, 2008, general and administrative expenses were $384,552, compared
to $91,229 at July 31, 2007.  The Company experienced increasing expenses as its
activities increased and as it built and  grew its infrastructure including the
addition of personnel, consultants, offices and other resources to facilitate
current and future growth.</font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Expenses are expected
to increase in the future, commensurate with the Company&#8217;s increased
levels of activity and growth.</font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b><u>Net
Income</u>.</b> For the three months ended July 31, 2008, the Company&#8217;s
net loss was $167,482 and the net income for the three months ended July 31,
2007 was $8,568.  In the quarter ended July 31, 2008, the Company increased
investments to grow its preclinical platform, increase revenues from its
Personalized Oncology and Preclinical eValuation businesses and begin
preclinical development of its oncology drug candidate, SG410.  The Company
began its operations as a biotechnology company in the quarter ended July 31,
2007 after it acquired Biomerk, Inc. in May 2007.</font><p>
<font size="2"><i>Liquidity and Capital Resources</i></font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company&#8217;s
cash position on July 31, 2008, was $3,494,872 compared to $507,025 on July 31,
2007. For the three months ended July 31, 2008, the net cash used by operating
activities was $212,159. For the three months ended July 31, 2007, the net cash
provided by operating activities was $75,583.</font></p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center" style="border-bottom:double">
<font size="2">10&nbsp;</font></p>
</td>
</tr>
</table></div>
<p>
<p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company&#8217;s
working capital as of July 31, 2008 was $2,672,380 compared to $92,432 at July
31, 2007. The increased working capital was due to the receipt of proceeds of
$2,500,000 from private investment financing in March 2008 and the receipt of
payments in advance on future operations as deferred revenue. </font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company has
sufficient resources to provide for the next twelve months of operations based
on its current level of expenditure, its anticipated level of future expenditure
and revenue growth and its ability to curtail expenditures if needed.</font><p>
<font size="2"><i>Critical Accounting Policies</i></font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the notes to the
condensed consolidated financial statements for the three months ended July 31,
2008 included in the Company&#8217;s Form 10-Q, the Company discussed those
accounting policies that are considered to be significant in determining the
results of operations and our financial position.  We believe that the
accounting principles utilized by us conform to accounting principles generally
accepted in the United States of America.</font><p>
<font size="2"><b>Item 3.</b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>Quantitative and
Qualitative Disclosures About Market Risk</b></font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;None.</font><p>
<font size="2"><b>Item 4.</b>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>Controls and
Procedures</b></font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We maintain a system of
disclosure controls and procedures that is designed to provide reasonable
assurance that information, which is required to be disclosed by us in the
reports that we file or submit under the Securities and Exchange Act of 1934, as
amended, is recorded, processed, summarized and reported within the time periods
specified in the rules and forms of the Securities and Exchange Commission, and
is accumulated and communicated to management in a timely manner.  Our Principal
Executive Officer and Acting Chief Financial Officer have evaluated this system
of disclosure controls and procedures as of the end of the period covered by
this quarterly report, and believe that the system is not effective.  There have
been no changes in our internal control over financial reporting during the most
recent fiscal quarter that have materially affected, or are reasonably likely to
materially affect, our internal control over financial
reporting.</font></p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center" style="border-bottom:double">
<font size="2">11&nbsp;</font></p>
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>PART II-OTHER</b> <b>INFORMATION</b></font></p align="center">
</td>
</tr>
</table></div>
<p>
<p>
<font size="2"><b>Item 1.</b>    &nbsp;<b>Legal Proceedings.</b></font><p>
<font size="2">None</font><p>
<font size="2"><b>Item 2.</b>    &nbsp;<b>Unregistered Sales of Equity
Securities and Use of Proceeds.</b></font><p>
