SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                   FORM 10-QSB
                                   (Mark One)

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

                  For the quarterly period ended June 30, 1998

                                       OR

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

             For the transition period from __________ to __________

                         Commission File Number 0-21178

                          UNITED TEXTILES & TOYS CORP.
             (Exact name of registrant as specified in its charter)
<TABLE>
<CAPTION>
<S>                                                                   <C>       
        Delaware                                                      13-3626613
        (State or other jurisdiction of Incorporation                 (I.R.S. Employer Identification No.)
        or Organization No.)
</TABLE>

               1410 Broadway, Suite 1602, New York, New York 10018
                    (Address of Principal Executive Offices)

                                 (212) 391-1111
              (Registrant's Telephone Number, Including Area Code)

                                       N/A
             (Former name, former address, and former fiscal year,
                         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  Securities  Exchange  Act of 1934 during the past 12
months (or for such  shorter  period that  registrant  was required to file such
reports),  and (2) has been subject to such filing  requirements for the past 90
days. Yes [X] No [ ]

     State the number of shares of each of the issuer=s classes of common equity
outstanding as of the latest  practicable date:  Common Stock,  $.001 per share:
4,550,236 shares outstanding as of August 31, 1998.




<PAGE>
                   UNITED TEXTILES & TOYS CORP. AND SUBSIDIARY
            (A Subsidiary of Multimedia Concepts International, Inc.)




                                    CONTENTS

<TABLE>
<CAPTION>

                                                                                                          Page
                                                                                                         Number




PART 1- FINANCIAL INFORMATION

         ITEM 1- FINANCIAL STATEMENTS

<S>                                                                                                           <C>
         Consolidated balance Sheets as of  June 30, 1998 (Unaudited)                                         3
           and March 31, 1998

         Consolidated statements of Operations (Unaudited)  for the three                                     4
           months ended June 30, 1998 and June 30, 1997

         Consolidated statements of Cash Flows ( Unaudited) for the three months ended                        5
           June 30, 1998 and June 30, 1997

         Notes to Financial Statements (Unaudited)                                                            6



         ITEM 2- MANAGEMENT'S DISCUSSION AND ANALYSIS
                 OF FINANCIAL CONDITION AND RESULTS OF
                 OPERATIONS                                                                                   8


PART II- OTHER INFORMATION                                                                                    12

Signatures                                                                                                    13



</TABLE>
                                       2



<PAGE>
                   UNITED TEXTILES & TOYS CORP. AND SUBSIDIARY
            (A Subsidiary of Multimedia Concepts International, Inc.)
                           CONSOLIDATED BALANCE SHEETS
                     As of June 30, 1998 and March 31, 1998
<TABLE>
<CAPTION>

                                                                               June 30,        March 31,
                                                                                  1998              1998
                                                                             (Unaudited)        (Note 1)

                                                            ASSETS
CURRENT ASSETS:
<S>                                                                         <C>             <C>         
 Cash and cash equivalents ..............................................   $    488,130    $    659,378
 Restricted certificate of deposit ......................................        250,000         250,000
 Accounts receivable-net ................................................         72,218         136,413
 Inventories ............................................................      9,376,037       7,872,804
 Prepaid expenses and other current assets ..............................        166,744         189,516
 Loans and advances-officer .............................................       (160,344)        138,856
                                                                            ------------   ------------
         Total current assets ...........................................     10,192,785       9,246,967
                                                                            ------------   ------------
PROPERTY AND EQUIPMENT-NET ..............................................      3,042,109       2,782,386
                                                                            ------------   ------------
OTHER ASSETS:
 Restricted certificate of deposit ......................................      2,000,000       2,000,000
 Deposits and other assets ..............................................        167,086         330,409
                                                                            ------------   ------------
         Total other assets .............................................      2,167,086       2,330,409    
Total assets                                                                $ 15,401,980    $ 14,359,762
                                                                            ------------    ------------

