SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 10 - Q


Quarterly Report Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934

For the quarter ended December 31, 2001
Commission File No 0-2892


THE DEWEY ELECTRONICS CORPORATION


A New York Corporation

I.R.S. Employer Identification
No. 13-1803974

27 Muller Road
Oakland, New Jersey 07436
(201) 337-4700




Indicate by check mark whether the registrant (1) has filed all
reports required to be filed by Section 13 or 15(d) of the
Securities Exchange Act of 1934 during the preceding 12 months
(or for such shorter period that the registrant was required to
file such reports), and (2) has been subject to such filing
requirements for the past 90 days.  Yes  X   No    .



The number of shares outstanding of the registrant's common
stock, $.01 par value was 1,339,531 at December 31, 2001.



THE DEWEY ELECTRONICS CORPORATION


INDEX



                                                           Page No.

Part I  Financial Information

Item 1  Consolidated Financial Statements                     1

Condensed consolidated balance sheets -
December 31, 2001 and June 30, 2001                           2

Condensed consolidated statements of operations -
three and six months ended December 31, 2001
and December 31, 2000                                         3

Condensed consolidated statements of cash flows for the
six months ended December 31, 2001 and 2000                   4

Notes to condensed consolidated financial statements          5

Item 2  Management's Discussion and Analysis of
        Financial Condition and Results of
        Operations                                            9


Part II  Other Information

Item 4.  Submission of Matters to a Vote of Security
         Holders                                              14

Item 6.  Exhibits and Reports on Form 8-K                     14






PART I:  FINANCIAL INFORMATION


ITEM 1.  CONSOLIDATED FINANCIAL STATEMENTS


The following unaudited condensed, consolidated balance sheets,
statements of operations, and statements of cash flows are of The
Dewey Electronics Corporation.  These condensed consolidated
Financial statements reflect all adjustments of a normal recurring
nature, which are, in the opinion of management, necessary for a
fair presentation of the financial condition, results of operations
and cash flows for the interim periods reflected herein.  The
results reflected in the unaudited statements of operations for the
period ended December 31, 2001 are not necessarily indicative of
the results to be expected for the entire year.  The following
unaudited condensed consolidated financial statements should be
read in conjunction with the notes thereto, and Management's
Discussion and Analysis of Financial Condition and Results of
Operations set forth in Item 2 of Part I of this report, as well
as the audited financial statements and related notes thereto
contained in the Form 10-K filed for the fiscal year ended
June 30, 2001.


1



THE DEWEY ELECTRONICS CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS


                               DECEMBER 31,     JUNE 30,
                                  2001            2001
                               (UNAUDITED)     (AUDITED)*
ASSETS:
CURRENT ASSETS:
  CASH AND CASH EQUIVALENTS      $3,541,873     $2,090,251
  ACCOUNTS RECEIVABLE               253,512      1,226,604
  INVENTORIES                       631,620        501,680
  CONTRACT COSTS & RELATED
    ESTIMATED PROFITS IN
    EXCESS OF APPLICABLE
    BILLINGS                      1,005,106      1,790,451
  DEFERRED TAX ASSET                 35,105         35,105
  PREPAID EXPENSES & OTHER
    CURRENT ASSETS                   56,577         54,528
  TOTAL CURRENT ASSETS            5,523,793      5,698,619


PLANT PROPERTY & EQUIPMENT -
   (NET)                            850,532        793,037

OTHER NON CURRENT ASSETS            124,230        126,330

TOTAL ASSETS                     $6,498,555     $6,617,986


LIABILITIES & STOCKHOLDERS' EQUITY:
CURRENT LIABILITIES:
  TRADE ACCOUNTS PAYABLE           $117,735       $318,058
  ACCRUED LIABILITIES               250,945        188,093
  ACCRUED CORP INCOME TAXES         341,075        196,221
  ACCRUED PENSION COSTS             131,043        159,043
  CURRENT PORTION OF LONG-TERM
    DEBT                             60,938        109,853