<font size="2">None</font><p>
<font size="2"><b>Item 3.</b>    <b>&nbsp;Defaults Upon Senior
Securities.</b></font><p>
<font size="2">None</font><p>
<font size="2"><b>Item 4.</b>    &nbsp;<b>Submission of Matters to a Vote of
Security Holders.</b></font><p>
<font size="2">None</font><p>
<font size="2"><b>Item 5.</b>    &nbsp;<b>Other Information</b></font><p>
<font size="2">None</font><p>
<font size="2"><b>Item 6</b>.    &nbsp;<b>Exhibits</b></font><p>
<font size="2"><u>Exhibit No.</u></font></p>
<div style="position:relative; left: 0"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="51.999987" colspan="1" rowspan="1" >
<p>
<font size="2">31.1</font></p>
</td>
<td width="577.333189" colspan="1" rowspan="1" >
<p>
<font size="2">Rule 13a-14(a)/15d-14(a) Certification of Chief Executive
Officer</font></p>
</td>
</tr>
<tr valign="top">
<td width="51.999987" colspan="1" rowspan="1" >
<p>
<font size="2">31.2</font></p>
</td>
<td width="577.333189" colspan="1" rowspan="1" >
<p>
<font size="2">Rule 13a-14(a)/15d-14(a) Certification of Chief Financial
Officer</font></p>
</td>
</tr>
<tr valign="top">
<td width="51.999987" colspan="1" rowspan="1" >
<p>
<font size="2">32.1</font></p>
</td>
<td width="577.333189" colspan="1" rowspan="1" >
<p>
<font size="2">Section 1350 Certifications</font></p>
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center" style="border-bottom:double">
<font size="2">12&nbsp;</font></p>
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<font size="2"><b>SIGNATURES</b></font></p align="center">
</td>
</tr>
</table></div>
<p>
</p>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.	<p>
</p>
<div style="position:relative; left: 0"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="379.999905" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="250.666604" colspan="2" rowspan="1" >
<p>
<font size="2">CHAMPIONS BIOTECHNOLOGY, INC.</font></p>
</td>
</tr>
<tr valign="top">
<td width="379.999905" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="250.666604" colspan="2" rowspan="1" >
<p>
<font size="2">(Registrant)</font></p>
</td>
</tr>
<tr valign="top">
<td width="379.999905" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="38.666657" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="210.666614" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="379.999905" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="38.666657" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="210.666614" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="379.999905" colspan="1" rowspan="1" >
<p>
<font size="2">Date: September 15, 2008</font></p>
</td>
<td width="38.666657" colspan="1" rowspan="1" >
<p>
<font size="2">By:</font></p>
</td>
<td width="210.666614" colspan="1" rowspan="1" >
<p>
<font size="2"><u>/s/ Douglas D. Burkett</u></font></p>
</td>
</tr>
<tr valign="top">
<td width="379.999905" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="38.666657" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;</font></p>
</td>
<td width="210.666614" colspan="1" rowspan="1" >
<p>
<font size="2">Douglas D. Burkett</font></p>
</td>
</tr>
<tr valign="top">
<td width="379.999905" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="38.666657" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;</font></p>
</td>
<td width="210.666614" colspan="1" rowspan="1" >
<p>
<font size="2">Principal Executive Officer</font></p>
</td>
</tr>
<tr valign="top">
<td width="379.999905" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="38.666657" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="210.666614" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="379.999905" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="38.666657" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="210.666614" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="379.999905" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="38.666657" colspan="1" rowspan="1" >
<p>
<font size="2">By:</font></p>
</td>
<td width="210.666614" colspan="1" rowspan="1" >
<p>
<font size="2"><u>/s/ Durwood C. Settles</u></font></p>
</td>
</tr>
<tr valign="top">
<td width="379.999905" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="38.666657" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;</font></p>
</td>
<td width="210.666614" colspan="1" rowspan="1" >
<p>
<font size="2">Durwood C. Settles</font></p>
</td>
</tr>
<tr valign="top">
<td width="379.999905" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="38.666657" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;</font></p>
</td>
<td width="210.666614" colspan="1" rowspan="1" >
<p>
<font size="2">Acting Chief Financial Officer</font></p>
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center" style="border-bottom:double">
<font size="2">13&nbsp;</font></p>
</td>
</tr>
</table></div>
<p>
</p>


