FOUNTAIN POWERBOAT INDUSTRIES, INC.

                                 FORM 10-Q

                             QUARTERLY REPORT

                  FOR THE QUARTER ENDED DECEMBER 31, 2001


                    SECURITIES AND EXCHANGE COMMISSION
                           WASHINGTON, DC  20549



<PAGE>
                                 FORM 10-Q

                  U.S. SECURITIES AND EXCHANGE COMMISSION
                          Washington, D.C.  20549


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

             For the quarterly period ended December 31, 2001

                                    OR

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

      For the transition period from ____________ to _______________

      For the Quarter Ended         Commission File Number

      ___________________                0-14712

                    FOUNTAIN POWERBOAT INDUSTRIES, INC.
          (Exact name of registrant as specified in its charter)

                  Nevada                      56-1774895
     (State or other jurisdiction of       (I.R.S. employer
     incorporation or organization)       identification No.)


        Whichard's Beach Road, P.O. Drawer 457, Washington, NC  27889
                 (Address of principal executive offices)

          Registrant's telephone no. including area code: (252) 975-2000

 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

 Indicate  the  number  of  shares outstanding of  each  of  the  issuer's
 classes of common stock as of the latest practicable date.

         Class                  Outstanding at January 31, 2002

 Common Stock, $.01 par value          4,732,608 shares

<PAGE>


            FOUNTAIN POWERBOAT INDUSTRIES, INC. AND SUBSIDIARY


                                   INDEX

                                                                  Page No.

Part I Financial Information

       Unaudited Consolidated Balance Sheets,
        December 31, 2001 and June 30, 2001                          1 - 2

       Unaudited Consolidated Statements of Operations, for the
        three and six months ended December 31, 2001
        and December 31, 2000                                            3

       Unaudited Consolidated Statements of Cash Flows, for the
        six months ended December 31, 2001
        and December 31, 2000                                        4 - 5

       Notes to Unaudited Consolidated Financial Statements          6 - 8

       Management's Discussion and Analysis of Results
         of Operations and Financial Condition                      9 - 10

Part II Other Information

       Item 6  Exhibits and Reports on Form 8 and Form 8-K              11

       Signature                                                        12






<PAGE>
            FOUNTAIN POWERBOAT INDUSTRIES, INC. AND SUBSIDIARY

                   UNAUDITED CONSOLIDATED BALANCE SHEETS


                                  ASSETS





                                         December 31,    June 30,
                                             2001          2001
                                        _____________ _____________
CURRENT ASSETS:
  Cash and cash equivalents              $   445,338   $   796,606
  Accounts receivable, net                   569,582     1,939,886
  Inventories                              4,009,032     4,555,969
  Prepaid expenses                           373,812       172,538
  Current tax assets                       2,729,619     1,469,937
                                        _____________ _____________
     Total Current Assets                  8,127,383     8,934,936
                                        _____________ _____________
PROPERTY, PLANT AND EQUIPMENT             40,257,740    39,352,236

  Less:  Accumulated depreciation        (21,558,870)  (20,432,602)
                                        _____________ _____________
                                          18,698,870    18,919,634
                                        _____________ _____________
OTHER ASSETS                               1,412,710     1,093,182
                                        _____________ _____________
                                         $28,238,963   $28,947,752
                                        _____________ _____________






















                                [Continued]



                                     1
<PAGE>
            FOUNTAIN POWERBOAT INDUSTRIES, INC. AND SUBSIDIARY

                   UNAUDITED CONSOLIDATED BALANCE SHEETS

                   LIABILITIES AND STOCKHOLDERS' EQUITY

                                [Continued]


                                         December 31,    June 30,
                                             2001          2001
                                        _____________ _____________
CURRENT LIABILITIES:
  Current maturities - long-term debt    $ 1,012,023   $   722,661
  Current maturities - capital lease          15,053        13,989
  Accounts payable                         4,195,801     5,682,729
  Accrued expenses                           895,267     1,006,459
  Dealer incentives                          854,616     2,030,126
  Customer deposits                          470,546       321,175
  Allowance for boat repurchases             200,000       200,000
  Reserve for warranty expense               590,000       590,000
                                        _____________ _____________
     Total Current Liabilities             8,233,306    10,567,139

