UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

_______________

FORM 10-Q

_______________


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

For the quarterly period ended ~~November~~May 3031, ~~2010~~2011


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

For the transition period from ______to______.

DE ACQUISITION 5, INC.

(Exact name of registrant as specified in Charter

Delaware

000-53928

27-2205764

(State or other jurisdiction of

incorporation or organization)

(Commission File No.)

(IRS Employee Identification No.)

6046 FM 2920, Suite 619

Spring, Texas 77379

(Address of Principal Executive Offices)

_______________

(713) 410-4596

(Issuer Telephone number)

_______________

(Former Name or Former Address if Changed Since Last Report)

Check whether the issuer (1) has filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the preceding 12 months (or for such shorter period that the issuer was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes x No o

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).

Yes o No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer or a smaller reporting company filer. See definition of “accelerated filer” and “large accelerated filer” in Rule 12b-2 of the Exchange Act (Check one):


Large Accelerated Filer o	Non-Accelerated Filer o	Accelerated Filer o	Smaller Reporting Company x

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

State the number of shares outstanding of each of the issuer’s classes of common equity, as of ~~January~~June 530, 2011, 10,000 shares of common stock.

DE ACQUISITION 5, INC.

FORM 10-Q

~~November~~May 3031, ~~2010~~2011

INDEX

PART I-- – FINANCIAL INFORMATION


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

~~Item~~PART 1.II-- ~~Financial~~OTHER ~~Statements~~INFORMATION


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

~~Item 2. Management’s Discussion and Analysis or Plan of Operation~~SIGNATURE

Item 3. Quantitative and Qualitative Disclosures About Market Risk

Item 4. Controls and Procedures

PART II - OTHER INFORMATION

Item 1. Legal Proceedings.

Item 1A. Risk Factors

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

Item 3. Defaults Upon Senior Securities.

Item 4. (Removed & Reserved).

Item 5. Other Information.

Item 6. Exhibits

SIGNATURES

PART I – FINANCIAL INFORMATION

Item 1. Financial Statements

DE ACQUISITION 5, INC.

(A DEVELOPMENT STAGE COMPANY)

BALANCE SHEETS

(Unaudited)

		November 30, 2010		February 24, 2010
			05/31/11			02/28/11
ASSETS
	Cash and equivalents	$ -	-	~~$ -~~	$	-
	TOTAL ASSETS	~~$ -~~	-	~~$ -~~		-
LIABILITIES
	Accrued expenses	~~243~~	141	~~139~~		141
	TOTAL LIABILITIES	243		139
	Related party payable		243			243
SHAREHOLDERS' DEFICIT
	TOTAL LIABILITIES		384			384
	Preferred stock: $0.0001 par value; 20,000,000 shares authorized; no shares issued or outstanding	$ -		$ -
STOCKHOLDERS' DEFICIT
	Common stock: $0.0001 par value; 500,000,000 shares authorized; 10,000 shares issued and outstanding	1		1
	Preferred stock: $0.0001 par value; 20,000,000 shares authorized; no shares issued or outstanding	$	-		$	-
	Additional paid-in capital	3,792		999
	Common stock: $0.0001 par value; 500,000,000 shares authorized; 10,000 shares issued and outstanding		1			1
	Deficit accumulated during the development phase	(4,036)		(1,139)
	Additional paid-in capital		5,076			3,792
	TOTAL SHAREHOLDERS' DEFICIT	(243)		(139)
	Deficit accumulated during the development phase		(5,461)			(4,177)
	TOTAL LIABILITIES AND SHAREHOLDERS' DEFICIT	$ -		$ -
	TOTAL STOCKHOLDERS' DEFICIT		(384)			(384)
	TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT	$	-		$	-

See accompanying notes to the unaudited financial statements

DE ACQUISITION 5, INC.

(A DEVELOPMENT STAGE COMPANY)

STATEMENT OF OPERATIONS

(Unaudited)

	Nine Months Ended November 30, 2010		Three Months Ended November 30, 2010		From Inception (Feb 24, 2010) to November 30, 2010
	Three Months Ended May 31,						Inception (February 24, 2010) to May 31, 2011
OPERATING EXPENSES
		2011			2010
Professional fees	$ 2,718		$ 735		$ 2,718
Revenues	$	-		$	-	$	-
General and administrative expenses	179		-		1,318
OPERATING EXPENSES
Net operating loss	(2,897)		(735)		(4,036)
Professional fees		1,284			-		4,143
NET LOSS	$ (2,897)		$ (735)		$ (4,036)
General and administrative expenses		-			104		1,318
Net loss per share, basic and fully diluted	$ (0.29)		$(0.07)
Net operating loss		(1,284)			(104)		(5,461)
Weighted average number of shares outstanding	10,000		10,000
NET LOSS	$	(1,284)		$	(104)	$	(5,461)
Net loss per share, basic and fully diluted		(0.13)		$	(0.01)
Weighted average number of shares outstanding		10,000			10,000

See accompanying notes to the unaudited financial statements.