</body>

</html>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-31
<SEQUENCE>2
<FILENAME>cbi10q073108-ex31_1.htm
<DESCRIPTION>CEO CERTIFICATION
<TEXT>
<html>
<head><meta content="text/html; charset=">
<title>SECURITIES AND EXCHANGE COMMISSION</title>
</head>

<body >
<ul>
</ul>

<p>
</p align="right">
<div align="right" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="right">
<a name="_DV_M234"></a><font size="2"><b><u>Exhibit
31.1</u></b></font></p align="right">
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<a name="_DV_M235"></a><font size="2">CERTIFICATION</font></p align="center">
</td>
</tr>
</table></div>
<p>
<p>
<a name="_DV_M236"></a><a name="_DV_M237"></a><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;I,
Douglas D. Burkett, certify that:</font><p>
<a name="_DV_M238"></a><a name="_DV_M239"></a><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.
&nbsp;&nbsp;&nbsp;I have reviewed this Quarterly Report on Form 10-Q of
Champions Biotechnology, Inc., a Delaware corporation:</font><p>
<a name="_DV_M240"></a><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.
Based on my knowledge, this report does not contain any untrue statement of a
material fact or omit to state a material fact necessary to make the statements
made, in light of the circumstances under which such statements were made, not
misleading with respect to the period covered by this report;</font><p>
<a name="_DV_M241"></a><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.
Based on my knowledge, the financial statements, and other financial information
included in this report, fairly present in all material respects the financial
condition, results of operations and cash flows of the Registrant as of, and
for, the periods presented in this report;</font><p>
<a name="_DV_M242"></a><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.
The Registrant&#8217;s other certifying officer and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined in
Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial
reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the
Registrant and have:</font><p>
<a name="_DV_M243"></a><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)
&nbsp;Designed such disclosure controls and procedures, or caused such
disclosure controls and procedures to be designed under our supervision, to
ensure that material information relating to the Registrant, including its
consolidated subsidiaries, is made known to us by others within those entities,
particularly during the period in which this report is being prepared;
</font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)
&nbsp;Designed such internal control over financial reporting, or caused such
internal control over financial reporting to be designed under our supervision,
to provide reasonable assurance regarding the reliability of financial reporting
and the preparation of financial statements for external purposes in accordance
with generally accepted accounting principals;</font><p>
<a name="_DV_M244"></a><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)
&nbsp;Evaluated the effectiveness of the Registrant&#8217;s disclosure controls
and procedures and presented in this report our conclusions about the
effectiveness of the disclosure controls and procedures, as of the end of the
period covered by this report based on such evaluation; and</font><p>
<a name="_DV_M245"></a><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)
&nbsp;Disclosed in this report any change in the Registrant&#8217;s internal
control over financial reporting that occurred during the Registrant&#8217;s
most recent fiscal quarter (the Registrant&#8217;s fourth fiscal quarter in the
case of an annual report) that has materially affected, or is reasonably likely
to materially affect, the Registrant&#8217;s internal control over financial
reporting; and</font><p>
<a name="_DV_M246"></a><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.
The Registrant&#8217;s other certifying officer and I have disclosed, based on
our most recent evaluation of internal control over financial reporting, to the
Registrant&#8217;s auditors and the audit committee of Registrant&#8217;s board
of directors (or persons performing the equivalent function):</font><p>
<a name="_DV_M247"></a><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)
&nbsp;All significant deficiencies and material weaknesses in the design or
operation of internal control over financial reporting which are reasonably
likely to adversely affect the Registrant&#8217;s ability to record, process,
summarize and report financial information; and</font><p>
<a name="_DV_M248"></a><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)
&nbsp;Any fraud, whether or not material, that involves management or other
employees who have a significant role in the Registrant&#8217;s internal control
over financial reporting.</font></p>
<div style="position:relative; left: 0"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="446.666555" colspan="1" rowspan="1" >
<p>
<a name="_DV_M249"></a><font size="2">Date: September 15 2008</font></p>
</td>
<td width="183.999954" colspan="1" rowspan="1" >
<p>
<font size="2"><u>/s/ Douglas D. Burkett</u></font></p>
</td>
</tr>
<tr valign="top">
<td width="446.666555" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;</font></p>
</td>
<td width="183.999954" colspan="1" rowspan="1" >
<p>
<font size="2">Douglas D. Burkett</font></p>
</td>
</tr>
<tr valign="top">
<td width="446.666555" colspan="1" rowspan="1" >
<p>
<a name="_DV_M251"></a><font size="2">&nbsp;&nbsp;</font></p>
</td>
<td width="183.999954" colspan="1" rowspan="1" >
<p>
<font size="2">Principal Executive Officer</font></p>
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center" style="border-bottom:double">
<a name="_DV_M252"></a><font size="2">&nbsp;</font></p>
</td>
</tr>
</table></div>
<p>
</p>