    TOTAL CURRENT LIABILITIES       901,736        971,268

LONG-TERM PORTION OF LONG-TERM
    DEBT                            914,062      1,458,742
OTHER LONG-TERM LIABILITY            61,172         61,172
DEFERRED TAX LIABILITY              549,270        549,270
DUE TO RELATED PARTY                200,000        200,000


STOCKHOLDERS' EQUITY:
  PREFERRED STOCK, par value $1.00;
   authorized 250,000 shares,
   issued and outstanding, none
  COMMON STOCK, par value $.01;
   authorized 3,000,000 shares;
   issued and outstanding
   1,693,397                         16,934         16,934
  PAID IN CAPITAL                 2,835,307      2,835,307
  RETAINED EARNINGS               1,540,171      1,045,390
                                  4,392,412      3,897,631
LESS TREASURY STOCK 353,866
   SHARES AT COST                  (520,097)      (520,097)

  TOTAL STOCKHOLDERS' EQUITY      3,872,315      3,377,534
TOTAL LIABILITIES &
  STOCKHOLDERS' EQUITY           $6,498,555     $6,617,986

*CONDENSED FROM AUDITED FINANCIAL STATEMENTS
SEE ACCOMPANYING NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS
2


THE DEWEY ELECTRONICS CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)



                    THREE MONTHS ENDED       SIX MONTHS ENDED
                    DECEMBER 31,             DECEMBER 31,
                    2001        2000         2001        2000

REVENUES            $2,148,712  $2,365,480  $4,814,765  $4,632,884

   COST OF REVENUES  1,302,543   1,643,062   3,283,444   3,273,501

GROSS PROFIT           846,169     722,418   1,531,321   1,359,383

  SELLING & ADMIN
    EXPENSES           422,774     294,776     652,922     496,752

OPERATING INCOME       423,395     427,642     878,399     862,631

   INTEREST EXPENSE     26,042      38,554      58,639      78,304

   OTHER (INCOME)/
     EXPENSE (NET)      (1,315)       (646)     (4,875)      3,727

INCOME BEFORE INCOME
   TAXES               398,668     389,734     824,635     780,600

INCOME TAXES          (159,467)   (155,894)   (329,854)   (312,240)


NET INCOME            $239,201    $233,840    $494,781    $468,360


NET INCOME PER SHARE:
   BASIC                  $0.18      $0.17      $0.37      $0.35
   DILUTED                $0.17      $0.17      $0.36      $0.34

WEIGHTED AVERAGE NUMBER OF
  SHARES OUTSTANDING
   BASIC               1,339,531  1,339,531   1,339,531   1,339,531
   DILUTED             1,380,031  1,376,709   1,380,031   1,372,448


SEE ACCOMPANYING NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

3



THE DEWEY ELECTRONICS CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)


                                  SIX MONTHS ENDED DECEMBER 31,
                                       2001        2000

NET INCOME                            $494,781     $468,360

ADJUSTMENTS TO RECONCILE NET
  INCOME TO NET CASH PROVIDED
  BY/(USED IN) OPERATING
  ACTIVITIES:
   DEPRECIATION                        54,450      76,950
   AMORTIZATION                         2,100       2,100
   DECREASE/(INCREASE) IN ACCOUNTS
     RECEIVABLE                       973,092  (1,058,506)
   (INCREASE)/DECREASE IN
      INVENTORIES                    (129,940)      3,029
   DECREASE/(INCREASE) IN CONTRACT
      COSTS AND RELATED ESTIMATED
      PROFITS IN EXCESS OF APPLICABLE
      BILLINGS                        785,345    (128,846)
   (INCREASE) IN PREPAID EXPENSES
      AND OTHER CURRENT ASSETS         (2,049)    (15,671)
   (DECREASE)/INCREASE IN ACCOUNTS
      PAYABLE                        (200,323)      3,016
   INCREASE IN ACCRUED LIABILITIES     62,852      15,543
   INCREASE IN ACCRUED CORPORATE
      INCOME TAXES                    144,854     312,240
   (DECREASE) IN ACCRUED PENSION
      COSTS                           (28,000)     (1,001)

   TOTAL ADJUSTMENTS                1,662,381    (791,146)