                                     LIABILITIES AND STOCKHOLDERS= EQUITY
CURRENT LIABILITIES:
 Accounts payable .......................................................   $  9,182,877    $  6,882,665
 Accrued expenses and other current liabilities .........................        263,459         817,788
 Due to affiliates ......................................................        675,935         719,174
 Current portion of notes payable .......................................        262,293         350,000
                                                                            ------------   ------------
         Total current liabilities ......................................     10,384,564       8,769,627
                                                                            ------------   ------------
LONG-TERM LIABILITIES:
 Borrowings under financing agreement ...................................      6,521,695       5,445,198
 Note payable, net of current portion ...................................         71,541       1,500,000
 Deferred rent liability ................................................        114,903         110,351
                                                                            ------------   ------------
         Total long-term liabilities ....................................      6,708,139       7,055,549
                                                                            ------------   ------------
         Total liabilities ..............................................     17,092,703      15,825,176
                                                                            ------------   ------------

MINORITY INTEREST IN SUBSIDIARY .........................................      1,234,905       1,158,514
                                                                            ------------   ------------

STOCKHOLDERS= EQUITY:
   Common stock, $.01 par value; 10,000,000
     shares authorized, 4,550,234 shares issued
    and outstanding .....................................................          4,550           4,550
  Additional paid-in capital ............................................      8,142,281       8,142,281
 Retained earnings (Deficit) ............................................    (11,072,459)    (10,770,759)
                                                                            ------------   ------------
         Total stockholders= equity .....................................     (2,925,628)     (2,623,928)   
Total liabilities and stockholders' equity                                  $ 15,401,980    $ 14,359,762
                                                                            ------------    ------------
</TABLE>

     The accompanying notes are an integral part of these consolidated financial
statements
<PAGE>
                   UNITED TEXTILES & TOYS CORP. AND SUBSIDIARY
            (A Subsidiary of Multimedia Concepts International, Inc.)

                      CONSOLIDATED STATEMENT OF OPERATIONS
                                   (Unaudited)

<TABLE>
<CAPTION>
                                               For the Three Months Ended
                                                June 30,        June 30,  
                                                  1998            1997

<S>                                           <C>            <C>        
REVENUES, net sales .......................   $ 6,358,709    $ 3,369,479
                                              -----------   -----------

COSTS AND EXPENSES:
 Cost of sales ............................     3,706,331      2,344,951
 Operating expenses .......................     2,596,461      2,147,488
          Depreciation and amortization ...       188,417        139,345
          Interest and other income .......          --               (3)   
          Interest expense                        165,652        213,074
                                              -----------   -----------
                                                6,656,861      4,844,855
                                              -----------   -----------

INCOME (LOSS) BEFORE
   MINORITY INTERESTS .....................      (298,152)    (1,475,376)
  Minority interest in net income (loss)
    of consolidated subsidiary (Note 2) ...        76,391        496,380
                                              -----------   -----------


NET (LOSS) ................................      (221,761)      (978,996)
                                               ===========   ===========

Basic earnings and diluted(loss)
  per common share before minority interest  $      (.07)    $     (1.51)

Minority interest in net income (loss)
  of consolidated subsidiary ..............          .02           .51
                                               -----------   -----------

Basic and diluted earnings (loss)
  per common share ........................  $      (.05)   $     (1.00)
                                               ===========   ===========

Weighted average number
  of common shares outstanding ............     4,550,234        978,805
                                               ===========   ===========
</TABLE>





     The accompanying notes are an integral part of these consolidated financial
statements
<PAGE>
                   UNITED TEXTILES & TOYS CORP. AND SUBSIDIARY
            (A Subsidiary of Multimedia Concepts International, Inc.)