</body>

</html>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-31
<SEQUENCE>3
<FILENAME>cbi10q073108-ex31_2.htm
<DESCRIPTION>CFO CERTIFICATION
<TEXT>
<html>
<head><meta content="text/html; charset=">
<title>SECURITIES AND EXCHANGE COMMISSION</title>
</head>

<body >
<ul>
</ul>

<p>
</p align="right">
<div align="right" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="right">
<font size="2"><b><u>Exhibit 31.2</u></b></font></p align="right">
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<a name="_DV_M253"></a><font size="2">CERTIFICATION</font></p align="center">
</td>
</tr>
</table></div>
<p>
<p>
<a name="_DV_M254"></a><a name="_DV_M255"></a><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;I,
Durwood C. Settles, certify that:</font><p>
<a name="_DV_M256"></a><a name="_DV_M257"></a><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;I
have reviewed this Quarterly Report on Form 10-Q of Champions Biotechnology,
Inc., a Delaware corporation:</font><p>
<a name="_DV_M258"></a><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Based
on my knowledge, this report does not contain any untrue statement of a material
fact or omit to state a material fact necessary to make the statements made, in
light of the circumstances under which such statements were made, not misleading
with respect to the period covered by this report;</font><p>
<a name="_DV_M259"></a><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Based
on my knowledge, the financial statements, and other financial information
included in this report, fairly present in all material respects the financial
condition, results of operations and cash flows of the Registrant as of, and
for, the periods presented in this report;</font><p>
<a name="_DV_M260"></a><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Registrant&#8217;s other certifying officer and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined in
Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial
reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the
Registrant and have: </font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)
&nbsp;Designed such disclosure controls and procedures, or caused such
disclosure controls and procedures to be designed under our supervision, to
ensure that material information relating to the Registrant, including its
consolidated subsidiaries, is made known to us by others within those entities,
particularly during the period in which this report is being prepared;
</font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)
&nbsp;Designed such internal control over financial reporting, or caused such
internal control over financial reporting to be designed under our supervision,
to provide reasonable assurance regarding the reliability of financial reporting
and the preparation of financial statements for external purposes in accordance
with generally accepted accounting principals;</font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)
&nbsp;Evaluated the effectiveness of the Registrant&#8217;s disclosure controls
and procedures and presented in this report our conclusions about the
effectiveness of the disclosure controls and procedures, as of the end of the
period covered by this report based on such evaluation; and</font><p>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)
&nbsp;Disclosed in this report any change in the Registrant&#8217;s internal
control over financial reporting that occurred during the Registrant&#8217;s
most recent fiscal quarter (the Registrant&#8217;s fourth fiscal quarter in the
case of an annual report) that has materially affected, or is reasonably likely
to materially affect, the Registrant&#8217;s internal control over financial
reporting; and</font><p>
<a name="_DV_M264"></a><font size="2">5.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Registrant&#8217;s other certifying officer and I have disclosed, based on our
most recent evaluation of internal control over financial reporting, to the
Registrant&#8217;s auditors and the audit committee of Registrant&#8217;s board
of directors (or persons performing the equivalent function):</font><p>
<a name="_DV_M265"></a><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)
&nbsp;All significant deficiencies and material weaknesses in the design or
operation of internal control over financial reporting which are reasonably
likely to adversely affect the Registrant&#8217;s ability to record, process,
summarize and report financial information; and</font><p>
<a name="_DV_M266"></a><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)
&nbsp;Any fraud, whether or not material, that involves management or other
employees who have a significant role in the Registrant&#8217;s internal control
over financial reporting.</font></p>
<div style="position:relative; left: 0"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="446.666555" colspan="1" rowspan="1" >
<p>
<a name="_DV_M267"></a><font size="2">Date: September 15, 2008</font></p>
</td>
<td width="183.999954" colspan="1" rowspan="1" >
<p>
<font size="2"><u>/s/ Durwood C. Settles</u></font></p>
</td>
</tr>
<tr valign="top">
<td width="446.666555" colspan="1" rowspan="1" >
<p>
<a name="_DV_M268"></a><font size="2">&nbsp;&nbsp;</font></p>
</td>
<td width="183.999954" colspan="1" rowspan="1" >
<p>
<font size="2">Durwood C. Settles</font></p>
</td>
</tr>
<tr valign="top">
<td width="446.666555" colspan="1" rowspan="1" >
<p>
<a name="_DV_M269"></a><font size="2">&nbsp;&nbsp;</font></p>
</td>
<td width="183.999954" colspan="1" rowspan="1" >
<p>
<font size="2">Acting Chief Financial Officer</font></p>
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center" style="border-bottom:double">
<font size="2">&nbsp;</font></p>
</td>
</tr>
</table></div>
<p>
</p>