NET CASH PROVIDED BY/(USED IN)
   OPERATIONS                       2,157,162    (322,786)

CASH FLOWS FROM INVESTING
  ACTIVITIES:
   EXPENDITURES FOR PLANT,
    PROPERTY AND EQUIPMENT           (111,945)    (46,892)

NET CASH (USED IN) INVESTING
  ACTIVITIES                         (111,945)    (46,892)

CASH FLOWS FROM FINANCING ACTIVITIES:
   PRINCIPAL PAYMENTS OF LONG-
   TERM DEBT                         (593,595)    (45,460)

NET CASH (USED IN) FINANCING
  ACTIVITIES                        ($593,595)   ($45,460)

NET INCREASE/(DECREASE) IN CASH
  AND CASH EQUIVALENTS              1,451,622    (415,138)

CASH AND CASH EQUIVALENTS AT
  BEGINNING OF PERIOD               2,090,251   1,176,479

CASH AND CASH EQUIVALENTS AT
  END OF PERIOD                    $3,541,873  $  761,341

SEE ACCOMPANYING NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS

4


THE DEWEY ELECTRONICS CORPORATION

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)

FOR THE SIX MONTHS ENDED DECEMBER 31, 2001

NOTE 1:  REVENUE RECOGNITION

Revenues and estimated earnings under defense contracts are
recorded using the percentage-of-completion method of
accounting, measured as the percentage of costs incurred to
estimated total costs for each contract.  Provisions for
estimated losses on uncompleted contracts are made in the
period in which such losses are determined.  Changes
in job performance, job conditions, and estimated
profitability may result in revisions to costs and income
and are recognized in the period in which the revisions
are determined.

Since substantially all of the Company's electronics business
comes from contracts with various agencies of the United
States Government or subcontracts with prime Government
contractors, the loss of Government business would have a
material adverse effect on this segment of business.

In the Leisure and Recreation segment, revenues and earnings
are recorded when deliveries are made.

NOTE 2:  CASH AND CASH EQUIVALENTS

The Company considers all highly liquid debt instruments with
a maturity of three months or less at the date of purchase to
be cash equivalents.

NOTE 3:	FAIR VALUE OF FINANCIAL INSTRUMENTS

The fair values of the Company's long-term debt and line of
credit borrowings are estimated based upon interest rates
currently available for borrowings with similar terms and
maturities and approximate the carrying values.

Due to the short-term nature of cash, accounts receivable,
accounts payable, accrued expenses and other current
liabilities, their carrying value is a reasonable estimate
of fair value.

NOTE 4:  INVENTORIES

Inventories are valued at lower of cost (first-in, first-out
method) or market.  Components of cost include materials,
direct labor and plant overhead.  Cost is determined by the
first-in, first-out (FIFO) method.

As there is no segregation of inventories as to raw materials,
work in progress and finished goods for interim reporting
periods (this information is available at year end when
physical inventories are taken and recorded), estimates
have been made for the interim period.

5

THE DEWEY ELECTRONICS CORPORATION

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
FOR THE SIX MONTHS ENDED DECEMBER 31, 2001

                          December 31, 2001   June 30, 2001

Finished Goods            $149,771            $  32,199
Work In Process            310,157              150,667
Raw Materials              171,692              318,814
                          ________             ________
Total                     $631,620             $501,680
                          ========              =======

NOTE 5:  USE OF ESTIMATES

The preparation of financial statements in conformity with
accounting principles generally accepted in the United States
of America require 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 reported amounts of revenues
and expenses during the reporting period.  Actual results
could differ from those estimates.


NOTE 6:  PLANT, PROPERTY AND EQUIPMENT

Plant, property and equipment are stated at cost.  Allowance
for depreciation is provided on a straight-line basis over
estimated useful lives of three to ten years for machinery and
equipment, ten years for furniture and fixtures, and twenty years
for building and improvements.


NOTE 7:  LOAN FEES

Loan fees are capitalized by the Company and amortized utilizing
the straight-line basis over the term of the loan.


