UNITED STATES 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 - February 28, 1997

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

For the transition period from                         to

                       Commission File Number 0-18299 
                           NEWS COMMUNICATIONS, INC.
         ----------------------------------------------------------------
        (Exact name of small business issuer as specified in its charter)

            Nevada                                      13-3346991
---------------------------------             --------------------------------
(State or other jurisdiction of               (IRS Employer Identification No.)
incorporation or organization)

           174-15 Horace Harding Expwy., Fresh Meadows, New York 11365
           -----------------------------------------------------------
                    (Address of principal executive offices)

                                 (718) 357-3380
                            -------------------------
                           (Issuer's telephone number)


                 (Former name, former address and former fiscal
                          if changed since last report)

Check  whether the issuer (1) filed all reports  required to be filed by Section
12, 13 or 15 (d) of the  Exchange Act during the past 12 months (or 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 __

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

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


                      APPLICABLE ONLY TO CORPORATE ISSUERS

State the number of shares outstanding of each of the issuer's classes of common
equity, as of April 15, 1997:  7,910,848 shares, $ .01 par value common
stock

Transitional Small Business Disclosure Format (check one)  Yes ___  No ___

                                        1



<PAGE>

                                   FORM 10-QSB

                   NEWS COMMUNICATIONS, INC. AND SUBSIDIARIES

                                TABLE OF CONTENTS

                                                                          PAGE
PART I.                    Financial Information


    Item 1.                Financial Statements                  

                           Unaudited Consolidated Balance Sheet
                           at February 28, 1997........................    3

                           Unaudited Consolidated Statements of
                           Operations for the three months ended
                           February 28, 1997 and February 29, 1996.....    5

                           Unaudited Consolidated Statements of Cash
                           Flows for the three months ended
                           February 28, 1997 and February 29, 1996.....    6

                           Notes to Consolidated Financial Statements..    8

   Item 2.                 Management's Discussion and Analysis
                           or Plan of Operation........................    9

PART II.                   Other Information...........................   10

   Item 2.                 Changes in Securities.......................   10 

   Item 6.                 Exhibits and Reports on Form 8-K............   10

Signatures.............................................................   11




                                        2



<PAGE>

                                     PART I

Item 1.   FINANCIAL STATEMENTS

                   NEWS COMMUNICATIONS, INC. AND SUBSIDIARIES
               CONSOLIDATED BALANCE SHEET AS OF FEBRUARY 28, 1997
                                   (UNAUDITED)
<TABLE>
<S>                                                                  <C>    

Assets:
Current Assets:
  Cash ......................................................         $  301,978
   Restricted cash ..........................................            196,390
  Accounts receivable [less: allowance for
    doubtful accounts of $957,115] ..........................          3,820,316
  Due from related parties ..................................             19,826
  Other .....................................................            146,530
                                                                      ----------


  Total Current Assets ......................................          4,485,040

Property and equipment at cost- net of
 accumulated depreciation of $912,185 .......................            501,180
 Goodwill - net .............................................          3,302,255
 Other - net ................................................            100,225
                                                                      ----------

  Total Assets ..............................................         $8,388,700
                                                                      ==========
</TABLE>


                                        3



<PAGE>


                   NEWS COMMUNICATIONS, INC. AND SUBSIDIARIES
               CONSOLIDATED BALANCE SHEET AS OF FEBRUARY 28, 1997
                                   (UNAUDITED)
<TABLE>
<S>                                                               <C>    
Liabilities and Stockholders' Equity:
Current liabilities:
  Accounts payable .............................................   $    968,845
  Accrued expenses .............................................        780,570
  Accrued payroll and payroll taxes ............................        331,319
  Note payable .................................................        900,000
  Unearned Revenue .............................................        122,653
  Due to related parties .......................................         55,688
                                                                   ------------
  Total current liabilities ....................................      3,159,075
                                                                   ------------

 Related party - long term debt ................................        961,333
                                                                   ------------

  Minority interest ............................................        114,228
                                                                   ------------

