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

                           FORM 10-QSB

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

     For the quarterly period ended December 31, 2000

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

     For the transition period from        to

                  Commission File No. 000-26017

                       GOURMET GIFTS, INC.
(Exact name of small business issuer as specified in its charter)

            Nevada                          880375818
(State or Other Jurisdiction of           (IRS Employer
Incorporation or Organization)         Identification No.)


              253 D'Emerald, Sparks, Nevada  89434
            (Address of principal executive offices)

                         (702) 254-5069
                   (Issuer's telephone number)

                         Not Applicable
  (Former name, address and 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 Exchange Act during  the
preceding 12 months (or for such shorter period that the  issuer
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 has filed all documents and reports
required  to  be  filed by Sections 12,  13,  or  15(d)  of  the
Exchange Act subsequent to the distribution of securities  under
a plan confirmed by a court.  Yes  [  ]  No  [  ]

APPLICABLE ONLY TO CORPORATE ISSUERS:
As  of February 12, 2001, the Registrant had outstanding 896,000
shares of Common Stock, par value $0.001.

<PAGE>
                           FORM 10-QSB
                       GOURMET GIFTS, INC.

                              INDEX
                                                       Page

PART I.    Financial Information                          2

           Independent Accountants Report                 3

           Balance Sheets - December 31, 2000 and         4
           December 31, 1999

           Statements of Operations - Three Months        5
           Ended December 31, 2000 and 1999, and
           From Inception (September 24, 1997) to
           December 31, 2000

           Statement  of  Changes in  Stockholders'       6
           Equity From Inception (September 24, 1997) to
           December 31, 2000

           Statements of Cash Flows - Three Months        7
           Ended December 31, 2000 and 1999, and
           From Inception (September 24, 1997) to
           December 31, 2000

           Notes to Financial Statements                  8

           Management's Discussion and Analysis or       11
           Plan of Operation

PART II.   Other Information                             12

SIGNATURES                                               12



                             PART I.

FINANCIAL INFORMATION

     In the opinion of management, the accompanying unaudited
financial statements included in this Form 10-QSB reflect all
adjustments (consisting only of normal recurring accruals)
necessary for a fair presentation of the results of operations
for the periods presented.  The results of operations for the
periods presented are not necessarily indicative of the results
to be expected for the full year.

                           2
<PAGE>
PART F/S


                       GOURMET GIFTS, INC.
                  (A DEVELOPMENT STAGE COMPANY)
                      FINANCIAL STATEMENTS
                     DECEMBER 31, 2000, AND
                        DECEMBER 31, 1999


                              INDEX

                                                      Page Number

     INDEPENDENT ACCOUNTANT'S REPORT                         3

FINANCIAL STATEMENT

     Balance Sheets                                          4

     Statements of Operations and Deficit
     Accumulated During the Development Stage                5

     Statement of Changes in Stockholders' Equity            6

     Statements of Cash Flows                                7

     Notes to the Financial Statements                       8

                              3
<PAGE>

David E. Coffey    3651 LINDELL ROAD, SUITE 1, LAS VEGAS, NV  89103
Certified Public Accountant




                 INDEPENDENT ACCOUNTANT'S REPORT

To the Board of Directors and Stockholders
of Gourmet Gifts, Inc.
Reno, Nevada

     I have reviewed the accompanying financial statements of
Gourmet Gifts, Inc. for the three month periods ended December
31, 2000, and December 31, 1999.  These financial statements are
the responsibility of Gourmet Gifts, Inc.'s management.

     I conducted my review in accordance with standards
established by the American Institute of Certified Public
Accountants.  A review of the interim financial consists
principally of applying analytical procedures to financial data
and making inquiries of persons responsible for financial and
accounting matters.  It is substantially less in scope than an
audit conducted in accordance with generally accepted auditing
standards, the objective of which is the expression of an opinion
regarding the financial statements taken as a whole.
Accordingly, no such opinion is expressed.

     Based on my review, I am not aware of any material
modifications that should be made to the accompanying financial
statements for them to be in conformity with generally accepted
accounting principles established by the American Institute of
Certified Public Accountants.