NOTE 8:  LONG-LIVED ASSETS

Whenever events indicate that the carrying values of long-lived
assets may not be recoverable, the Company evaluates the
carrying values of such assets using future undiscounted
cash flows.  Management believes that, as of December 31,
2001, the carrying values of such assets are appropriate.

6


THE DEWEY ELECTRONICS CORPORATION

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
FOR THE SIX MONTHS ENDED DECEMBER 31, 2001

NOTE 9:  REVENUE RECOGNITION IN FINANCIAL STATEMENTS

In December 1999, the Securities and Exchange Commission ("SEC")
issued Staff Accounting Bulletin No. 101 ("SAB 101"), "Revenue
Recognition in Financial Statements."  SAB 101 summarizes certain
 of the SEC's views in applying generally accepted accounting
principles to revenue recognition in financial statements.
The Company adopted SAB 101 in the fourth quarter of fiscal 2001.
The adoption of SAB 101 did not have a significant impact on our
financial statements.

NOTE 10:  BUSINESS COMBINATIONS

On June 29, 2001, Statement of Financial Accounting Standards (SFAS)
No. 141, "Business Combinations" was approved by the FASB.  SFAS No.
141 requires the purchase method of accounting be used for all
business combinations initiated after June 30, 2001.  The Company
implemented SFAS No. 141 on July 1, 2001 and determined that this
statement had no material impact on its financial position or
results of operations.

NOTE 11:  EARNINGS PER SHARE

Net Income per share has been presented pursuant to the Financial
Accounting Standards Board Statement of Financial Accounting
Standards ("SFAS") No. 128, Earnings per Share".  Basic net income
per share is computed by dividing reported net income available to
common shareholders by weighted average shares outstanding for
the period.  Diluted net income per share is computed by dividing
reported net income available to common shareholders by
weighted average shares outstanding for the period, adjusted for
the dilutive effect of common stock equivalents, which consist
of stock options, using the treasury stock method.

The table below sets forth the reconciliation of the numerators
and denominators of the basic and diluted net income per common
share computations.


                                Three Months Ended December 31,
                              2001                    2000
                                 Per                         Per
             Income  Shares      Share   Income   Shares     Share
                                 Amount                      Amount
Basic Net
 Income per
  common
     share  $239,201 1,339,531   $.18    $233,840 1,339,531   $.17

Effect of
  dilutive
  securities     --    40,500      --         --     37,178     --

Diluted net
  income
  per common
  share     $239,201 1,380,031   $.17    $233,840 1,376,709   $.17

7


                               Six Months Ended December 31,
                              2001                     2000
                                 Per                        Per
             Income  Shares      Share   Income   Shares    Share
                                 Amount                     Amount
Basic Net
 Income per
  Common
      Share $494,781 1,339,531   $.37    $468,360 1,339,531   $.35

Effect of
 dilutive
 securities     --     40,500      --         --     32,917     --

Diluted net
 income
 per common
 share     $494,781  1,380,031   $.36     $468,360 1,372,448  $.34


NOTE 12:  RECENT PRONOUNCEMENTS

On June 29, 2001, SFAS No. 142, "Goodwill and Other Intangible
Assets" was approved by the FASB.  SFAS No. 142 changes its
accounting for goodwill from an amortization method to an
impairment-only approach.  Amortization of goodwill, including
goodwill recorded in past business combinations, will cease
upon adoption of this statement.  The Company is required to
implement SFAS No. 142 on June 30, 2002 and it has determined
that this statement will have no material impact on its
financial position or results of operations.

On June 29, 2001, SFAS No. 143 "Accounting for Asset Retirement
Obligations" was approved by the FASB.  SFAS No. 143 requires
that the fair value of a liability for an asset retirement
obligation be recognized in the period in which it is incurred
if a reasonable estimate of fair value can be made.  The
associated asset retirement costs are capitalized as part of
the carrying amount of the long-lived asset.  The Company is
required to implement SFAS No. 143 on July 1, 2002 and it has
determined that this statement will have no material
impact on its financial position or results of operations.