DE ACQUISITION 5, INC.

(A DEVELOPMENT STAGE COMPANY)

STATEMENTS OF STOCKHOLDERS' ~~EQUITY (~~DEFICIT)

For the Period from February 24, 2010 (Inception) through ~~November~~May 3031, ~~2010~~2011

(Unaudited)

		Common Stock			~~Additional Paid In Capital~~		Additional Paid In Capital	~~Develop. Stage Deficit~~	~~Total Shareholders' Deficit~~	Develop. Stage Deficit		Total Shareholders' Deficit
		Shares	Amount
	Date	Shares		Amount
Balance, Feb 28, 2010		10,000	1			999		(1,139)	(139)
February 24, 2010 (inception)	02/24/10	10,000	$	1		$	999		$	-	$	1,000
Expenses paid by affiliates						2,793			2,793
Net loss										(1,139)		(1,139)
Net loss								(2,897)	(2,897)
Balance, February 28, 2010		10,000		1			999			(1,139)		(139)
Balances, Nov 30, 2010		10,000	$ 1			$ 3,792		$ (4,036)	$ (243)
Expenses paid by affiliates							2,793					2,793
Net loss										(3,038)		(3,038)
Balances, February 28, 2011		10,000		1			3,792			(4,177)		(384)
Expenses paid by affiliates							1,284					1,284
Net loss										(1,284)		(1,284)
Balances, May 31, 2011		10,000	$	1		$	5,076		$	(5,461)	$	(384)

See accompanying notes to the unaudited financial statements.

DE ACQUISITION 5, INC.

(A DEVELOPMENT STAGE COMPANY)

STATEMENTS OF CASH FLOWS

(Unaudited)

		Nine Months Ended November 30, 2010		From Inception (Feb 24, 2010) to November 30, 2010
			Three Months Ended May 31,				Inception (February 24, 2010) to May 31, 2011
CASH FLOWS FROM OPERATING ACTIVITIES
			2011		2010
	Net loss	$ (2,897)		$ (4,036)
CASH FLOWS FROM OPERATING ACTIVITIES
	Adjustments to reconcile net loss with cash used in operations:
	Net loss	$	(1,284)	$	(104)	$	(5,461)
	Stock based compensation			1,000
	Adjustments to reconcile net loss with cash used in operations:
	Changes in operating assets and liabilities:
	Stock based compensation				-		1,000
	Accrued expenses	104		243
	Changes in operating assets and liabilities:
	Net cash used in operating activities	(2,793)		(2,793)
	Accrued expenses		-		104		141
CASH FLOWS FROM INVESTING ACTIVITIES
	Related party payables		-		-		243
		-		-
	Net cash used in operating activities		(1,284)		-		(4,077)
	Net cash provided by / used in investing activities	-		-
CASH FLOWS FROM INVESTING ACTIVITIES
CASH FLOWS FROM FINANCING ACTIVITIES
			-		-		-
				-
	Net cash provided by / used in investing activities		-		-		-
	Borrowings from affiliates	2,793		2,793
CASH FLOWS FROM FINANCING ACTIVITIES
	Net cash provided by financing activities	2,793		2,793
							-
	NET INCREASE / (DECREASE) IN CASH	-		-
	Expenses paid by affiliates		1,284		-		4,077
	Cash at beginning of period	-		-
	Net cash provided by financing activities		1,284		-		4,077
	Cash at end of period	$ -		$ -
	NET INCREASE / (DECREASE) IN CASH		-		-		-
SUPPLEMENTAL CASH FLOW DISCLOSURES
	Cash at beginning of period		-		-		-
	Cash paid for interest	$ -		$ -
	Cash at end of period	$	-	$	-	$	-
	Cash paid for income taxes	-		-
SUPPLEMENTAL CASH FLOW DISCLOSURES
	Cash paid for interest	$	-	$	-	$	-
	Cash paid for income taxes		-		-		-

See accompanying notes to the unaudited financial statements

DE ACQUISITION 5, INC.

(A DEVELOPMENT STAGE COMPANY)

~~November~~May 3031, ~~2010~~2011

NOTES TO THE FINANCIAL STATEMENTS

(UNAUDITED)

Note 1 – Basis of Presentation

DE Acquisition 5, Inc. (a development stage company) (the “Company”) was incorporated in Delaware on February 24, 2010, with an objective to acquire, or merge with, an operating business. As of ~~November~~May 3031, ~~2010~~2011, the Company had not yet commenced any operations.

The Company is a "blank check" company. The United States Securities and Exchange Commission ~~(“SEC”)~~ defines such a company as “a development stage company” that has no specific business plan or purpose, or has indicated that its business plan is to engage in a merger or acquisition with an unidentified company or companies, or other entity or person; and issues ‘penny stock,’ as defined in Rule 3a51-1 under the Securities Exchange Act of 1934. Many states have enacted statutes, rules and regulations limiting the sale of securities of "blank check" companies in their respective jurisdictions. Management does not intend to undertake any efforts to cause a market to develop in its securities, either debt or equity, until the Company concludes a business combination.