LONG-TERM DEBT, less current maturities   10,076,995     6,580,299
CAPITAL LEASE, less current maturities        48,887        49,605
DEFERRED TAX LIABILITY                       812,936       759,577

COMMITMENTS AND CONTINGENCIES [NOTE 5]             -             -
                                        _____________ _____________
     Total Liabilities                    19,172,124    17,956,620
                                        _____________ _____________



STOCKHOLDERS' EQUITY:
  Common stock, $.01 par value,
    200,000,000 shares authorized,
    4,732,608 shares issued and
    outstanding                               47,326        47,326
  Additional paid-in capital              10,303,640    10,303,640
  Accumulated earnings                    (1,173,379)      750,914
                                        _____________ _____________
                                           9,177,587    11,101,880
  Less: Treasury stock, at cost,
    15,000 shares                           (110,748)     (110,748)
                                        _____________ _____________
     Total Stockholders' Equity            9,066,839    10,991,132
                                        _____________ _____________
                                         $28,238,963   $28,947,752
                                        _____________ _____________




The accompanying notes are an integral part of these financial statements.
                                     2
<PAGE>
            FOUNTAIN POWERBOAT INDUSTRIES, INC. AND SUBSIDIARY

              UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS


                                  For The Three              For The Six
                                   Months Ended              Months Ended
                                   December 31               December 31
                            _________________________ _________________________
                                2001         2000         2001         2000
                            ____________ ____________ ____________ ____________

NET SALES                   $ 6,553,076  $ 8,838,621  $15,003,869  $22,524,964

COST OF SALES                 7,148,277    7,816,539   14,911,584   19,607,756
                            ____________ ____________ ____________ ____________

     Gross Profit              (595,201)   1,022,082       92,285    2,917,208

EXPENSES
     Selling Expense            987,379    1,278,544    1,859,313    2,912,198
     Selling Expense-
       related parties                -      117,255            -      157,375
     General & Administrative   475,781      720,005      963,506    1,467,697
                            ____________ ____________ ____________ ____________

         Total Expenses       1,463,160    2,115,804    2,822,819    4,537,270
                            ____________ ____________ ____________ ____________

OPERATING INCOME (LOSS)      (2,058,361)  (1,093,722)  (2,730,534)  (1,620,062)

NON-OPERATING
INCOME/(EXPENSE)
     Other Income                 5,135    1,569,633        4,283    1,578,320
     Interest Expense          (262,516)    (217,764)    (404,365)    (471,455)
                            ____________ ____________ ____________ ____________

INCOME (LOSS) BEFORE TAX     (2,315,742)     258,147   (3,130,616)    (513,197)

CURRENT TAX EXPENSE                   -       (9,785)           -            -

DEFERRED TAXES (BENEFIT)       (898,091)     111,569   (1,206,323)    (178,835)
                            ____________ ____________ ____________ ____________

NET INCOME (LOSS)            (1,417,651)     156,363   (1,924,293)    (334,362)

EARNINGS (LOSS) PER SHARE          (.30)         .03         (.41)        (.07)
                            ____________ ____________ ____________ ____________
WEIGHTED AVERAGE
    SHARES OUTSTANDING        4,732,608    4,732,608    4,732,608    4,732,608
                            ____________ ____________ ____________ ____________

DILUTED EARNINGS PER SHARE           N/A          N/A          N/A          N/A
                            ____________ ____________ ____________ ____________
DILUTED WEIGHTED AVERAGE
    SHARES OUTSTANDING               N/A          N/A          N/A          N/A
                            ____________ ____________ ____________ ____________