                      CONSOLIDATED STATEMENT OF CASH FLOWS
                                   (Unaudited)
                           Increase (Decrease) in Cash
<TABLE>
<CAPTION>

                                                                   Three Months Ended
                                                                    June 30,       June 30,
                                                                      1998           1997
                                                                     -----          ------
CASH FLOWS FROM OPERATING ACTIVITIES:
<S>                                                              <C>            <C>         
Net loss .....................................................   $  (221,761)   $  (978,996)
                                                                  -----------    -----------
Adjustments to reconcile net loss to cash (used)
  provided for operating activities:
  Depreciation and amortization ..............................       188,417        139,345
  Deferred rent ..............................................         4,552          8,747
  Minority interest in net loss of subsidiary ................       (76,391)       496,380
  Compensatory options and stock issued by subsidiary ........        10,938           --
Changes in assets and liabilities:
(Increase) in Accounts receivable ............................        64,195         12,759    
(Increase) in Merchandise Inventories                             (1,503,233)      (273,498)
 Decrease in prepaid expenses and other current assets .......        22,772         73,850
 Decrease in deposits and other assets .......................       163,323           --
 Increase (decrease)  in accounts payable ....................     2,300,212        159,269
 Increase (decrease) in accrued expenses and other liabilities      (554,329)      (148,331)
                                                                  -----------    -----------
         Total adjustments ...................................       620,456        468,521
                                                                  -----------    -----------
         Net cash provided  (used) by operating activities ...       398,695       (510,475)
                                                                  -----------    -----------

CASH FLOWS FROM INVESTING ACTIVITIES:
 Purchases of property and equipment .........................      (461,745)      ( 64,520)
 Advances from affiliates ....................................      ( 43,239)       162,000
                                                                  -----------    -----------
         Net cash (used for) investing activities ............      (504,984)      ( 97,480)
                                                                  -----------    -----------

CASH FLOWS FROM FINANCING ACTIVITIES:
 Net borrowings under financing agreement ....................     1,076,497        387,188
 Loans and advances -officer .................................       299,200         36,297
 Decrease in deferred financing costs ........................          --          162,000
 Repayment of notes payable ..................................    (1,516,166)       (66,666)
                                                                  -----------    -----------
         Net cash provided by( used for) investing activities       (140,469)       518,819
                                                                  -----------    -----------

NET INCREASE (DECREASE) IN CASH ..............................      (171,248)         8,057
Cash, beginning of period ....................................       659,378        144,668
                                                                  -----------    -----------
Cash, end of period ..........................................   $   488,130    $   152,725
                                                                  ===========    ===========

Supplemental disclosure of cash flow information:
Interest paid ................................................   $   165,652    $   213,074
Taxes paid ...................................................   $      --      $      --
</TABLE>

     The accompanying notes are an integral part of these consolidated financial
statements
<PAGE>
                   UNITED TEXTILE & TOYS CORP. AND SUBSIDIARY
            (A Subsidiary of Multimedia Concepts International, Inc.)

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (Unaudited)

         Note 1-           BASIS OF PRESENTATION:

     The  accompanying  unaudited  consolidated  financial  statements have been
prepared in accordance with generally accepted accounting principles for interim
financial information and the instructions to Form 10-QSB. Accordingly,  they do
not include all the  information  and footnotes  required by generally  accepted
accounting principles for more complete financial statements.  In the opinion of
management,  the interim financial statements include all adjustments considered
necessary for a fair  presentation of the Company=s  financial  position and the
results of its  operations for the three months ended June 30, 1998, and are not
necessarily  indicative  of the results to be expected for the full fiscal year.
For further information, refer to the Company=s Annual report on Form 10-KSB for
the fiscal year ended March 31, 1998, as filed with the  Securities and Exchange
Commission.

 Note 2-          DESCRIPTION OF COMPANY:

     United Textiles & Toys Corp.  (formerly Mister Jay Fashions  International,
Inc.) ("the  Company") is a Delaware  corporation  which was  organized in March
1991 and commenced  operations in October 1991. The Company  formerly  designed,
manufactured, and marketed a variety of lower priced women's dresses, gowns, and
separates (blouses, camisoles, jackets, skirts, and pants) for special occasions
and formal events.  In April 1998, the Company ceased all operating  activities;
it now operates solely as a holding  company.  The Company owns 2,419,581 shares
or 59.1% of the common stock of Play Co. Toys & Entertainment Corp. ("Play Co.")