~~The~~Note ~~Company~~2 ~~was~~– ~~organized~~Significant asAccounting a vehicle to investigate and, if such investigation warrants, acquire a target company or business seeking the perceived advantages of being a publicly held corporation and, to a lesser extent that desires to employ the Company’s funds in its business. The Company’s principal business objective for the next 12 months and beyond such time will be to achieve long-term growth potential through a combination with a business (“Business Combination”) rather than immediate, short-term earnings. The Company will not restrict its potential candidate target companies to any specific business, industry or geographical location and, thus, may acquire any type of business. The analysis of new business opportunities will be undertaken by or under the supervision of the officers and directors of the Company.Policies

~~Note~~Basis 2of ~~– Going Concern~~presentation

The accompanying unaudited interim financial statements and related notes have been prepared ~~assuming~~in ~~that~~accordance with accounting principles generally accepted in the ~~Company~~United ~~will~~States ~~continue~~of asAmerica afor ~~going~~interim ~~concern~~financial information, and with the rules and regulations of the SEC to Form 10-Q and Article 8 of Regulation S-X. AsAccordingly, ~~reflected~~they indo not include all of the ~~accompanying~~information and footnotes required by U.S. GAAP for complete financial statements,. The ~~the~~unaudited ~~Company~~interim ~~had~~financial astatements ~~deficit~~furnished ~~accumulated~~reflect ~~during~~all ~~the~~adjustments ~~development~~(consisting ~~stage~~ of ~~$4,036~~normal atrecurring ~~November~~accruals) 30that are, ~~2010~~in the opinion of management, ~~and~~necessary ~~had~~to a ~~net~~fair ~~loss~~statement of ~~$2,897~~the results for the ~~nine~~interim ~~months~~periods ~~ended~~presented. Interim ~~November~~results ~~30,~~are ~~2010~~not ~~and~~necessarily ~~cash~~indicative ~~used~~of the results for the full fiscal year. These financial statements should be read in ~~operations~~conjunction with the financial statements of ~~$2,793~~the Company for the ~~nine~~period ~~months~~from ~~ended~~February ~~November 30~~24, 2010, ~~respectively~~(inception) through February 28, 2010 and notes thereto contained in the Company’s Registration Statement on Form 10 as filed with nothe ~~revenues~~SEC ~~earned~~on ~~since~~April ~~inception~~6, 2010.

Note 3 – Going Concern

The accompanying financial statements have been prepared assuming that the Company will continue as a going concern. As reflected in the accompanying financial statements, the Company had a deficit accumulated during the development stage of $5,461 at May 31, 2011, and had a net loss of $1,284 for the three months ended May 31, 2011 and cash used in operations of $1,284 for the three months ended May 31, 2011, with no revenues earned since inception.

While the Company is attempting to commence operations and generate revenues, the Company’s cash position may not be sufficient enough to support the Company’s daily operations. Management intends to raise additional funds by way of a public or private offering. Management believes that the actions presently being taken to further implement its business plan and generate revenues provide the opportunity for the Company to continue as a going concern. While the Company believes in the viability of its strategy to generate revenues and in its ability to raise additional funds, there can be no assurances to that effect. The ability of the Company to continue as a going concern is dependent upon the Company’s ability to further implement its business plan and generate revenues.

The financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.

Note 3 – Stockholder’ Deficit

During the nine months ended November 30, 2010, the stockholders of the Company contributed $2,793 for payment of costs associated with our corporate governance and statutory compliance.

Item 2. Management’s Discussion and Analysis or Plan of Operation

~~Management’s~~The ~~Discussion~~following plan of operation provides information which management believes is relevant to an assessment and ~~Analysis~~understanding orof ~~Plan~~our results of ~~Operation~~operations and financial condition. The discussion should be read along with our financial statements and notes thereto. The following discussion and analysis contains forward-looking statements, which involve risks and uncertainties. Our actual results may differ significantly from the results, expectations and plans discussed in these forward-looking statements.

~~The~~Plan ~~following plan~~ of operation provides information which management believes is relevant to an assessment and understanding of our results of operations and financial condition. The discussion should be read along with our financial statements and notes thereto. The following discussion and analysis contains forward-looking statements, which involve risks and uncertainties. Our actual results may differ significantly from the results, expectations and plans discussed in these forward-looking statements.Operation

~~Plan~~We were organized as a vehicle to investigate and, if such investigation warrants, acquire a target company or business seeking the perceived advantages of ~~Operation~~being a publicly held corporation. Our principal business objective for the next 12 months and beyond such time will be to achieve long-term growth potential through a combination with a business rather than immediate, short-term earnings. We will not restrict our potential candidate target companies to any specific business, industry or geographical location and, thus, may acquire any type of business.