                                     3
<PAGE>
            FOUNTAIN POWERBOAT INDUSTRIES, INC. AND SUBSIDIARY

              UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS

             Increase (Decrease) in Cash and Cash Equivalents

                                                     For the Six Months Ended
                                                           December 31,
                                                  _____________________________
                                                       2001           2000
                                                  ______________ ______________
CASH FLOWS FROM OPERATING ACTIVITIES:
  Net income (loss)                               $  (1,924,293) $    (334,362)
                                                  ______________ ______________
  Adjustments to reconcile net income (loss)
    to net cash provided by operating activities:
     Depreciation expense                             1,126,268      1,193,082
     Gain on sale of fixed asset                              -       (500,446)
     Net deferred taxes                              (1,206,323)      (178,835)
     Change in assets and liabilities:
       (Increase) decrease in accounts receivable     1,370,303        973,888
       (Increase) decrease in inventories               546,938      2,616,816
       (Increase) decrease in prepaid expenses         (201,275)      (314,745)
       Increase (decrease) in deferred sales                  -        102,496
       Increase (decrease) in accounts payable       (1,486,903)      (756,182)
       Increase (decrease) in accrued expenses         (111,216)      (294,753)
       Increase (decrease) in dealer incentives      (1,175,510)       231,054
       Increase (decrease) in customer deposits         149,371       (157,005)
                                                  ______________ ______________
        Net Cash Provided (Used) by
          Operating Activities                    $  (2,912,640) $   2,581,008
                                                  ______________ ______________
CASH FLOWS FROM INVESTING ACTIVITIES:
  Purchase of property, plant, and equipment           (905,504)    (1,741,649)
  Proceeds from sale of fixed assets                          -      1,750,920
  (Increase) in other assets                            172,801        (51,314)
                                                  ______________ ______________
        Net Cash Provided (Used) by Investing
          Activities                              $    (732,703) $     (42,243)
                                                  ______________ ______________
CASH FLOWS FROM FINANCING ACTIVITIES:
  Proceeds from long-term debt                    $   3,344,344  $           -
  Repayment of long-term debt                           (50,270)    (2,473,314)
                                                  ______________ ______________
        Net Cash Provided (Used) by Financing
          Activities                              $   3,294,074  $  (2,473,314)
                                                  ______________ ______________
Net increase (decrease) in cash and cash
  equivalents                                     $    (351,269) $      65,451

Cash and cash equivalents at beginning of year    $     796,606  $   1,983,439
                                                  ______________ ______________

Cash and cash equivalents at end of period        $     445,337  $   2,048,890
                                                  ______________ ______________


                                [Continued]
                                     4
<PAGE>
            FOUNTAIN POWERBOAT INDUSTRIES, INC. AND SUBSIDIARY

              UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS

             Increase (Decrease) in Cash and Cash Equivalents

                                [Continued]

                                                     For the Six Months Ended
                                                           December 31,
                                                  _____________________________
                                                       2001           2000
                                                  ______________ ______________
Supplemental Disclosures of Cash Flow Information:
  Cash paid during the period for:

      Interest, net of amounts capitalized        $     164,865  $     474,502
      Income Taxes                                $           -  $           -


Supplemental Disclosures of Noncash Investing and Financing Activities:
  For the six month period ended December 31, 2001:
     None

  For the six month period ended December 31, 2000:
       None






























The accompanying notes are an integral part of these financial statements.
                                     5
<PAGE>
            FOUNTAIN POWERBOAT INDUSTRIES, INC. AND SUBSIDIARY

           NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS


NOTE 1 - BASIS OF PRESENTATION

  The  accompanying financial statements have been prepared by the Company
  without  audit.   In  the opinion of management, all adjustments  (which
  include  only normal recurring adjustments) necessary to present  fairly
  the  financial  position,  results  of  operations  and  cash  flows  at
  December 31, 2001 and for all periods presented have been made.

  Certain  information  and  footnote  disclosures  normally  included  in
  financial  statements  prepared in accordance  with  generally  accepted
  accounting  principles have been condensed or omitted  for  purposes  of
  filing  interim  financial statements with the Securities  and  Exchange
  Commission.   It is suggested that these condensed financial  statements
  be  read  in conjunction with the financial statements and notes thereto
  included  in  the Company's June 30, 2001 audited financial  statements.
  The  results of operations for the period ended December 31, 2001 is not
  necessarily indicative of the operating results for the full year.

NOTE 2 - ACCOUNTS RECEIVABLE

  As  of  December 31, 2001, accounts receivable were $569,582 net of  the
  allowance  for  bad  debts of $27,841.  This  is  a  decrease  from  the
  $1,939,886  in net accounts receivable recorded at June  30,  2001.   Of
  the  balance  at  December  31,  2001, $301,850  subsequently  has  been
  collected  as  of  January  31,  2002, and  the  remaining  $267,732  is
  believed to be fully collectible.


