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

                                   Form 10-QSB

(Mark One)
       [X]   QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE
                         SECURITIES EXCHANGE ACT OF 1934

                 For the quarterly period ended: March 31, 2001
                  ---------------------------------------------

       [  ]   TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE
                                  EXCHANGE ACT

        For the transition period from                to
                                       ---------------  -----------------------
                        Commission file number 000-29133
            --------------------------------------------------------

                            Coyote Canyon Corporation
  -----------------------------------------------------------------------------
                     (Exact name of small business issuer as
                            specified in its charter)

           Wyoming                                            86-0970161
--------------------------------------------------------------------------------
  (State or other jurisdiction                             (IRS Employer
of incorporation or organization)                        Identification No.)

                 11601 E. Lusitano Place, Tucson, Arizona, 85748
   --------------------------------------------------------------------------
                    (Address of principal executive offices)

                                 (520) 731-9890
                   -------------------------------------------
                            Issuer's telephone number

                   5505 N. Indian Trail, Tucson, Arizona 85750
                (Former address, if changed since last report.)


                APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY
                   PROCEEDING DURING THE PRECEDING FIVE YEARS

     Check whether the registrant filed all documents and reports required to be
filed by Section 12, 13 or 15(d) of the Exchange Act after the  distribution  of
securities under a plan confirmed by a court. Yes X No -----



<PAGE>

                      APPLICABLE ONLY TO CORPORATE ISSUERS

     State the number of shares  outstanding of each of the issuer's  classes of
common  equity,  as of the  latest  practical  date:  March 31,  2001  1,000,000


         Transitional Small Business Disclosure Format (check one).
Yes      ;  No   X
    ----       -----






<PAGE>

                                     PART I


Item 1.  Financial Statements


                         INDEPENDENT ACCOUNTANT'S REPORT


Coyote Canyon Corporation
(A Development Stage Company)


     We  have  reviewed  the  accompanying   balance  sheets  of  Coyote  Canyon
Corporation (a development  stage company) as of March 31, 2001 and December 31,
2000,  and the related  statements  of  operations  and cash flows for the three
month periods ended March 31, 2001 and 2000. These financial  statements are the
responsibility of the Company's management.

     We conducted our review in accordance  with  standards  established  by the
American  Institute  of  Certified  Public  Accountants.  A  review  of  interim
financial  information consists principally of applying analytical procedures to
financial  data and making  inquiries of persons  responsible  for financial and
accounting matters. It is substantially less in scope than an audit conducted in
accordance with generally accepted auditing standards, the objective of which is
the expression of an opinion regarding the financial statement taken as a whole.
Accordingly, we do not express such an opinion.

     Based on our review,  we are not aware of any material  modifications  that
should  be made  to the  accompanying  financial  statements  for  them to be in
conformity with generally accepted accounting principles.

                                                   Respectfully submitted



                                                   /s/ Robison, Hill & Co.
                                                   Certified Public Accountants

Salt Lake City, Utah
July 11, 2001


<PAGE>

                            COYOTE CANYON CORPORATION
                          (A Development Stage Company)
                                 BALANCE SHEETS



                                                          March 31, December 31,
                                                            2001         2000
                                                           -------      -------
Assets: ..............................................     $  --        $  --
                                                           =======      =======

Liabilities - Accounts Payable .......................     $ 1,300      $  --
                                                           -------      -------

Stockholders' Equity:
  Common Stock, Par value $.001
    Authorized 100,000,000 shares,
    Issued 1,000,000 Shares at March 31, 2001
    and December 31, 2000 ............................       1,000        1,000
  Paid-In Capital ....................................       3,663        3,663
  Retained Deficit ...................................      (1,075)      (1,075)
  Deficit Accumulated During the
    Development Stage ................................      (4,888)      (3,588)
                                                           -------      -------
     Total Stockholders' Equity ......................      (1,300)        --
                                                           -------      -------

     Total Liabilities and
       Stockholders' Equity ..........................     $  --        $  --
                                                           =======      =======




                 See accompanying notes and accountants' report.


