Cirtran Corp. announced earnings results for the first quarter ended March 31, 2008, reporting an increase in sales and a reduction in its net loss as compared to the prior year. For the period, the company reported sales of $2,860,463, a gain of 25% over sales of $2,288,293 for the same period a year ago. Net loss dropped by 93% to $67,619, as compared with a net loss of $979,035 for the same period last year. Contributing to the decrease in company´s net loss was a reduction of interest expense due to last year´s sale/leaseback of its U.S. facility and the elimination of the related mortgage, a gain on the settlement of litigation, and a $548,337 increase in the gain on derivative valuation. The company also had increased revenues attributable to additional shipments of the CorEvolution(TM) exercise product, resulting in a 17% jump in sales by its CirTran-Asia subsidiary as compared with the first quarter last year.

On April 25, 2008, Cirtran Corp. issued a promissory note for an aggregate indebtedness of $315,000 to Albert Hagar. Additionally, the Company entered into a subscription agreement with the Noteholder. Under the terms of the Note, the Company received proceeds of $300,000. The Company agreed to repay an aggregate of $315,000, which consists of the amount borrowed plus a 5% borrowing fee. The Note is due and payable within 30 days after demand is made for payment. The Noteholder agreed not to demand payment within the first 30 days after the Note was issued. The Company is entitled to pre-pay any or all amounts of the Note with no penalty. Upon the first to occur of (i) the date thirty-one days after the date of the Note, or (ii) the occurrence of an Event of Default, as defined in the Note, unless the Event of Default has been cured within any grace period set forth in the Note, the Note will also bear interest at 12% per annum, based on a 365-day year. Events of default include a default in the payment of any payment of principal of the Note when the same becomes due and payable, and remains in default for a period of 20 days after the Noteholder gives notice of such default. Other events of default are listed in the Note.

Cirtran Corp. reported earnings results for the year ended December 31, 2007. The company reported a 42% increase in sales during the year. For the fiscal year, revenue was $12.4 million, a 42% increase over sales of $8.7 million for 2006. Gross profit decreased to $3.2 million during 2007 from $3.3 million in 2006, due to a higher than expected cost of sales experienced in entering the online marketplace, along with lower margins on start-up marketing services provided in connection with the introduction of a new energy drink with Playboy(R), one of the world´s best known brands. Net loss was $7.2 million, an increase from 2006´s loss of $2.9 million. Part of the increase was attributable to increases in selling, general and administrative expenses as CirTran positioned and reformatted various products for wide-scale marketing.