David E. Coffey, C. P. A.
Las Vegas, Nevada
February 5, 2001
                                4
<PAGE>

                       GOURMET GIFTS, INC.
                  (A DEVELOPMENT STAGE COMPANY)
                         BALANCE SHEETS




                                                      December 31,  December 31,
                                                        2000         1999

ASSETS

Cash                                                   $    183  $  1,017
Accounts receivable-stockholders                              0        50
Prepaid expenses                                              0     1,000

     Total Assets                                      $    183  $  2,067

LIABILITIES & STOCKHOLDERS' EQUITY

Accounts payable                                          6,207  $      0
Notes payable to stockholder                              5,950         0
Interest payable                                            162         0

     Total Liabilities                                   12,319         0

Stockholders' Equity
          Common stock, authorized 25,000,000
          shares at $.001 par value, issued and
          outstanding 896,000 shares                        896       896
          Additional paid-in capital                     29,311    29,311
          Deficit accumulated during the
          development stage                             (42,343)  (28,140)

          Total Stockholders' Equity                    (12,136)    2,067

Total Liabilities and Stockholders' Equity             $    183 $   2,067


The accompanying notes are an integral part of these financial
statements.

                                5
<PAGE>

                       GOURMET GIFTS, INC.
                  (A DEVELOPMENT STAGE COMPANY)
              STATEMENTS OF OPERATIONS AND DEFICIT
            ACCUMULATED DURING THE DEVELOPMENT STAGE
            (With Cumulative Figures From Inception )

                                                   From Inception,
                   Three months ended December 31, Sept. 24, 1997 to
                           2000         1999       Dec. 31, 2000
Net sales                  $      0     $      0    $  6,015
Cost of goods sold                0            0       2,543

     Gross profit                 0            0       3,472

Expenses
     Outside services             0            0         200
     Consulting                   0            0      16,715
     Office expenses              0            0         147
     Professional services    9,157            0      19,549
     Bank charges                30           45         566
     Taxes and licenses           0           50         930
     Fees                       100            0         342
     Advertising                  0            0       1,799
     Spoilage                     0            0       3,293
     Loss on disposal of
       packaging supplies         0            0       1,942
     Rent                         0            0         170
     Interest                   111            0         162
Total expenses                9,398           95      45,815

Net loss                     (9,398)         (95)   $(42,343)

Retained earnings,
beginning of period         (32,945)     (28,045)

Deficit accumulated during
the development stage      $(42,343)   $ (28,140)

Earnings ( loss ) per share
  assuming dilution:
Net loss                   $  (0.01)   $    0.00    $  (0.06)

Weighted average shares
outstanding                 896,000      896,000     713,795


The accompanying notes are an integral part of these financial
statements.

                                6
<PAGE>

                       GOURMET GIFTS, INC.
                  (A DEVELOPMENT STAGE COMPANY)
          STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY
   FOR THE PERIOD FROM SEPTEMBER 24, 1997, (Date of Inception)
                      TO DECEMBER 31, 2000
<TABLE>
<CAPTION>

                                                                     Deficit
                                                         Additional accumulated during
                                          Common Stock     Paid-in  development
                                        Shares    Amount   Capital    stage            Total
<S>                                  <C>       <C>         <C>      <C>           <C>
Balance,
September 24, 1997                       ---   $     ---   $   ---  $     ---     $       ---

Issuance of common stock for cash
September, 1997                      250,000         250     4,750           0          5,000

Balance, September 30, 1997          250,000         250     4,750           0          5,000

Issuance of common stock for cash
September, 1998                      646,000         646    31,654           0         32,300

Less offering costs                        0           0    (6,215)          0         (6,215)

Less net loss                              0           0         0      (1,320)        (1,320)

Balance, September 30, 1998          896,000         896    30,189      (1,320)        29,765

Less offering costs                        0           0      (878)          0           (878)

Less net loss                              0           0         0     (26,725)       (26,725)

Balance, September 30, 1999          896,000         896    29,311     (28,045)         2,162

Less net loss                              0           0         0      (4,900)        (4,900)

Balance, September 30, 2000          896,000         896    29,311     (32,945)        (2,738)

Less net loss                              0           0         0      (9,398)        (9,398)

Balance, December 31, 2000           896,000         896    29,311     (42,343)       (12,136)
</TABLE>


The accompanying notes are an integral part of these financial
statements

                                7
<PAGE>

                      GOURMET GIFTS, INC.
                  (A DEVELOPMENT STAGE COMPANY)
                    STATEMENTS OF CASH FLOWS
             (With Cumulative Figures From Inception)