We ~~were~~do ~~organized~~not ascurrently aengage ~~vehicle~~in toany ~~investigate~~business ~~and,~~activities ifthat ~~such~~provide ~~investigation~~cash ~~warrants,~~flow. ~~acquire~~The acosts ~~target company or business seeking the perceived advantages~~ of ~~being~~investigating aand ~~publicly~~analyzing ~~held corporation. Our principal~~ business ~~objective~~combinations for the next 12 months and beyond such time will be topaid ~~achieve~~with ~~long-term~~money ~~growth~~in ~~potential~~our ~~through~~treasury aor ~~combination~~ with aadditional ~~business~~amounts, ~~rather~~as ~~than immediate~~necessary, ~~short-term~~to ~~earnings. We~~be ~~will~~loaned ~~not~~to ~~restrict~~or ~~our~~invested ~~potential~~in ~~candidate~~us ~~target~~by ~~companies~~our ~~to any specific business~~stockholders, ~~industry~~management or ~~geographical~~other ~~location and, thus, may acquire any type of business~~investors.

WeDuring ~~do not currently engage in any business activities that provide cash flow. The costs of investigating and analyzing business combinations for~~ the next 12 months ~~and~~we ~~beyond~~anticipate ~~such~~incurring ~~time~~costs ~~will~~related ~~be paid with money in our treasury or with additional amounts, as necessary,~~ to ~~be loaned to or invested in us by our stockholders, management or other investors.~~:

~~During~~(i) ~~the~~filing ~~next~~of 12Exchange ~~months~~Act wereports, ~~anticipate~~and ~~incurring~~(ii) ~~costs~~consummating ~~related~~an ~~to:~~acquisition.

~~(i)~~We ~~filing~~believe we will be able to meet these costs through use of ~~Exchange~~funds ~~Act~~in ~~reports,~~our treasury and ~~(ii)~~additional ~~consummating~~amounts, anas ~~acquisition~~necessary, to be loaned by or invested in us by our stockholders, management or other investors.

We ~~believe~~are wein ~~will~~the bedevelopment ~~able~~stage toand ~~meet~~have ~~these~~negative ~~costs~~working ~~through~~capital, ~~use~~negative ofstockholders’ ~~funds~~equity inand ~~our~~have ~~treasury~~not ~~and~~earned ~~additional~~any ~~amounts,~~revenues from operations to date. These conditions raise substantial doubt about our ability to continue as ~~necessary,~~a going concern. We are currently devoting its efforts to belocating ~~loaned~~merger bycandidates. orOur ~~invested~~ability into uscontinue byas a going concern is dependent upon our ~~stockholders~~ability to develop additional sources of capital, ~~management~~locate orand ~~other~~complete ~~investors~~a merger with another company, and ultimately, achieve profitable operations.

We ~~are~~may inconsider ~~the~~a ~~development~~business ~~stage~~which ~~and~~has ~~have~~recently ~~negative~~commenced ~~working capital~~operations, ~~negative~~is ~~stockholders’~~a ~~equity~~developing ~~and~~company ~~have~~in ~~not~~need ~~earned~~of ~~any~~additional ~~revenues~~funds ~~from~~for ~~operations~~expansion into new products or markets, is seeking to ~~date.~~develop ~~These~~a ~~conditions~~new ~~raise~~product ~~substantial~~or ~~doubt~~service, ~~about~~or ~~our~~is ~~ability~~an toestablished ~~continue~~business aswhich amay ~~going~~be ~~concern.~~experiencing Wefinancial ~~are~~or ~~currently~~operating ~~devoting~~difficulties ~~its~~and ~~efforts~~is toin ~~locating~~need ~~merger~~of ~~candidates~~additional capital. ~~Our~~In ~~ability~~the toalternative, ~~continue~~a asbusiness acombination ~~going~~may ~~concern~~involve isthe ~~dependent~~acquisition ~~upon~~of, ~~our~~or ~~ability~~merger towith, ~~develop~~a ~~additional~~company ~~sources~~which ofdoes not need substantial additional capital, ~~locate~~but ~~and~~which ~~complete~~desires to establish a ~~merger~~public ~~with~~trading ~~another~~market ~~company~~for its shares, ~~and~~while ~~ultimately~~avoiding, ~~achieve~~among ~~profitable~~other ~~operations~~things, the time delays, significant expense, and loss of voting control which may occur in a public offering.