Stockholders' Equity:
 Preferred Stock, $1.00 Par Value; 500,000 Shares Authorized:
  $2,527,000 aggregate liquidation value .......................        200,399

 Common Stock, $.01 Par Value; Authorized 100,000,000
 Shares; 8,061,848 Shares Issued ...............................         80,618

  Paid-in-Capital Preferred Stock ..............................      2,151,740

  Paid-in-Capital Common Stock .................................     14,112,414

  (Deficit) ....................................................    (11,982,378)
                                                                  -------------

   Total .......................................................   $  4,562,793
   Less: Treasury Stock [151,000 Shares]-
            At Cost ............................................       (408,729)
                                                                  -------------
 Total Stockholders' Equity ....................................      4,154,064
                                                                  -------------

 Total Liabilities and Stockholders' Equity ....................   $  8,388,700
                                                                   ============
</TABLE>


                                        4



<PAGE>


                   NEWS COMMUNICATIONS, INC. AND SUBSIDIARIES
                      CONSOLIDATED STATEMENTS OF OPERATIONS
<TABLE>
<CAPTION>
                                                 Three Months Ended
                                                 ------------------
                                           February 28,1997    February 29,1996
                                           ----------------    ----------------
                                                      Unaudited
                                                      ---------
<S>                                          <C>                <C>        
Net Revenues .............................   $ 3,629,827        $ 3,531,415
                                             -----------        -----------

Expenses:
 Direct Mechanical Costs .................     1,323,421          1,511,188
 Salaries, Benefits and
    Outside Labor Costs ..................     2,283,925          2,307,153
 Rent, Occupancy & Utilities .............       227,574            241,444
 Provisions for Doubtful Accounts ........        94,500             45,000
 General and Administrative ..............       573,530            515,449
                                             -----------        -----------

 Total Expenses ..........................     4,502,950          4,620,234
                                             -----------        -----------

Operating Income (Loss) Before 
 Interest Expense and Interest 
 Income ..................................      (873,123)        (1,088,819)

Interest Expense .........................       (52,554)           (19,591)

Interest Income ..........................          --                 --
                                              -----------       -----------

Net (Loss) ...............................   $  (925,677)       $(1,108,410)
                                             ===========        ===========

Net (Loss) Per Share .....................   $      (.12)       $      (.14)
                                             ===========        ===========

Weighted Average Shares
Outstanding ..............................     7,907,015          7,813,516
                                             ===========        ===========
</TABLE>


                                        5



<PAGE>


                   NEWS COMMUNICATIONS, INC. AND SUBSIDIARIES
                      CONSOLIDATED STATEMENTS OF CASH FLOWS

<TABLE>
<CAPTION>
                                                 Three Months Ended
                                                 ------------------
                                           February 28,1997    February 29,1996
                                           ----------------    ----------------
                                                      Unaudited
                                                      ---------
<S>                                          <C>                <C>        
Operating Activities:
  Net (Loss) .............................     $  (925,677)     $(1,108,410)
                                               -----------      -----------
  Adjustments to Reconcile Net
    (Loss) to Net Cash Provided
    by Operating Activities:
   Depreciation and Amortization ........         122,538          107,621
   Provision for Losses on Accounts
    Receivable ..........................          94,500           45,000

 Changes in Assets and Liabilities:
   (Increase) Decrease in Accounts
    Receivable ..........................         (52,411)         421,708
   (Increase) in Other Current
    Assets ..............................         (16,085)          (8,958)
   (Increase) in Due from Related Parties.         (5,826)             229
    Increase in Due to Related Parties ...          4,000           11,997
                 Decrease in Other Assets.         10,664            6,952

    Increase in Accounts Payable
      and Accrued Expenses ...............          8,039          301,306
   (Decrease) in Payroll Taxes Payable ...       (122,320)        (184,399)
                                               -----------      -----------

   Total Adjustments ......................        43,099          701,456
                                               -----------      -----------

  Net Cash Used By Operating Activities....      (882,578)        (406,954)
                                     Forward
</TABLE>