                                                               From Inception,
                               Three months ended December 31, Sept. 24, 1997,
                                         2000        1999      Dec. 31,   2000
CASH FLOWS PROVIDED BY
OPERATING ACTIVITIES
Net Loss                               $  (9,398) $     (95)  $  (42,343)
Non-cash items included in net loss            0          0            0
Adjustments to reconcile net loss to
  cash used by operating activity
     Prepaid expenses                          0     (1,000)           0
     Note payable to stockholder           2,950          0        5,950
     Interest payable to stockholder         111          0          162
     Accounts payable                      6,207          0        6,207

     NET CASH PROVIDED BY
     OPERATING ACTIVITIES                   (130)    (1,095)     (30,024)

CASH FLOWS USED BY
INVESTING ACTIVITIES                           0          0            0

     NET CASH USED BY
     INVESTING ACTIVITIES                      0          0            0

CASH FLOWS FROM FINANCING
ACTIVITIES
     Sale of common stock                      0          0          896
     Paid-in capital                           0          0       36,404
     Less offering costs                       0          0       (7,093)


     NET CASH PROVIDED BY
     FINANCING ACTIVITIES                      0          0       30,207

     NET INCREASE IN CASH                   (130)    (1,095)  $      183

CASH AT BEGINNING OF PERIOD                  313      2,112

     CASH AT END OF PERIOD             $     183   $  1,017


The accompanying notes are an integral part of these financial
statements.
                                8
<PAGE>
                       GOURMET GIFTS, INC.
                  (A DEVELOPMENT STAGE COMPANY)
                NOTES TO THE FINANCIAL STATEMENTS
            DECEMBER 31, 1999, AND DECEMBER 31, 1998


NOTE A    SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

          The Company was incorporated on September 24, 1997,
          under the laws of the State of Nevada.  The business
          purpose of the Company is the production and sale of
          gourmet gift items.  In August of 1999 the Company had
          ceased operations and liquidated its inventories.  The
          Company will resume operations if additional financing
          is obtained.

          The Company will adopt accounting policies and
          procedures based upon the nature of future
          transactions.

NOTE B    FISCAL YEAR

          In October of 1998 the Company adopted the period
          October 1 through September 30 as its fiscal year.

NOTE C    CHANGE OF INDEPENDENT ACCOUNTANTS

          Financial statements for the period ended September 30,
          1998, were audited by Albright, Persing & Associates,
          Ltd., of Reno, Nevada.  The Company named as its
          independent auditor David E. Coffey, CPA for the audit
          of September 30, 1999, financial statements.

NOTE D    OFFERING COSTS

          Offering costs are reported as a reduction in the
          amount of paid-in capital received for sale of the
          shares.

NOTE E    EARNINGS (LOSS) PER SHARE

          Basic EPS is determined using net income divided by the
          weighted average shares outstanding during the period.
          Diluted EPS is computed by dividing net income by the
          weighted average shares outstanding, assuming all
          dilutive potential common shares were issued.  Since
          the Company has no common shares that are potentially
          issuable, such as stock options, convertible securities
          or warrants, basic and diluted EPS are the same.

                                9
<PAGE>
                       GOURMET GIFTS, INC.
                  (A DEVELOPMENT STAGE COMPANY)
                NOTES TO THE FINANCIAL STATEMENTS
            DECEMBER 31, 1999, AND DECEMBER 31, 1998

(continued)

NOTE F    STOCK OFFERINGS

          In September of 1997, the Company completed the sale of
          250,000 shares of its common stock at $.02 per share
          for $5,000.  Then in September of 1998 the Company
          issued another 646,000 shares of its common stock at
          $.05 per share for a total of $32,300.  The proceeds
          were to be used for the production and sale of gourmet
          gift items.

NOTE G     RELATED PARTY TRANSACTIONS

          In September of 1997 the Company issued 250,000 shares
          of its common stock to officers at $.02 per share for a
          total of $5,000.

          In May of 1999 the Company paid one of its shareholders
          $4,500 for services performed to complete filing
          requirements of the Securities & Exchange Commission.

          Prior to ceasing operations in August of 1999 the
          Company had paid two of its officers $10,000 and
          $2,214, respectively, for consulting services performed
          during start-up of operations.

          In June of 1999 the Company sold the remainder of its
          packaging inventory to a shareholder for $500, which
          resulted in a loss of $1,942.

          In August of 1999, a shareholder advanced $3,000 to the
          Company, evidenced by a Note payable in two years plus
          12% annual interest, compounded.

          In December of 2000, a shareholder advanced $2,950 to
          the Company and took a Note payable in two years plus
          12% annual interest, compounded.