 Note 3-          MINORITY INTERESTS:

     The minority  interest in Play Co.  represents  the  minority  shareholders
portion (40.9%) of Play Co.=s equity at December 31, 1997. The minority interest
as reflected in the  accompanying  consolidated  balance sheet  consists of Play
Co.=s Series E Preferred  Stock only.  Due to operating  losses of Play Co., the
minority interest in common stock has been written down to zero.



                                       3



<PAGE>
                   UNITED TEXTILES & TOYS CORP. AND SUBSIDIARY
            (A Subsidiary of Multimedia Concepts International, Inc.)

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (Unaudited)


Note 4-           INVESTMENT BY MULTIMEDIA CONCEPTS INTERNATIONAL, INC.:

     In December 1997, the Company issued  3,571,429  shares of its Common Stock
to Multimedia Concepts International, Inc. (AMultimedia@) a company of which the
Company=s President is also President,  Chief Executive Officer, and a Director.
The issuance of these common shares at a price of $.28 per share ($.01 above the
closing  price on December 31, 1997)  represented  a conversion  of a $1,000,000
loan into equity in the Company by Multimedia.  As a result of this transaction,
Multimedia owns 78.5% of the outstanding  shares of Common Stock of the Company,
effectively  making the Company a subsidiary of Multimedia.  As the Company owns
59.1% of the outstanding shares of common stock of Play Co., thus Multimedia and
its management have obtained beneficial vesting control of Play Co.

     On January 20, 1998, U.S. Stores Corp. (AU.S.  Stores@) acquired  1,465,000
shares of Multimedia=s  common stock.  U.S. Stores was  incorporated on November
10, 1997. The Company=s president is also President and Director of U.S. Stores.
After this  transaction,  U.S.  Stores held an aggregate of 1,868,000  shares of
Multimedia=s common stock or 63% of the outstanding  shares,  effectively making
Multimedia a subsidiary of U.S. Stores.


     Note 5-               SUBSEQUENT EVENTS:

     On July 15, 1998, Play Co. borrowed $300,000 from an affiliated company and
issued  an  unsecured  9%   promissory   notes  which  calls  for  five  monthly
installments  of  principal  and interest  commencing  in August 1998 and ending
December 30, 1998.

     On July 27, 1998,  Play Co. sold  100,000  shares of its Series E Preferred
Stock to the Company for $100,000.

     Effective  July 30,  1998,  Play Co. and Finova  Capital  Corporation,  its
principal  capital lender,  amended Play Co.=s credit  agreement to increase the
maximum  level of  borrowings  under the  agreement  from $7.1  million  to $7.6
million.




                                       4



<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF 
        FINANCIAL CONDITION AND RESULTS OF OPERATIONS:


                  Results of Operations

     United Textiles & Toys Corp.  (formerly Mister Jay Fashions  International,
Inc.) ("the  Company") is a Delaware  corporation  which was  organized in March
1991 and commenced operations in October 1991. In April 1998, the Company ceased
all operating  activities and now operates  solely as a holding  company for its
ownership in Play Co.  Historically,  the Company's  results of operations  have
related  primarily  to the  Company's  majority  ownership  of Play Co.,  as its
operations were substantially less then that of its subsidiary. Accordingly, the
results of operations  for the three and six month periods  ending June 30, 1998
are primarily that of Play Co.

     Statements  contained in this report which are not historical  facts may be
considered forward looking  information with respect to plans,  projections,  or
future  performance  of the  Company as  defined  under the  Private  Securities
Litigation  Reform Act of 1995. These forward looking  statements are subject to
risks and  uncertainties  which could cause actual results to differ  materially
from those projected.

     Three  months  ended June 30, 1998  compared to the three months ended June
30, 1997:

     Consolidated   sales  for  the  three  months  ended  June  30,  1998  were
$6,358,709,  as compared to $3,369,479 for the three months ended June 30, 1997.
This increase of $2,989,230,  or 88.7%,  is directly  attributable  to increased
sales contributions from Play Co.=s retail stores.