                                        6



<PAGE>


                   NEWS COMMUNICATIONS, INC. AND SUBSIDIARIES
                      CONSOLIDATED STATEMENTS OF CASH FLOWS

<TABLE>
<CAPTION>
                                                 Three Months Ended
                                                 ------------------
                                           February 28,1997    February 29,1996
                                           ----------------    ----------------
                                                      Unaudited
                                                      ---------
<S>                                           <C>                <C>        
Net Cash Used By - Operating
  Activities - Forwarded ..............       (882,578)        (406,954)
                                            ===========      ===========

Investing Activities:
  Capital Expenditures .................       (25,865)         (29,456)
                                            -----------      -----------

Net Cash Provided (Used) by
  Investing Activities .................       (25,865)         (29,456)
                                             -----------      -----------

Financing Activities:
  Principal Payments Note Payable ......      (275,000)            --
  Proceeds from Exercise of Warrants ...          --              7,498
  Dividend on Preferred Stock ..........        (9,466)         (10,340)
  Proceeds from Exercise of Stock
    Options ............................          --             12,500
  Proceeds from Notes Payable ..........          --            400,000
                                            -----------      -----------

Net Cash (Used) Provided by Financing
  Activities ...........................      (284,466)         409,658
                                            -----------      -----------

Net Increase (Decrease) in Cash ........    (1,192,909)         (26,752)

Cash - Beginning of Periods ............     1,494,887           54,474
                                            -----------      -----------

Cash - End of Periods ..................   $   301,978      $    27,722
                                            ===========      ===========

Supplemental Disclosures of Cash Flow
  Information:
  Cash paid during the period for:
   Interest ...........................    $    51,483      $    13,660
   Income Taxes .......................           --               --

</TABLE>
                                        7



<PAGE>

                   NEWS COMMUNICATIONS, INC. AND SUBSIDIARIES

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


A. Basis of Presentation:

   The  Consolidated  Balance Sheet as of February 28, 1997 and the Consolidated
Statements of Operations for the three-month periods ended February 28, 1997 and
February  29,  1996,  and the  Consolidated  Statements  of Cash Flows 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 flow have
been made. The results for the interim periods are not necessarily indicative of
the results for a full year.

   Certain information and footnote  disclosures  normally included in financial
statements prepared in accordance with generally accepted accounting  principles
have been  consolidated  or omitted.  These  consolidated  financial  statements
should be read in conjunction  with the Company's  annual report Form 10-KSB for
the fiscal  year ended  November  30,  1996 and the  related  audited  financial
statements included therein.

   Certain  1996 balances  have  been  reclassified to  conform  to current year
presentation.

B. Loss per Share:

   Loss per share is based on the weighted average number of shares  outstanding
during the periods.

C.   Accounting Pronouncements:

     In October 1995 the Financial  Accounting  Standards  Board ("FASB") issued
Statement of Financial  Accounting  Standards ("SFAS") No. 123,  "Accounting for
Stock-Based  Compensation".  The  Company  has not  adopted  the new  accounting
standards for its employee  stock-based  compensation plans.  However, pro forma
disclosure  of net income and earnings  per share will be made in the  Company's
financial statements for the year ending November 30, 1997.

     The FASB issued SFAS No. 121,  "Accounting for the Impairment of Long-Lived
Assets and for Long-Lived Assets to be Disposed of," in March 1995. SFAS No. 121
established  accounting  standards  for the  impairment  of  long-lived  assets,
certain  identifiable  intangibles,  and goodwill  related to those assets to be
held and used, and for long-lived assets and certain identifiable intangibles to
be disposed of. In the first quarter of 1997 the Company  adopted this statement
and determined that no impairment loss needs to be recognized.