NOTE H    LIQUIDATION OF INVENTORY

          In June of 1999 the Company liquidated its inventory.
          Spoiled perishable items at a cost of $3,293 were
          discarded at a total loss.  Packaging supplies at a
          cost of $2,442 were sold to a shareholder for $500,
          which resulted in a loss of $1,942.  The Company will
          resume operations if additional financing is obtained.

NOTE I    SUSPENSION OF OPERATIONS

          On August 8, 1999, the Board of Directors resolved to
          suspend operations in the gift box business and to
          pursue other opportunities which may become available.

                               10
<PAGE>

            MANAGEMENT'S DISCUSSION AND ANALYSIS OF
            FINANCIAL CONDITION OR PLAN OF OPERATION

Forward-Looking Statement Notice

     When used in this report, the words "may," "will," "expect,"
"anticipate," "continue," "estimate," "project," "intend," and
similar expressions are intended to identify forward-looking
statements within the meaning of Section 27A of the Securities
Act of 1933 and Section 21E of the Securities Exchange Act of
1934 regarding events, conditions, and financial trends that may
affect the Company's future plans of operations, business
strategy, operating results, and financial position.  Persons
reviewing this report are cautioned that any forward-looking
statements are not guarantees of future performance and are
subject to risks and uncertainties and that actual results may
differ materially from those included within the forward-looking
statements as a result of various factors.

Three Months Ended December 31, 2000, and 1999

     The Company had no costs or revenues from operations for the
three-month periods that ended December 31, 2000 and 1999, which
is attributable to the Company ceasing all operations in the
retail catalogue business.  Since ceasing operations in August of
1999, the Company has remained inactive other than seeking to
acquire a business opportunity.

     The Company had expenses of $9,398 for the three months
ended December 31, 2000, compared to $95 for the three months
ended December 31, 1999.  This increase in expenses is
attributable to the costs associated in complying with the duties
of a publicly held and fully reporting company pursuant to
Section 13 of the Securities Exchange Act of 1934.

     As a result of the foregoing, the Company realized a net
loss of $9,398 for the three months ended December 31, 2000,
compared to a net loss of $95 for the three months ended December
31, 1999.  Again, this increase in net losses is attributable to
the costs associated with a fully reporting company with no
revenues.

Liquidity and Capital Resources

     At December 31, 2000, the Company had $183 in cash set off
by $6,207 in accounts payable, $5,950 in notes payable to
shareholders with $162 in interest payable giving the Company a
working capital deficit of approximately $12,136.  The notes
payable to shareholders are two-year notes issued August 10, 2000
and December 11, 2000 and accrue at a 12% annual interest,
compounded.

     The Company does not have sufficient cash to meet its
operational needs for the next twelve months.  Management will,
as it has in the past, attempt to raise additional capital for
its current operational needs through debt financing, equity
financing or a combination of financing options.  However, there
are no existing understandings, commitments or agreements for
such an infusion; nor can there be assurances to that effect.
Moreover, the Company's need for capital may change dramatically
if and during that period it acquires an interest in a business
opportunity.

     The Company's current operating plan is to (i) handle the
administrative and reporting requirements of a public company,
and (ii) search for potential businesses, products, technologies
and companies for acquisition.  At present, the Company has no
understandings, commitments or agreements with respect to the
acquisition of any business venture, and there can be no
assurance that the Company will identify a business venture
suitable for acquisition in the future.  Further, there can be no
assurance that the Company would be successful in consummating
any acquisition on favorable terms or that it will be able to
profitably manage any business venture it acquires.

                               11
<PAGE>
                   PART II.  OTHER INFORMATION

Related Party Transactions

     In December 2000, the Company received an advance of $2,950
from Stanley K. Stilwell in exchange for a note payable in two
years plus 12% annual interest, compounded.  Mr. Stilwell is the
beneficial owner of more than 5% of the Company's common stock.

EXHIBITS AND REPORTS ON FORM 8-K

     Copies of the following documents are included as exhibits
to this report pursuant to Item 601 of Regulation S-B.

Exhibits.

SEC Ref. No.   Title of Document                       Location

10.1          Promissory Note dated 12/11/2000         Attached

Reports on Form 8-K

     None

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.

                              GOURMET GIFTS, INC


Date: February 12, 2001       By: /s/ Johne Phelps
                                  President, Chief Executive
                                  Officer, and Director


Date: February 12, 2001       By: /s/ Lorrie Miller
                                  Secretary, Chief Financial
                                     Officer, and Director

                               12
<PAGE>