</body>

</html>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-32
<SEQUENCE>4
<FILENAME>cbi10q073108-ex32_1.htm
<DESCRIPTION>SECTION 1350 CERTIFICATION
<TEXT>
<html>
<head><meta content="text/html; charset=">
<title>SECURITIES AND EXCHANGE COMMISSION</title>
</head>

<body >
<ul>
</ul>

<p>
</p align="right">
<div align="right" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="right">
<a name="_DV_M270"></a><font size="2"><b><u>Exhibit
32.1</u></b></font></p align="right">
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center">
<a name="_DV_M271"></a><font size="2">SECTION 1350
CERTIFICATIONS</font></p align="center">
</td>
</tr>
</table></div>
<p>
<p>
<a name="_DV_M272"></a><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In
connection with the Quarterly Report of Champions Biotechnology, Inc. (the
&#8220;Company&#8221;) on Form 10-Q for the period ending July 31, 2008 as filed
with the Securities and Exchange Commission and to which this Certification is
an exhibit (the &#8220;Report&#8221;), the undersigned hereby certify, pursuant
to Section 906 of the Sarbanes-Oxley Act of 2002, that:</font><p>
<a name="_DV_M273"></a><font size="2">The Report fully complies with the
requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934;
and</font><p>
<a name="_DV_M274"></a><font size="2">The information contained in the Report
fairly presents, in all material respects, the financial condition and result of
operations of the Company for the periods reflected therein.</font></p>
<div style="position:relative; left: 0"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="426.666560" colspan="1" rowspan="1" >
<p>
<a name="_DV_M275"></a><font size="2">Date: September 15, 2008</font></p>
</td>
<td width="203.999949" colspan="1" rowspan="1" >
<p>
<font size="2"><u>/s/ Douglas D. Burkett</u></font></p>
</td>
</tr>
<tr valign="top">
<td width="426.666560" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;</font></p>
</td>
<td width="203.999949" colspan="1" rowspan="1" >
<p>
<font size="2">Douglas D. Burkett</font></p>
</td>
</tr>
<tr valign="top">
<td width="426.666560" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;</font></p>
</td>
<td width="203.999949" colspan="1" rowspan="1" >
<p>
<font size="2">Principal Executive Officer</font></p>
</td>
</tr>
<tr valign="top">
<td width="426.666560" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="203.999949" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="426.666560" colspan="1" rowspan="1" >
&nbsp;</td>
<td width="203.999949" colspan="1" rowspan="1" >
&nbsp;</td>
</tr>
<tr valign="top">
<td width="426.666560" colspan="1" rowspan="1" >
<p>
<a name="_DV_M278"></a><font size="2">&nbsp;&nbsp;</font></p>
</td>
<td width="203.999949" colspan="1" rowspan="1" >
<p>
<font size="2"><u>/s/ Durwood C. Settles</u></font></p>
</td>
</tr>
<tr valign="top">
<td width="426.666560" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;</font></p>
</td>
<td width="203.999949" colspan="1" rowspan="1" >
<p>
<font size="2">Durwood C. Settles</font></p>
</td>
</tr>
<tr valign="top">
<td width="426.666560" colspan="1" rowspan="1" >
<p>
<font size="2">&nbsp;&nbsp;</font></p>
</td>
<td width="203.999949" colspan="1" rowspan="1" >
<p>
<font size="2">Acting Chief Financial Officer</font></p>
</td>
</tr>
</table></div>
<p>
</p align="center">
<div align="center" style="position:relative; left: -5"><table border=0 cellpadding=0 cellspacing =0 >
<tr valign="top">
<td width="637.333174" colspan="1" rowspan="1" >
<p align="center" style="border-bottom:double">
<font size="2">&nbsp;</font></p>
</td>
</tr>
</table></div>
<p>
</p>


</body>

</html>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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