WeOur ~~may~~sole ~~consider~~officer aand ~~business~~director ~~which~~ has ~~recently~~not ~~commenced~~had ~~operations,~~any ispreliminary acontact ~~developing~~or ~~company~~discussions inwith ~~need~~any representative of ~~additional~~any ~~funds~~other ~~for~~entity ~~expansion~~regarding ~~into~~a ~~new~~business ~~products~~combination orwith ~~markets,~~us. Any target business that is ~~seeking~~selected tomay ~~develop~~be a ~~new~~financially ~~product~~unstable orcompany ~~service,~~ or is an ~~established~~entity ~~business~~in ~~which~~its ~~may~~early bestages ~~experiencing~~of ~~financial~~development or ~~operating~~growth, ~~difficulties~~including ~~and~~entities iswithout inestablished ~~need~~records of ~~additional~~sales ~~capital~~or earnings. In ~~the~~that ~~alternative~~event, awe ~~business~~will ~~combination~~be ~~may~~subject ~~involve~~to numerous risks inherent in the ~~acquisition~~business and operations of, financially unstable and early stage or ~~merger~~potential ~~with~~emerging growth companies. In addition, awe ~~company~~may ~~which~~effect ~~does~~a ~~not~~business ~~need~~combination ~~substantial~~with ~~additional~~an ~~capital,~~entity ~~but~~in ~~which~~an ~~desires~~industry tocharacterized ~~establish~~by a ~~public~~high ~~trading~~level ~~market~~of ~~for~~risk, ~~its shares~~and, ~~while~~although ~~avoiding,~~our ~~among~~management ~~other~~will ~~things,~~endeavor to evaluate the ~~time~~risks ~~delays,~~inherent ~~significant~~in ~~expense~~a particular target business, ~~and~~there ~~loss~~can ofbe ~~voting~~no ~~control~~assurance ~~which~~that ~~may~~we ~~occur~~will inproperly aascertain ~~public~~or ~~offering~~assess all significant risks.

Our ~~sole~~management ~~officer~~anticipates ~~and~~that ~~director~~it ~~has~~will ~~not~~likely ~~had~~be ~~any~~able ~~preliminary~~to ~~contact~~effect oronly ~~discussions~~one ~~with any representative of any other entity regarding a~~ business combination, ~~with~~due ~~us.~~primarily ~~Any~~to ~~target~~our ~~business~~limited ~~that~~financing isand ~~selected~~the ~~may~~dilution ~~be a financially unstable company or an entity in its early stages~~ of ~~development~~interest orfor ~~growth,~~present ~~including~~and ~~entities~~prospective ~~without established records of sales or earnings. In that event~~stockholders, wewhich ~~will~~is belikely ~~subject~~ to ~~numerous~~occur ~~risks~~as ~~inherent~~a inresult ~~the business and operations~~ of ~~financially~~our ~~unstable~~management’s ~~and~~plan ~~early~~to ~~stage~~offer ora ~~potential~~controlling ~~emerging~~interest ~~growth~~to ~~companies. In addition, we may effect~~ a target business ~~combination with an entity~~ in anorder ~~industry~~to ~~characterized~~achieve by a ~~high~~tax-free ~~level~~reorganization. ofThis ~~risk,~~lack ~~and,~~of ~~although~~diversification ~~our~~should ~~management~~be ~~will~~considered ~~endeavor~~a tosubstantial ~~evaluate~~risk ~~the~~in ~~risks~~investing ~~inherent~~ in aus, ~~particular~~because ~~target~~it ~~business,~~will ~~there~~not ~~can~~permit beus noto ~~assurance~~offset ~~that~~potential welosses ~~will~~from ~~properly~~one ~~ascertain~~venture oragainst ~~assess~~gains ~~all~~from ~~significant risks~~another.

~~Our~~We ~~management~~anticipate ~~anticipates~~ that itthe ~~will~~selection ~~likely~~of a business combination will be ~~able~~complex toand ~~effect~~extremely ~~only~~risky. ~~one~~Because ~~business~~of ~~combination~~general economic conditions, ~~due~~rapid ~~primarily~~technological toadvances ~~our~~being ~~limited~~made ~~financing~~in ~~and~~some ~~the~~industries ~~dilution~~and shortages of ~~interest~~available ~~for~~capital, ~~present~~our ~~and~~management ~~prospective~~believes ~~stockholders,~~that there are numerous firms seeking even the limited additional capital which iswe ~~likely~~will tohave ~~occur~~and/or asthe aperceived ~~result~~benefits of ~~our~~becoming ~~management’s~~a ~~plan~~publicly totraded ~~offer~~corporation. aSuch ~~controlling~~perceived ~~interest~~benefits toof becoming a ~~target~~publicly ~~business~~traded incorporation ~~order~~include, toamong ~~achieve~~other athings, ~~tax-free~~facilitating ~~reorganization.~~or ~~This~~improving ~~lack~~the ofterms ~~diversification~~on ~~should~~which additional equity financing may be ~~considered~~obtained, aproviding ~~substantial~~liquidity ~~risk~~for inthe ~~investing~~principals of and investors in usa business, ~~because~~creating ita ~~will~~means ~~not~~for ~~permit~~providing usincentive stock options or similar benefits to ~~offset~~key ~~potential~~employees, ~~losses~~and ~~from~~offering ~~one~~greater ~~venture~~flexibility ~~against~~in ~~gains~~structuring ~~from~~acquisitions, ~~another~~joint ventures and the like through the issuance of stock. Potentially available

8business combinations may occur in many different industries and at various stages of development, all of which will make the task of comparative investigation and analysis of such business opportunities extremely difficult and complex.