8



THE DEWEY ELECTRONICS CORPORATION

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


Certain statements in this Form 10-Q may be deemed "forward-looking
 statements" within the meaning of Section 21E of the Securities
Exchange Act of 1934.  All statements, other than statements of
historical fact, that address activities, events or developments
 that the Company or management intends, expects, projects,
believes or anticipates will or may occur in the future are
forward-looking statements.  Such statements are based upon
certain assumptions and assessments made by management of the
Company in light of its experience and its perception of
historical trends, current conditions, expected future
developments and other factors it believes to be appropriate.
The forward-looking statements included in this Form 10-Q are
also subject to a number of material risks and uncertainties,
including but not limited to economic, governmental, competitive
and technological factors affecting the Company's operations,
markets, products, services and prices and, specifically, the
factors discussed below under "Government Defense Business".
Such forward-looking statements are not guarantees of future
performance and actual results, developments and business
decisions
may differ from those envisaged by such forward-looking statements.

The Company's operating cycle is long-term and includes various
types of products and varying delivery schedules.  Accordingly,
results of a particular period or period-to-period comparisons
of recorded revenues and earnings, may not be indicative of
future operating results.  The following comparative analysis
should be viewed in this context.


Operating Segments

The Company is organized into operating segments on the basis of
the type of products offered.

In the electronics segment, the Company is a diversified producer
of sophisticated electronic and electromechanical systems for
the Armed Forces of the United States.  The Company's Pitometer
Log Division is a long-established manufacturer of ship speed
and distance measuring instrumentation.  Currently, the principal
products of this segment of business are manufactured either
as prime contractor or as subcontractor, for the Department of
Defense.

In the leisure and recreation segment, the Company, through its
HEDCO Division, designs, manufactures and markets advanced,
sophisticated snowmaking equipment.

There are no intersegment sales.

Some operating expenses, including general corporate expenses,
have been allocated by specific identification or based on labor
for items which are not specifically identifiable.  In computing
operating profit, none of the following items have been added or
deducted:  interest expense, income taxes, and non-operating
income and expenses.

9


Consolidated Results of Operations

For the second fiscal quarter this year, consolidated revenues were
$2,148,712, which is lower than the same period last year by
$216,768.  Lower costs for this past quarter in the electronic
segment resulted in a higher gross profit for the quarter this
year as compared to the same period last year.  Results of
operations by segment are discussed below in more detail.

Consolidated revenues for the six-month period this year were
$4,814,765, which is $181,881 higher than the same period last
year.  Revenues for the six-month period are discussed
below according to business segment.

Operating income for the second fiscal quarter this year remained
level with last year for the same three month period.  For the six-
month period, operating income is $15,768 higher than last year.

The Company has made voluntary principal reduction payments
toward its mortgage during this fiscal year in the amount of
$528,485.  As of December 31, 2001, the outstanding balance
of the Company's mortgage was $975,000.  These principal
payments have reduced interest expenses.  In addition, the
Company had renegotiated its mortgage note agreement, which,
among other factors, reduced the interest rate from a fixed
rate of 8.25% to the Banks prime rate plus .5% with a floor of
6%.  The Company and its Bank also agreed to renew the
Company's line of credit facility of $500,000 at the rate
of .25% plus the Bank's prime rate through October 2002.

Information about the Company's operations in its two segments
for the three and six month periods this year compared to
last year is as follows:


                  Three months ended      Six months ended
                     December 31,           December 31,
                   2001        2000       2001        2000
Electronics
 Segment
  Revenues       $1,856,599  $2,300,879   $4,506,510  $4,541,544
  Operating
    Income         $404,160    $431,692     $878,693    $874,041


Leisure and
 Recreation
 HEDCO
  Revenues         $292,113     $64,601     $308,255     $91,340
  Operating
 Income/(Loss)      $19,235     ($4,050)       ($294)   ($11,410)

Electronics Segment

(In the electronics segment, revenues are recorded under defense
contracts using the percentage of completion method of accounting,
measured as the percentage of costs incurred to estimated total
costs at completion of each contract.  Elements of these costs
include material, labor and overhead expenses.)