NOTE 3 - INVENTORIES

  Inventories  at  December 31, 2001 and June 30, 2001  consisted  of  the
  following:


                                         December 31,    June 30,
                                             2001          2001
                                        _____________ _____________
         Parts and supplies             $  2,264,110  $  2,829,705
         Work-in-process                   1,657,051     1,308,998
         Finished goods                      237,871       567,266
         Obsolete inventory reserve         (150,000)     (150,000)
                                        _____________ _____________
           Total                        $  4,009,032  $  4,555,969
                                        _____________ _____________


                                     6
<PAGE>
            FOUNTAIN POWERBOAT INDUSTRIES, INC. AND SUBSIDIARY

           NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 4- REVENUE RECOGNITION

  The  Company generally sells boats only to authorized dealers and to the
  U.S.  Government.  A sale is recorded when a boat is shipped to a dealer
  or  to  the  Government,  legal title and incidents  of  ownership  have
  passed  from  the Company to the dealer or Government, and  an  accounts
  receivable  is  recorded or payment is received  from  the  dealer,  the
  Government, or the dealer's third-party commercial lender.  This is  the
  method of sales recognition in use by most boat manufacturers.

  The  Company has developed criteria for determining whether  a  shipment
  should  be  recorded as a sale or as a deferred sale.  The criteria  for
  recording a sale are that the boat has been completed and shipped  to  a
  dealer or to the Government, that title and incidents of ownership  have
  passed  to the dealer or to the Government, and that there is no  direct
  or  indirect commitment to the dealer or to the Government to repurchase
  the boat.

  Sales  incentive interest payments for boats sold are accrued for a  six
  month  (180  days) interest period in the same fiscal accounting  period
  that  the  related sale is recorded, since the Company  considers  it  a
  selling  expense.   The  amount  of  interest  accrued  is  subsequently
  adjusted  to  reflect  the actual number of days of remaining  liability
  for  floor  plan  interest for each individual  boat  remaining  in  the
  dealer's inventory and on floor plan.

  Presently,  the Company's normal sales program provides for the  payment
  of  floor  plan interest on behalf of its dealers for six  months.   The
  Company  believes  that this program is competitive  with  the  interest
  payment programs offered by other boat manufacturers, but may from  time
  to  time  adopt  and publish different programs as deemed  necessary  in
  order to meet or exceed the competition.

NOTE 5 - COMMITMENTS AND CONTINGENCIES

  Manufacturer  Repurchase  Agreements  -  The  Company  makes   available
  through  third-party  finance companies a floor plan  financing  program
  for  many  of its dealers.  Sales to participating dealers are  approved
  by  the  respective finance companies.  If a participating  dealer  does
  not satisfy its obligations under the floor plan financing agreement  in
  effect   with  its  commercial  lender(s)  and  boats  are  subsequently
  repossessed  by  the  lender(s), then under  certain  circumstances  the
  Company  may be required to repurchase the repossessed boats if  it  has
  executed  a  repurchase agreement with the lender(s).  At  December  31,
  2001,  the Company had a total contingent liability to repurchase  boats
  in  the  event  of dealer defaults and if repossessed by the  commercial
  lenders  amounting  to  approximately  $18,688,716.   The  Company   has
  reserved for the future losses it might incur upon the repossession  and
  repurchase  of  boats  from  commercial  lenders.   The  amount  of  the
  allowance  is based upon probable future events which can be  reasonably
  estimated.   At  December 31, 2001, the allowance for  boat  repurchases
  was $200,000.

  Dealer  Interest  -  The Company regularly pays a  portion  of  dealers'
  interest  charges  for  floor plan financing.   These  interest  charges
  amounted  to  approximately  $308,882 for the  first  six  months  ended
  December  31,  2001 and are classified in the accompanying  consolidated
  statements of operations as selling expense.  At December 31, 2001,  the
  estimated  unpaid  dealer  interest included  in  accrued  expenses  was
  $144,830.

                                     7
<PAGE>
            FOUNTAIN POWERBOAT INDUSTRIES, INC. AND SUBSIDIARY

           NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS


NOTE 6 - TRANSACTIONS WITH RELATED PARTIES

  At  December 31, 2001, the Company had receivables and advances from its
  employees amounting to $6,124.

  During  the  six month period ended December 31, 2001, the Company  paid
  $11,900  for  services rendered to entities owned or controlled  by  the
  Company's Chairman, President, and Chief Executive Officer.

  The  Company paid $24,868 during the six month period ended December 31,
  2001  for  advertising  services received from  an  entity  owned  by  a
  Company director.