We anticipate that the selection of a business combination will be complex and extremely risky. Because of general economic conditions, rapid technological advances being made in some industries and shortages of available capital, our management believes that there are numerous firms seeking even the limited additional capital which we will have and/or the perceived benefits of becoming a publicly traded corporation. Such perceived benefits of becoming a publicly traded corporation include, among other things, facilitating or improving the terms on which additional equity financing may be obtained, providing liquidity for the principals of and investors in a business, creating a means for providing incentive stock options or similar benefits to key employees, and offering greater flexibility in structuring acquisitions, joint ventures, and the like through the issuance of stock. Potentially available business combinations may occur in many different industries and at various stages of development, all of which will make the task of comparative investigation and analysis of such business opportunities extremely difficult and complex.

WeResults ~~anticipate that the selection~~ of a business combination will be complex and extremely risky. Because of general economic conditions, rapid technological advances being made in some industries and shortages of available capital, our management believes that there are numerous firms seeking even the limited additional capital which we will have and/or the perceived benefits of becoming a publicly traded corporation. Such perceived benefits of becoming a publicly traded corporation include, among other things, facilitating or improving the terms on which additional equity financing may be obtained, providing liquidity for the principals of and investors in a business, creating a means for providing incentive stock options or similar benefits to key employees, and offering greater flexibility in structuring acquisitions, joint ventures, and the like through the issuance of stock. Potentially available business combinations may occur in many different industries and at various stages of development, all of which will make the task of comparative investigation and analysis of such business opportunities extremely difficult and complex.Operation

~~Results~~We have not had any operating income since inception. For the three months ended May 31, 2011, we incurred a net loss of ~~Operation~~$1,284 and since inception we have incurred a net loss of $5,461. Expenses from inception were comprised of costs mainly associated with Exchange Act costs.

WeLiquidity ~~have not had any operating income since inception. For the nine months ended November 30, 2010, we incurred a net loss of $2,897~~ and ~~since~~Capital ~~inception we have incurred a net loss of $4,036. Expenses from inception were comprised of costs mainly associated with legal, accounting and office expense.~~Resources

~~Liquidity~~At May 31, 2011, we had no capital resources and ~~Capital~~will ~~Resources~~rely upon the issuance of common stock and additional capital contributions from shareholders to fund administrative expenses pending acquisition of an operating company. However, our shareholders are under no obligation to provide such funding.

AtManagement ~~November~~anticipates 30seeking out a target company through solicitation. Such solicitation may include newspaper or magazine advertisements, ~~2010~~mailings and other distributions to law firms, weaccounting ~~had~~firms, noinvestment ~~capital~~bankers, ~~resources~~financial advisors and ~~will~~similar ~~rely~~persons, ~~upon~~ the ~~issuance~~use of ~~common~~one ~~stock~~or more World Wide Web sites and ~~additional~~similar ~~capital~~methods. ~~contributions~~No ~~from~~estimate ~~shareholders~~can tobe ~~fund~~made ~~administrative~~as ~~expenses~~to ~~pending~~the ~~acquisition~~number of anpersons ~~operating~~who ~~company~~will be contacted or solicited. ~~However,~~ ~~our~~Management ~~shareholders~~may ~~are~~engage ~~under~~in nosuch ~~obligation~~solicitation directly or may employ one or more other entities to ~~provide~~conduct or assist in such ~~funding~~solicitation. Management and its affiliates will pay referral fees to consultants and others who refer target businesses for mergers into public companies in which management and its affiliates have an interest. Payments are made if a business combination occurs, and may consist of cash or a portion of the stock in the Company retained by management and its affiliates, or both.

~~Management~~As ~~anticipates~~reflected ~~seeking~~in ~~out~~the aaccompanying ~~target~~financial ~~company~~statements, ~~through~~the ~~solicitation.~~Company ~~Such~~is ~~solicitation~~in ~~may~~the ~~include~~development ~~newspaper~~stage orwith ~~magazine~~no ~~advertisements,~~operations ~~mailings~~have ~~and~~a ~~other~~net ~~distributions~~loss toof ~~law firms~~$5,461 ~~accounting~~from ~~firms~~inception, ~~investment bankers, financial advisors~~ and ~~similar~~used ~~persons~~$4,077 ~~the use~~ of ~~one~~cash orin ~~more~~operations ~~World~~for ~~Wide~~the ~~Web~~period ~~sites~~from ~~and~~February ~~similar~~24, ~~methods.~~2010 No(inception) ~~estimate can be made as~~ to ~~the~~May ~~number~~31, ~~of persons who will be contacted or solicited~~2011. ~~Management~~This ~~may~~raises ~~engage~~substantial indoubt ~~such~~about ~~solicitation~~its ~~directly~~ability ~~or may employ one or more other entities~~ to ~~conduct~~continue oras ~~assist~~a ingoing ~~such solicitation~~concern. ~~Management~~The ~~and~~ability ~~its~~of ~~affiliates~~the ~~will~~Company ~~pay referral fees~~ to ~~consultants~~continue ~~and~~as ~~others~~a ~~who~~going ~~refer~~concern ~~target~~is ~~businesses~~dependent ~~for~~on ~~mergers~~the ~~into~~Company's ~~public~~ability ~~companies~~to inraise ~~which~~additional ~~management~~capital and implement its ~~affiliates~~business ~~have an interest~~plan. The ~~Payments~~financial ~~are~~statements ~~made~~do ifnot ainclude ~~business~~any ~~combination~~adjustments ~~occurs,~~that ~~and~~might ~~may~~be ~~consist~~necessary ofif ~~cash or a portion of~~ the ~~stock in the~~ Company ~~retained~~is byunable ~~management~~to ~~and~~continue ~~its~~as ~~affiliates,~~a orgoing ~~both~~concern.