10



For the three-month period ended December 31, 2001 revenues in the
electronics segment were $444,280 lower than the same three-month
period last year.  Actual costs incurred during this period were
lower than last year.

For the six-month period ended December 31, 2001 revenues in the
electronics segment were $35,034 lower than the same six-month
period last year.

The Company's contract with the U.S. Army to provide diesel
operated tactical generator sets provided 91% of the electronics
segment revenues this year to date.  Last year, during the
same six-month period, this contract provided 87% of electronic
segment revenues.

The remaining electronics segment revenues were derived form
various orders, more limited in scope and duration, that were
generally for replacement parts for previously supplied Department
of Defense equipment and other projects performed as a
subcontractor.  A large part of such other revenues continues
to be attributable to the Company's Pitometer Log Division,
which manufactures speed and distance measuring instrumentation
for the U.S. Navy.  The Company has also been developing a
small customer base which utilizes its sophisticated CNC
machining centers.

The Company has been the sole producer of 2kW diesel operated
tactical generator sets for the U.S. Army since 1997 under a
contract which was awarded in 1996.  Since that time, the
Company has received orders under this contract of approximately
$33 million.  The final production order under this contract
was received in November 2000.  Deliveries of the final
production order under this contract are scheduled to be
completed in March 2002.  Deliveries have been made to
various branches of the Armed Forces of the United States.

On September 7, 2001, the Company was awarded a new contract
to provide the U.S. Army and other Department of Defense
Agencies with this same 2kW diesel operated generator set.
This new order is a ten-year indefinite delivery, indefinite
quantity contract which replaces the initial contract described
above.  As with the prior award, this contract allows the Army
to place production orders annually and to place additional
interim orders.  When announcing this award through the
Defense Technical Information Center, the U.S. Army
Communications and Electronics Command described this
contract as having "an estimated cumulative value of $35
million (an appropriate number and dollar value will be issued
with each delivery order)".  The Company is anticipating the
receipt of the first production order.  However, no assurance
can be given that the Army will place orders under this contract
or, if orders are placed, the timing and amount of such orders.

As of December 31, 2001, the aggregate value of the Company's
backlog of electronic products not previously recorded as
revenues was approximately $2 million.  It is estimated
that all of this backlog will be recognized as revenues
during this fiscal year.

As of December 31, 2000, the aggregate value of the Company's
backlog of electronic products not previously recorded as
revenues was approximately $11 million.


11


HEDCO Division

In the leisure and recreation segment, revenues were higher by
$227,512 and $216,915 for the three and six-month periods
ended December 31, 2001, respectively, when compared to the
same periods last year.

Higher snowmaking machine revenues than last year accounted
for this increase as the sale of replacement parts remained
level with last year.  This year, included in revenues is
income derived from leasing arrangements, which include
the option to purchase the leased machines.

Traditionally, the major portion of revenues in this segment
are recorded during the second fiscal quarter when snowmaking
machines are delivered.


Liquidity and Capital Resources

The Company's working capital at December 31, 2001 was $4,622,057
compared to $4,727,351 at June 30, 2001.

The ratio of current assets to current liabilities was 6.13
to 1 at December 31, 2001 and 5.87 to 1 at June 30, 2001.

For the six month period ended December 31, 2001 operations provided
net cash of $2,157,162.  Expenditures for plant, property and
equipment used net cash of $111,945 and financing activities used
net cash of $593,595.

The Company does not anticipate any significant capital
expenditures for the remainder of the fiscal year.

Net cash provided by operations resulted primarily from increased
collections of "accounts receivable" which included increased
billings of "contract costs and related estimated profits in
excess of applicable billings".

Net cash used in financing activities includes additional principal
reduction payments of $528,485 made towards the Company's long
term debt.

The Company also has a note payable to an officer in the amount of
$200,000, at an interest rate of 9% per annum, which has been
classified on the Balance Sheet as a long-term liability.
This note is subordinate to the mortgage note with the Company's
primary lender.

On December 27, 2001, the Company and its primary Bank agreed to
revised terms of its mortgage note agreement.  The renewed
agreement, among other items, revised the interest rate from a
fixed rate of 8.25% to the Bank's prime rate plus .5% with a
floor of 6%.  In addition, the maturity date was extended from
October 2002 to January 2005.