<PAGE>

                            COYOTE CANYON CORPORATION
                          (A Development Stage Company)
                            STATEMENTS OF OPERATIONS




                                                                      Cumulative
                                                                   since October
                                                                       20, 1999
                                                                      Inception
                                          For the three months ended      of
                                                      March 31,
                                                  ----------------- development
                                                   2001       2000       stage
                                                  -------    -------    -------
Revenues: .....................................   $  --      $  --      $  --

Expenses: .....................................     1,300        930      4,888
                                                  -------    -------    -------

     Net Loss .................................   $(1,300)   $  (930)   $(4,888)
                                                  =======    =======    =======

Basic &
Diluted loss
per share .....................................   $  --      $  --
                                                  =======    =======





                 See accompanying notes and accountants' report.


<PAGE>

                            COYOTE CANYON CORPORATION
                          (A Development Stage Company)
                            STATEMENTS OF CASH FLOWS


                                                                      Cumulative
                                                                   since October
                                                                      20, 1999
                                          For the three months ended  Inception
                                                         March 31,        of
                                                      ---------------Development
                                                       2001     2000     Stage
                                                      -------   -----   -------
CASH FLOWS FROM OPERATING
ACTIVITIES:
Net Loss ...........................................  $(1,300)   (930)  $(4,888)
Increase (Decrease) in Accounts Payable ............    1,300    --       1,300
                                                      -------   -----   -------
  Net Cash Used in operating activities ............     --      (930)   (3,588)
                                                      -------   -----   -------

CASH FLOWS FROM INVESTING
ACTIVITIES:
Net cash provided by investing activities ..........     --      --        --
                                                      -------   -----   -------

CASH FLOWS FROM FINANCING
ACTIVITIES:
Capital contributed by shareholder .................     --       930     3,588
                                                      -------   -----   -------
Net Cash Provided by
  Financing Activities .............................     --       930     3,588
                                                      -------   -----   -------

Net (Decrease) Increase in
  Cash and Cash Equivalents ........................     --      --        --
Cash and Cash Equivalents
  at Beginning of Period ...........................     --      --        --
                                                      -------   -----   -------
Cash and Cash Equivalents
  at End of Period .................................  $  --     $--     $  --
                                                      =======   =====   =======

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
Cash paid during the year for:
  Interest .........................................  $  --     $--     $  --
  Franchise and income taxes .......................  $  --     $--     $   125

SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING
ACTIVITIES: None


                 See accompanying notes and accountants' report.


<PAGE>

                            COYOTE CANYON CORPORATION
                          (A Development Stage Company)
                          NOTES TO FINANCIAL STATEMENTS
               FOR THE THREE MONTHS ENDED MARCH 31, 2001 AND 2000

NOTE 1 - ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

     This  summary of  accounting  policies  for Coyote  Canyon  Corporation  (a
development stage company) is presented to assist in understanding the Company's
financial  statements.  The accounting  policies  conform to generally  accepted
accounting  principles and have been consistently  applied in the preparation of
the financial statements.

Interim Reporting

     The unaudited  financial  statements as of March 31, 2001 and for the three
month period then ended reflect,  in the opinion of management,  all adjustments
(which include only normal recurring  adjustments) necessary to fairly state the
financial  position and results of operations  for the three  months.  Operating
results for interim periods are not necessarily  indicative of the results which
can be expected for full years.

Organization and Basis of Presentation

     The Company was incorporated  under the laws of the State of Wyoming on May
7, 1996. The Company ceased all operating  activities during the period from May
7, 1996 to October 20, 1999 and was considered dormant.  Since October 20, 1999,
the Company is in the development stage, and has not commenced planned principal
operations.

Nature of Business

     The Company has no products or services as of March 31,  2001.  The Company
was organized as a vehicle to seek merger or acquisition candidates. The Company
intends to acquire  interests in various  business  opportunities,  which in the
opinion of management will provide a profit to the Company.