AsManagement ~~reflected~~believes inthat ~~the~~actions ~~accompanying~~presently ~~financial~~being ~~statements,~~taken ~~the Company is in the development stage with no operations have a net loss of $4,036 from inception, and used $2,793 of cash in operations for the period from February 24, 2010 (inception)~~ to ~~November~~obtain ~~30, 2010. This raises substantial doubt about its ability to continue as a going concern. The ability of the Company to continue as a going concern is dependent on the Company's ability to raise~~ additional ~~capital~~funding and implement its ~~business~~strategic ~~plan. The~~plans ~~financial~~provide ~~statements~~the doopportunity ~~not~~for ~~include any adjustments that might be necessary if~~ the Company ~~is unable~~ to continue as a going concern.

~~Management~~Ruth ~~believes~~Shepley ~~that~~will ~~actions~~supervise ~~presently~~the ~~being~~search ~~taken~~for target companies as potential candidates for a business combination. Ruth Shepley will pay, at her own expense, any costs she incurs in supervising the search for a target company. Ruth Shepley may enter into agreements with other consultants to ~~obtain~~assist ~~additional~~in ~~funding~~locating a target company and ~~implement~~may ~~its~~share ~~strategic~~stock ~~plans~~received ~~provide~~by it or cash resulting from the ~~opportunity~~sale ~~for~~of its securities with such other consultants. Ms. Shepley as our sole officer and director has the ~~Company~~authority to ~~continue~~enter asinto aany ~~going~~agreement ~~concern~~binding us.

~~Ruth~~Critical ~~Shepley~~Accounting will supervise the search for target companies as potential candidates for a business combination. Ruth Shepley will pay, at his own expense, any costs she incurs in supervising the search for a target company. Ruth Shepley may enter into agreements with other consultants to assist in locating a target company and may share stock received by it or cash resulting from the sale of its securities with such other consultants. Ms. Shepley as our sole officer and director has the authority to enter into any agreement binding us.Policies

~~Critical~~We ~~Accounting~~have ~~Policies~~identified the policies outlined below as critical to our business operations and an understanding of our results of operations. The list is not intended to be a comprehensive list of all of our accounting policies. In many cases, the accounting treatment of a particular transaction is specifically dictated by accounting principles generally accepted in the United States, with no need for management's judgment in their application.

WeIncome have identified the policies outlined below as critical to our business operations and an understanding of our results of operations. The list is not intended to be a comprehensive list of all of our accounting policies. In many cases, the accounting treatment of a particular transaction is specifically dictated by accounting principles generally accepted in the United States, with no need for management's judgment in their application.taxes

~~Income~~The ~~taxes~~Company follows Section 740-10-30 of the FASB Accounting Standards Codification, which requires recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements or tax returns. Under this method, deferred tax assets and liabilities are based on the differences between the financial statement and tax

The Company follows Section 740-10-30 of the FASB Accounting Standards Codification, which requires recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements or tax returns. Under this method, deferred tax assets and liabilities are based on the differences between the financial statement and tax bases of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. Deferred tax assets are reduced by a valuation allowance to the extent management concludes it is more likely than not that the assets will not be realized. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the Statements of Operations in the period that includes the enactment date.

The Company adopted section 740-10-25 of the FASB Accounting Standards Codification (“Section 740-10-25”). Section 740-10-25.addresses the determination of whether tax benefits claimed or expected to be claimed on a tax return should be recorded in the financial statements. Under Section 740-10-25, the Company may recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position should be measured based on the largest benefit that has a greater than fifty percent (50%) likelihood of being realized upon ultimate settlement. Section 740-10-25 also provides guidance on de-recognition, classification, interest and penalties on income taxes, and accounting in interim periods, and requires increased disclosures. The Company had no material adjustments to its liabilities for unrecognized income tax benefits according to the provisions of Section 740-10-25.