     Consolidated  cost of sales for the three  months  ended June 30,  1998 was
$3,706,331, or 58.3%, of sales, as compared to the three month period ended June
30, 1997 during which cost of sales was  $2,344,951,  or 69.6%,  of sales.  This
increase of $1,361,380,  or 58.1% is primarily due to increased  levels of costs
related  to new  retail  store  openings  and  variable  costs  associated  with
increased levels of sales.

     Consolidated  operating  expenses were  $2,956,461,  or 40.8%,  of sales as
compared to  $2,147,488,  or 63.7%,  of sales in the three months ended June 30,
1997.  This  increase of $448,973 or 21% was due to payroll and payroll  related
expenses related to new retail locations opened by Play Co.

     During the three  months  ended June 30, 1998,  non-cash  depreciation  and
amortization  were  $188,417,  as compared to $139,345 in the three months ended
June 30, 1997.  This increase of $49,072 is due primarily to depreciation on new
assets acquired by Play Co. in this quarter.

     Consolidated  interest expense was $165,652, or 3.0%, of sales in the three
months  ended June 30, 1998 as compared to  $213,074,  or 6.0%,  of sales in the
three months ended June 30, 1997.

     For  the  three  months  ended  June  30,  1998,  the  Company  reported  a
consolidated  net loss of $221,761  (after  reflecting  the  adjustment  for the
minority  interest in Play Co.), or basic loss per share of $.05, as compared to
a net loss of $978,996, or a basic loss per share of $1.00 (after reflecting the
minority  interest in Play Co.),  for the three months ended June 30, 1997.  The
weighted  average  number  of common  shares  used in the  computation  of basic
earnings  per share was  4,550,234  for the three months ended June 30, 1998 and
978,805 for the three months ended June 30, 1997.

     Liquidity and Capital Resources

     At June 30,  1998,  the  Company  reported  cash and  cash  equivalents  of
$488,130,  negative  working capital of $(191,779) and  stockholders=  equity of
$(2,922,080) reflecting the net loss of $225,309 for the three months ended June
30, 1998.

     At March 31,  1998,  the  Company  reported  cash and cash  equivalents  of
$659,378, working capital of $477,340, and stockholders= equity of $(2,623,928).

     The Company has generated  operating  losses for the past several years and
has  historically  financed  those losses and its working  capital  requirements
through  loans.  There can be no assurance  that the Company or its  subsidiary,
Play  Co.,  will be able to  generate  sufficient  revenues  or have  sufficient
controls over expenses and other charges to achieve profitability.

     During the three month  period ended June 30,  1998,  operating  activities
provided  funds in the amount of  $398,685,  as compared  to the  Company  using
$510,475  in the  corresponding  three month  period  ended June 30,  1997.  The
Company=s  consolidated  net  loss  was  approximately  $225,309  and  $978,996,
respectively in those quarters.

     The Company  used  $504,984 of cash in  investing  activities  in the three
months ended June 30, 1998,  compared to $97,480 for the three months ended June
30, 1997.  The primary usage of cash in investing  activities was as a result of
the Company=s Play Co. subsidiary  purchasing property and equipment in relation
to new store  openings.  The Company used  $140,469 in financing  activities  as
compared to an inflow of funds of $518,819  in the three  months  ended June 30,
1997.

     As a result of these  factors,  the  Company  reported a  consolidated  net
decrease in cash of $171,248,  as a compared to a net increase in cash of $8,057
in the three months ended June 30, 1997.

     In July 1998, Play Co. and Finova Capital Corporation,  its working capital
lender,  amended  Play Co.=s credit  agreement to increase the maximum  level of
borrowings  under the  agreement  from $7.1  million to $7.6  million.  Play Co.
expects to utilize  this amount on its credit line to partially  finance  either
its  working  capital,   particularly   inventory  purchases,   or  for  capital
expenditure purposes.