Cash and Cash Equivalents

     For purposes of the  statement  of cash flows,  the Company  considers  all
highly liquid debt instruments purchased with a maturity of three months or less
to be cash equivalents to the extent the funds are not being held for investment
purposes.

Pervasiveness of Estimates

     The  preparation  of financial  statements  in  conformity  with  generally
accepted  accounting  principles  required  management  to  make  estimates  and
assumptions  that  affect the  reported  amounts of assets and  liabilities  and
disclosure of  contingent  assets and  liabilities  at the date of the financial
statements  and the  reported  amounts  of  revenues  and  expenses  during  the
reporting period. Actual


<PAGE>

                            COYOTE CANYON CORPORATION
                          (A Development Stage Company)
                          NOTES TO FINANCIAL STATEMENTS
               FOR THE THREE MONTHS ENDED MARCH 31, 2001 AND 2000
                                   (Continued)

NOTE 1 - ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(Continued)

results could differ from those estimates.

Reclassifications

     Certain  reclassifications  have been made in 2000 financial  statements to
conform with the 2001 presentation.

Loss per Share

     The  reconciliations  of the numerators and  denominators of the basic loss
per share computations are as follows:

<TABLE>
<CAPTION>

                                                                                                     Per-Share
                                                              Income              Shares               Amount
                                                              ------              ------               ------
                                                           (Numerator)         (Denominator)

                                                                 For the three months ended March 31, 2001
                                                                 -----------------------------------------
Basic Loss per Share
<S>                                                     <C>                 <C>                  <C>
Loss to common shareholders                             $           (1,300)           1,000,000  $                  -
                                                        ==================  ===================  ==================

                                                                 For the three months ended March 31, 2000
                                                                 -----------------------------------------
Basic Loss per Share
Loss to common shareholders                             $             (930)           1,000,000  $                  -
                                                        ==================  ===================  ==================
</TABLE>

     The effect of outstanding  common stock  equivalents would be anti-dilutive
for March 31, 2001 and 2000 and are thus not considered.

Concentration of Credit Risk

     The Company has no significant  off-balance-sheet  concentrations of credit
risk such as foreign  exchange  contracts,  options  contracts or other  foreign
hedging arrangements.

NOTE 2 - INCOME TAXES

     As of March 31, 2001, the Company had a net operating loss carryforward for
income tax reporting purposes of approximately $6,000 that may be offset against
future taxable  income  through 2016.  Current tax laws limit the amount of loss
available to be offset against future taxable


<PAGE>

                            COYOTE CANYON CORPORATION
                          (A Development Stage Company)
                          NOTES TO FINANCIAL STATEMENTS
               FOR THE THREE MONTHS ENDED MARCH 31, 2001 AND 2000
                                   (Continued)

NOTE 2 - INCOME TAXES (continued)

income when a  substantial  change in ownership  occurs.  Therefore,  the amount
available to offset  future  taxable  income may be limited.  No tax benefit has
been reported in the financial statements, because the Company believes there is
a 50% or greater chance the carryforwards will expire unused.  Accordingly,  the
potential  tax  benefits  of the loss  carryforwards  are offset by a  valuation
allowance of the same amount.

NOTE 3 - DEVELOPMENT STAGE COMPANY

     The  Company  has not begun  principal  operations  and as is common with a
development  stage  company,  the Company has had  recurring  losses  during its
development stage.

NOTE 4 - COMMITMENTS

     As of March 31, 2001 all  activities of the Company have been  conducted by
corporate officers from either their homes or business offices. Currently, there
are no outstanding debts owed by the company for the use of these facilities and
there are no commitments for future use of the facilities.