~~Off~~Recent ~~Balance Sheet Transactions~~Pronouncements

~~None~~In January 2010, the FASB issued the FASB Accounting Standards Update No. 2010-01 “Equity Topic 505 – Accounting for Distributions to Shareholders with Components of Stock and Cash”, which clarifies that the stock portion of a distribution to shareholders that allows them to elect to receive cash or stock with a potential limitation on the total amount of cash that all shareholders can elect to receive in the aggregate is considered a share issuance that is reflected in EPS prospectively and is not a stock dividend for purposes of applying Topics 505 and 260 (Equity and Earnings Per Share (“EPS”)). Those distributions should be accounted for and included in EPS calculations in accordance with paragraphs 480-10-25- 14 and 260-10-45-45 through 45-47 of the FASB Accounting Standards codification. The amendments in this Update also provide a technical correction to the Accounting Standards Codification. The correction moves guidance that was previously included in the Overview and Background Section to the definition of a stock dividend in the Master Glossary. That guidance indicates that a stock dividend takes nothing from the property of the corporation and adds nothing to the interests of the stockholders. It also indicates that the proportional interest of each shareholder remains the same, and is a key factor to consider in determining whether a distribution is a stock dividend.

In January 2010, the FASB issued the FASB Accounting Standards Update No. 2010-02 “Consolidation Topic 810 – Accounting and Reporting for Decreases in Ownership of a Subsidiary – a Scope Clarification”, which provides amendments to Subtopic 810-10 and related guidance within U.S. GAAP to clarify that the scope of the decrease in ownership provisions of the Subtopic and related guidance applies to the following:


	1.	A subsidiary or group of assets that is a business or nonprofit activity,


	2.	A subsidiary that is a business or nonprofit activity that is transferred to an equity method investee or joint venture, and


	3.	An exchange of a group of assets that constitutes a business or nonprofit activity for a non-controlling interest in an entity (including an equity method investee or joint venture).

The amendments in this Update also clarify that the decrease in ownership guidance in Subtopic 810-10 does not apply to the following transactions even if they involve businesses:


	1.	Sales of in substance real estate. Entities should apply the sale of real estate guidance in Subtopics 360-20 (Property, Plant, and Equipment) and 976-605 (Retail/Land) to such transactions.


	2.	Conveyances of oil and gas mineral rights. Entities should apply the mineral property conveyance and related transactions guidance in Subtopic 932-360 (Oil and Gas-Property, Plant, and Equipment) to such transactions.

If a decrease in ownership occurs in a subsidiary that is not a business or nonprofit activity, an entity first needs to consider whether the substance of the transaction causing the decrease in ownership is addressed in other U.S. GAAP, such as transfers of financial assets, revenue recognition, exchanges of nonmonetary assets, sales of in substance real estate, or conveyances of oil and gas mineral rights, and apply that guidance as applicable. If no other guidance exists, an entity should apply the guidance in Subtopic 810-10.

Management does not believe that any other recently issued, but not yet effective, accounting pronouncements, if adopted, would have a material effect on the accompanying financial statements.

Off Balance Sheet Transactions

None.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

As a smaller reporting company, we are not required to provide the information required by this Item.

Item 4. Controls and Procedures

As of the end of the period covered by this report, we carried out an evaluation, under the supervision and with the participation of our sole executive officer, who is our principal executive officer and principal financial and accounting officer, of the effectiveness of the design and operation of our disclosure controls and procedures, as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Based upon that evaluation, our sole executive officer concluded that our disclosure controls and procedures were ~~ineffective~~effective as of the end of the applicable period to ensure that the information required to be disclosed by the Company in reports that it files or submits under the Exchange Act (i) is recorded, processed, summarized, and reported within the time periods specified in Securities and Exchange Commission rules and forms and (ii) is accumulated and communicated to our management, including our principal executive officer and principal financial and accounting officer, as appropriate to allow timely decisions regarding required disclosures.

Changes in Internal Control over Financial Reporting

There was no change in our internal control over financial reporting during our most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

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PART II - OTHER INFORMATION

Item 1. Legal Proceedings.

There have been no material developments during the quarter ended ~~November~~May 3031, ~~2010~~2011 in any material pending legal proceedings to which the Company is a party or of which any of our property is the subject.

Item 1A. Risk Factors

As a smaller reporting company, we are not required to provide the information required by this Item.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

None.

Item 3. Defaults Upon Senior Securities.

None.

Item 4. (Removed & Reserved).

Item 5. Other Information.

None.

Item 6. Exhibits

Exhibit Number		Description
31		Section 302 Certification ~~pursuant~~by tothe ~~Section~~Corporation’s ~~302~~Principal ofExecutive ~~Sarbanes~~Officer ~~Oxley~~and ~~Act~~Principal ofFinancial ~~2002~~and Accounting Officer *
32		Section 906 Certification ~~pursuant~~by tothe ~~Section~~Corporation’s ~~906~~Principal ofExecutive ~~Sarbanes~~Officer ~~Oxley~~and ~~Act~~Principal ofFinancial ~~2002~~and Accounting Officer *

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SIGNATURES

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

	DE ACQUISITION 5, INC.
	(Registrant)
Date: January 5, 2011	By:	/s/ Ruth Shepley
Date: June 30, 2011	By:	/s/ Ruth Shepley
		Ruth Shepley
		Chief Executive Officer

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Filing Compare · DE Acquisition 5, Inc.