12


The Bank had also agreed to extend the Company's line of credit
of $500,000 through October 2002 at the rate of the Bank's prime
 rate plus .25%.  As of December 31, 2001, there were no
outstanding borrowings against this line of credit facility.

The Company's borrowing capacity has remained above its use
of outside financing.  Management believes that the Company's
anticipated cash flow from operations, combined with its line
of credit, will be sufficient to support working capital
requirements and capital expenditures at their current or
expected levels.

Government Defense Business

The electronics segment of business provides most of the Company's
revenues and is comprised of business with the U.S. Department
of Defense or with other government contractors.

This segment consists of long term contracts and short-term
business such as replacement parts.  Revenues from both sources
have remained relatively stable in recent years.

Long term contracts have been dependent upon single projects
and until 1997, a single program, the ADCAP torpedo program
with the U.S. Navy was the primary source of the Company's
revenues.  In 1996, the Company was awarded a contract with
the U.S. Army to provide diesel operated tactical generator
sets.  This program has since become the Company's primary
source of revenues.

On September 7, 2001, the Company was awarded a ten-year
contract to provide the U.S. Army and other Department of
Defense Agencies with 2kW diesel operated generator sets.
This ten-year indefinite delivery, indefinite quantity
contract replaces the initial contract under which the
Company has been the sole producer of this generator for
the Army since 1997.  These generators are currently
being fielded by both active and reserve components of the
U.S. Armed Forces.

The Company, which was incorporated in 1955, has many years
of experience in contracting with the Department of Defense.
The Company continues to explore areas of business, which
will provide continued stability and growth.  Management
believes that by pursuing awards which utilize its technical
expertise and its sophisticated machining capabilities the
Company has its best opportunity for success.

Since substantially all of the Company's electronics
business is derived from contracts with various agencies
of the United States Government (the "Government") or
subcontracts with prime Government contractors, the loss
of substantial Government business would have a material
adverse effect on the business.

It should be recognized that Department of Defense business
is subject to changes in military procurement policies and
objectives and to government budgetary constraints and that
the Company bids for Department of Defense business in
competition with many defense contractors, including firms
that are larger in size and have greater financial resources.


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PART II - OTHER INFORMATION

Item 4.  Submission of Matters to a Vote of Security Holders

On December 5, 2001, at the Company's annual meeting of
shareholders, the following six directors were elected to
serve for the ensuing year.  Set forth below are the numbers
of votes cast for, or withheld with respect to, each such
person (who were the nominees for directors):

Name                           For                Withheld
Alexander A. Cameron       1,126,970              4,815
Frances D. Dewey           1,127,060              4,725
Gordon C. Dewey            1,127,087              4,698
John H.D. Dewey            1,127,087              4,698
Nathaniel Roberts          1,127,087              4,698
James M. Link              1,127,087              4,698

Also at that meeting the shareholders approved the Company's
adoption of its Stock Option Plan for Non-Employee Directors.
Set forth below are the number of votes cast for, against,
withheld, or non-vote with respect to such plan.

For         Against     Withheld      Non-Vote
795,868     65,916      11,517        258,484

Also at that meeting the shareholders approved the Company's
amendment of its 1998 Stock Option Plan.  Set forth below are
the number of votes cast for, against, withheld, or non-vote
with respect to such amendment.

For        Against       Withheld       Non-Vote
799,243    60,397        13,661         258,484

Item 6.  Exhibits and Reports on Form 8-K
-----------------------------------------

No reports on Form 8-K have been filed during the quarter
ended December 31, 2001.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act
of l934, the registrant has duly caused this report to be
signed on its behalf by the undersigned thereunto duly authorized.

THE DEWEY ELECTRONICS CORPORATION

Date:  February 13, 2002                      /s/
                                   Thom A. Velto, Treasurer
                                   Principal Accounting Officer

                                              /s/
Date:  February 13, 2002           Edward L. Proskey,
                                   Vice President, Operations


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