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

     This Quarterly Report contains certain  forward-looking  statements  within
the  meaning of Section  27A of the  Securities  Act of 1933,  as  amended,  and
Section  21E of the  Securities  Exchange  Act of 1934,  as  amended,  which are
intended  to be covered  by the safe  harbors  created  thereby.  Investors  are
cautioned that all  forward-looking  statements  involve risks and  uncertainty,
including  without  limitation,  the  ability  of the  Company to  continue  its
expansion  strategy,  changes in costs of raw  materials,  labor,  and  employee
benefits,  as  well as  general  market  conditions,  competition  and  pricing.
Although   the   Company   believes   that  the   assumptions   underlying   the
forward-looking   statements  contained  herein  are  reasonable,   any  of  the
assumptions could be inaccurate,  and therefore,  there can be no assurance that
the  forward-looking  statements included in this Quarterly Report will prove to
be accurate. In light of the significant  uncertainties inherent in the forward-
looking statements included herein, the inclusion of such information should not
be  regarded  as a  presentation  by the  Company or any other  person  that the
objectives and plans of the Company will be achieved.

     As used herein the term "Company"  refers to Coyote Canyon  Corporation,  a
Wyoming   corporation  and  its  predecessors,   unless  the  context  indicates
otherwise.  The Company is currently a shell company whose purpose is to acquire
operations through an acquisition or merger or to begin


<PAGE>

its own start-up business.

     The  Company is in the  process of  attempting  to  identify  and acquire a
favorable business opportunity.  The Company has reviewed and evaluated a number
of business  ventures for possible  acquisition or participation by the Company.
The Company has not entered into any agreement,  nor does it have any commitment
or understanding to enter into or become engaged in a transaction as of the date
of this filing.  The Company  continues  to  investigate,  review,  and evaluate
business  opportunities  as they  become  available  and will seek to acquire or
become engaged in business  opportunities at such time as specific opportunities
warrant.

Results of Operations

     The Company had no sales or sales revenues for the three months ended March
31, 2001 or 2000  because it is a shell  company  that has not had any  business
operations for the past three years.

     The Company had no costs of sales revenues for the three months ended March
31, 2001 or 2000  because it is a shell  company  that has not had any  business
operations for the past three years. The Company had general and  administrative
expenses of $1,300 for the three month  period ended March 31, 2001 and $930 for
the same period in 2000.

     The Company  recorded  net loss of $1,300 for the three  months ended March
31, 2001 compared to $930 loss for the same period in 2000.

Capital Resources and Liquidity

     At March 31,  2001,  the Company had total  current  assets of $0 and total
assets of $0 as  compared to $0 current  assets and $0 total  assets at December
31, 2000. The Company had a net working  capital  deficit of $1,300 at March 31,
2001 as compared to $0 at December 31, 2000.

     Net  stockholders'  deficit in the  Company was $1,300 as of March 31, 2001
and $0 as of December 31, 2000.


                           PART II - OTHER INFORMATION

ITEM 1.  LEGAL PROCEEDINGS

None.

ITEM 2.  CHANGES IN SECURITIES

None.

ITEM 3.  DEFAULTS UPON SENIOR SECURITIES

None/Not Applicable.


<PAGE>



ITEM 4.  SUBMISSION OF MATTERS TO A VOTE OF SECURITIES HOLDERS

None/Not Applicable.

ITEM 5.  OTHER INFORMATION

None.

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K

(a)      EXHIBITS

     The  following  documents  are  filed  herewith  or have been  included  as
exhibits to previous filings with the Commission and are incorporated  herein by
this reference:

         Exhibit No.       Exhibit

         *3.1              Articles of Incorporation

         *3.2              Amended Articles of Incorporation

         *3.3              Bylaws



(b)  Reports on Form 8-K.  No  reports on Form 8-K were filed  during the period
     covered by this Form 10-QSB.

*    Incorporated   herein  by  reference   from   Registrant's   Form  10SB12G,
     Registration Statement, dated January 26, 2000.


                                   SIGNATURES

     In accordance  with the  requirements  of the Exchange Act, the  registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized, this 11th day of July, 2001.

Coyote Canyon Corporation



/s/ Daniel L. Hodges
--------------------------
Daniel L. Hodges
President/CFO and Director

July 11, 2001