NOTE 7- INCOME TAXES

  For  the  six month period ended December 31, 2001 and 2000, the Company
  paid  $0 and $0 for current income taxes and had a benefit of $1,206,323
  and $178,835 for deferred income taxes.

NOTE 8 - EARNINGS (LOSS) PER SHARE

  The  computations of earnings (loss) per share and diluted earnings  per
  share  amounts are based upon the weighted average number of outstanding
  common  shares during the periods, plus, when their effect is  dilutive,
  additional  shares  assuming  the  exercise  of  certain  vested   stock
  options,  reduced by the number of shares which could be purchased  from
  the  proceeds from the exercise of the stock options assuming they  were
  exercised.   Diluted earnings per share for the six month  period  ended
  December  31, 2001 and 2000, was not presented as its effect  was  anti-
  dilutive.   At  December 31, 2001 there were 576,000  unexercised  stock
  options,  of  which 550,000 were held by officers and directors  of  the
  Company  at prices ranging from $1.34 to $5.00 per share that  were  not
  included in the computation of earnings per share because the effect  is
  anti-dilutive.

NOTE 9 - GOING CONCERN

  Due  to  the  recent  recession and weakening  consumer  confidence  the
  Company  has  experienced a significant decrease in sales  resulting  in
  recent   operating  losses  and  working  capital  deficiencies  raising
  substantial doubt about its ability to continue as a going concern.   In
  this  regard, management has continued new product development and plans
  to  release the Company's new 34 foot wide beam fishing boat and 48 foot
  wide  beam sports cruiser. The Company at February 1, 2002 has  a  sales
  order back log thru the end of April 2002 for the new 38 foot wide  beam
  series.   Further,  the Company has reduced operating  expenditures  and
  restructured  long  term debt financing . Management believes  that  the
  current  increase  in  sales  orders  combined  with  continued  expense
  control  will  allow the Company to weather the current  recession.  The
  financial  statements do not include any adjustments that  might  result
  from the outcome of these uncertainties.

                                       8
<PAGE>



Management's Discussion and Analysis of Results of Operations
and Financial Condition

Results of Operations.

The  operating  loss  for the three months ended  December  31,  2001  was
$2,058,361 or $(.43) per share versus $1,093,722 or $(.23) per  share  for
the  same  period in 2000.  The net loss for the six months ended December
31, 2001, was $1,924,293 or $(.41) per share.  This compares to a net loss
of  $334,362  or  $(.07) per share for the six months ended  December  31,
2000, which included non-operating income of $1,569,633.

Net  sales  were  $6,553,076 for the second quarter  of  Fiscal  2002,  as
compared  to  $8,838,621  for the three months ended  December  31,  2000.
Sales  volume  for  three months ended December  31,  2001  was  50  units
compared  to  69 units for the prior year.  During the second  quarter  of
Fiscal  2002,  while unit volume dropped almost 30%, the mix also  shifted
dramatically.  Lower margin fish boats, which normally represent about 20%
of  units  shipped, rose to almost 50%.  During this same time, the  sport
boat mix shifted to smaller units at lower than average margins.

Gross  margin on sales for the three months ended December 31,  2001,  was
$(595,201)  as compared to $1,022,082 for the three months ended  December
31,  2000.   Gross margin for the six months ended December 31,  2001  was
$92,285 compared with $2,917,208 for the same period of the previous year.
The  decrease  in margin was due to three weeks of plant shutdown  in  the
Fiscal  2002 quarter, combined with low sales volume, a dramatic shift  in
product mix, and additional discounts provided to assist dealers in moving
aged inventory.  Currently, dealer inventories are down more than 20% from
inventory levels of the last 3 years.

Selling  expenses  were $987,379 for the three months ended  December  31,
2001,  as  compared to $1,395,799 for the three months ended December  31,
2000.   Decreased  selling expenses were a result of budget  expense  cuts
which  included  lower  race  and advertising expense,  and  over  $80,000
savings in dealer interest incentives.

General  and  administrative expenses were $475,781 for the  three  months
ended  December 31, 2001 compared to $720,005 for the three  months  ended
December  31,  2000.   Over $130,000 of these savings  resulted  from  the
December  2000  sale  of  the corporate plane, reducing  depreciation  and
related travel cost.

Interest expense for the three months ended December 31, 2001 was $262,516
as compared to $217,764 for the three months ended December 31, 2000.