     In July 1998, Play Co., borrowed $300,000 from an affiliated  company under
an unsecured 9% promissory  note which calls for monthly  principle and interest
payments through December 30, 1998, when the note is scheduled for repayments in
full.

     Year 2000:

     An  additional  area that  represents  a near term  commitment  of  capital
resources  is the  Company=s  management  information  system.  The  Company has
investigated its existing management  information system and has determined that
it does not provide  sufficient  scope to support the planned  level of expanded
operations and furthermore, is not year 2000 compliant. The Company has explored
the costs of upgrading its current system or purchasing a new system to meet the
projected demands of the business and to become year 2000 compliant.

     In order to minimize  the  disruption  to its  operations,  the Company has
decided to upgrade its  existing  system to increase the scope of the system and
to become year 2000 compliant.  The Company estimates that the cost of upgrading
its current system will be approximately $100,000.

     Beyond the above  referenced  year 2000  issue,  the Company has no current
knowledge  of any outside  third  party year 2000 issues that would  result in a
material  negative impact on its operations.  Should the Company become aware of
any such situations or issues, contingency plans will be developed.




<PAGE>
     Trends affecting liquidity, capital resources and operations

     As a result of its planned  merchandise  mix change to emphasize  specialty
and educational  toys, Play Co. enjoyed  significant  sales and gross profits in
the three months ended June 30, 1998.

     Play Co.=s current sales  efforts focus  primarily on a defined  geographic
segment consisting of the southern  California area and the southwestern  United
States.  Its future financial  performance will depend upon (i) continued demand
for toys and  hobby  items and  management=s  ability  to adapt to  continuously
changing  consumer  preferences  and the market for such items,  (ii) on general
economic  conditions within Play Co.=s geographic area, as same may be expanded,
(iii) Play Co.=s  ability to choose  locations  for new stores,  (iv) Play Co.=s
ability to purchase  products at favorable  prices and on favorable  terms,  and
(iv) the effects of increased competition.

     The toy and hobby retail  industry  faces a number of  potentially  adverse
business  conditions  including  price and gross  margin  pressures  and  market
consolidation.   Play  Co.  competes  with  a  variety  of  mass  merchandisers,
superstores  and other toy  retailers,  including Toys R Us, Kay Bee Toy Stores,
Walmart,  and K-Mart.  Competitors that emphasize specialty and educational toys
include Disney Stores,  Warner Bros.  Stores,  Learning Smith, Lake Shore, Zainy
Brainy, and Noodle Kidoodle.  There can be no assurance that Play Co.=s business
strategy will enable it to compete  effectively in the toy industry or that Play
Co will be able to generate  sufficient revenues or have sufficient control over
expenses and other charges to increase profitability.

     Inflation and Seasonality

     The impact of inflation on Play Co.=s  results of  operations  has not been
significant.  Play Co. attempts to pass on increased costs by increasing product
prices over time.

     Play Co.=s operations are highly seasonal with approximately  30-40% of its
net sales historically falling within Play Co.=s third quarter,  which coincides
with the Christmas  selling season.  Play Co. intends to open stores  throughout
the year, but generally  before the Christmas  selling  season,  which will make
Play Co.=s third  quarter  sales an even greater  percentage of the total year=s
sales.




                                        6



<PAGE>
                           PART II - OTHER INFORMATION


ITEM 1 - Legal Proceedings: None

ITEM 2 - Changes in Securities: None

ITEM 3 - Defaults Upon Senior Securities: None

ITEM 4 - Submission of Matters to a Vote of Security Holders: None

ITEM 5 - Other Information: None

ITEM 6 - Exhibits and Reports on Form 8-K:

         Exhibits:  None

         Reports on Form 8-K:  None

                                        7



<PAGE>
                                   SIGNATURES


         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.

Dated:        September 4, 1998


                                                    United Textiles & Toys Corp.
                                                                    (Registrant)


                                            By:      \s\ Ilan Arbel
                                                     Ilan Arbel
                                                     President


                                            By:      \s\ Allean Goode
                                                     Allean Goode
                                                     Treasurer

                                        8