     In February 1997 the FASB issued SFAS No. 128,  "Earnings Per Share".  SFAS
No. 128 specifies revised computational guidelines,  presentation and disclosure
requirements  for earnings per share and supersedes  Accounting  Principal Board
Opinion No. 15. SFAS No. 128 is effective  for financial  statements  issued for
periods  ending after  December 15, 1997,  including  interim  periods.  Earlier
application  is not  permitted,  however,  upon  adoption  SFAS No. 128 requires
restatement of all prior period earnings per share information.  The Company has
not yet determined the impact SFAS No. 128 would have on earnings per share.

                                        8



<PAGE>


Item 2.   MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION

Results of Operations:

     News Communications, Inc. publishes various weekly community newspapers and
related targeted audience publications.

      The Company  reduced its loss for the first quarter by $183,000 (16%) from
($1,108,000)  in 1996 to  ($925,000)  in 1997.  Operating  loss before  interest
expense decreased $216,000 (20%) from ($1.089,000) in 1996 to ($873,000) in 1997
even after taking into account that the  Company  modified  its  assumptions  in
estimating  its provision for doubtful  accounts, causing an increase of $49,500
(110%) from $45,000 in 1996 to $94,500 in 1997.The  increase in interest expense
of  $33,000  (168%)  from  $19,591  in 1996 to  $52,544  in 1997 was a result of
increased bank loans and the loan from shareholder being outstanding in 1997.

      Total  revenues for the Company were  $3,630,000  for the first quarter of
1997, an increase of almost $100,000 (3%) from  $3,531,000 in 1996. The increase
in revenues was  primarily a result of Dan's Papers'  capitalization  on an ever
growing  market  in  the  Long  Island  posh  resort  area,  the  Hamptons,  and
positioning  itself  as  the  advertising  standard  on  Long  Island's east end
($102,000,  37%), Brooklyn  Skyline's  expansion  into  a  fifth zone  ($57,000,
21%),  offset  by a decrease in lower profit margin  printing  revenue ($88,000,
13%).

       Direct  mechanical  costs had increases  due to  expansions  during 1996;
however,  these were offset by budget cuts and decreased  prices for  newsprint.
Direct  mechanical  costs  decreased  $188,000 (12%) from  $1,511,000 in 1996 to
$1,323,000 in 1997.

Liquidity and Capital Resources:

      At February  28,  1997,  the Company had an excess of current  assets over
current  liabilities  in the  amount of  approximately  $1,326,000.  During  the
quarter ended February 28, 1997, the Company repaid  $275,000 of bank loans from
cash on hand at the beginning of the fiscal year.

     Management  believes that the Company's  operations will generate  positive
cash flow for the fiscal year ending November 30, 1997. Although there can be no
assurances  to this  effect,  management  is confident  that it has  available a
variety of funding and revenue to meet its cash needs.


                                       9



<PAGE>

                                     PART II
                               OTHER INFORMATION

Item 2.   CHANGES IN SECURITIES

     The  following  securities  were  issued by the  Company  during the period
covered by this report and were not registered under the Securities Act of 1933,
as amended (the "Act").  Each of the  transactions  is claimed to be exempt from
registration with the Securities Exchange Commission pursuant to Section 4(2) of
the Act as  transactions  by an issuer not  involving  a public  offering.  All
of such securities are deemed to be restricted securities for the purposes of 
the Act.

     (i) On or about January 7, 1997, 23,809 shares of Common Stock and Warrants
to purchase an additional  23,809 shares of Common Stock  (exercisable  at $2.10
per share) were issued to Leonore  Novak upon  conversion by her of 50 shares of
the Company's 8% Convertible Preferred Stock.


Item 6.  EXHIBITS AND REPORTS ON FORM 8-K

              A.   Exhibits 

                    27 - Financial Data Schedule

              B.   Reports on Form 8-K - None


                                       10



<PAGE>


                                   SIGNATURES



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



                            NEWS COMMUNICATIONS, INC.
                                  (Registrant)






Date: April 16, 1997                              By:/s/ Michael Schenkler
                                                  ---------------------
                                                  Michael Schenkler, President




Date: April 16, 1997                              By:/s/ Robert Berkowitz
                                                  --------------------
                                                  Robert Berkowitz, Controller





                                       11



<PAGE>