Other  non-operating  (income)/expense for the three months  December  31,
2001  was $(5,135) as compared to $(1,569,633) for the three months  ended
December 31, 2000.  December 2000 other income resulted from the  sale  of
the  corporate  plane and the full and final payment of  insurance  claims
arising from hurricane damage.

                                     9
<PAGE>

Financial Condition.

The  Company's  summary cash flows for the six months ended  December  31,
2001 are:

     Net cash used in operating activities       $ (2,912,640)
     Net cash used in investing activities           (732,703)
     Net cash provided by financing activities      3,294,074
                                                 _____________
     Net decrease in cash                        $   (351,269)

This  net  decrease compares to a $65,451 net increase for the six  months
ended  December 31, 2000, which included $1,750,920 from the sale  of  the
corporate aircraft.

Cash  used in the six months ended December 31, 2001 to acquire additional
property,  plant, and equipment (investing activity) amounted to  $905,504
which was invested in tooling of brand new product designs, including  the
48'  wide beam cruiser and the 34' wide beam fish boat.  These new designs
have  generated significant interest in the retail market,  with  the  34'
fish boat producing retail orders before the tooling was completed.

Cash  provided by financing activities were a result of new long term debt
refinancing  which  was  completed during  the  second  quarter,  yielding
proceeds of $3,344,344.

For the remainder of the year ending June 30, 2002 and beyond, the Company
expects  to generate sufficient cash through operations to meet its  needs
and  obligations.  The Company maintained its new product  development  in
the  first six months of the fiscal year, despite the volume decrease  and
sales  mix.   The  Company will introduce 2 new key models  at  the  Miami
International Boat Show in February 2002.  Previous experience  leads  the
Company  to  believe  that  related new  product  sales  will  generate  a
sufficient  source  of  revenue and will result in corresponding  earnings
improvement.

Cautionary  Statement  for  Purposes of "Safe Harbor"  Under  the  Private
Securities Reform Act of 1995.

The  Company  may  from  time  to  time make  forward-looking  statements,
including  statements projecting, forecasting, or estimating the Company's
performance  and  industry trends.  The achievement  of  the  projections,
forecasts,  or  estimates  contained in these  statements  is  subject  to
certain risks and uncertainties, and actual results and events may  differ
materially from those projected, forecasted, or estimated.

The  applicable  risks  and  uncertainties include  general  economic  and
industry  conditions that affect all businesses, as well as, matters  that
are  specific to the Company and the markets it serves.  For example,  the
achievement  of  projections, forecasts, or  estimates  contained  in  the
Company's  forward-looking  statements may be  impacted  by  national  and
international economic conditions; compliance with governmental  laws  and
regulations;  accidents  and acts of God; and all  of  the  general  risks
associated with doing business.

Risks that are specific to the Company and its markets include but are not
limited  to compliance with increasingly stringent environmental laws  and
regulations; the cyclical nature of the industry; competition  in  pricing
and        new        product        development        from        larger

                                     10
<PAGE>

Cautionary  Statement  for  Purposes of "Safe Harbor"  Under  the  Private
Securities Reform Act of 1995.     (continued)


companies  with substantial resources; the concentration of a  substantial
percentage of he Company's sales with a few major customers, the loss  of,
or  change in demand from, any of which could have a material impact  upon
the  Company;  labor  relations at the Company and at  its  customers  and
suppliers;   and  the  Company's  single-source  supply  and  just-in-time
inventory  strategies  for some critical boat components,  including  high
performance engines, which could adversely affect production if a  single-
source   supplier  is  unable  for  any  reason  to  meet  the   Company's
requirements on a timely basis.


PART II.  Other Information.

ITEM 2:   Change in Securities.

There  was no change in securities during the quarter ending December  31,
2001.

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

     (1)  Exhibits. The following exhibits are filed in with this report:
		None

      (a)  No Amendments on Form 8 were filed by the Registrant during the
second three months of Fiscal 2002.

      (b)   No  Current Reports on Form 8-K were filed by  the  Registrant
during the first six months of Fiscal 2002.


                                     11
<PAGE>
                                 SIGNATURE



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



                    FOUNTAIN POWERBOAT INDUSTRIES, INC.
                               (Registrant)






By:     /s/ Hannah Hale                       Date: February 6, 2002
     Chief Financial Officer




                                        12