UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                              Washington, DC 20549

                                   FORM 10-QSB

  QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
               1934 FOR THE QUARTERLY PERIOD ENDED August 31, 2002


                         Commission File Number 0-26673
                                                -------

                            FORESTINDUSTRY.COM, INC.
             (Exact name of Registrant as specified in its charter)



            DELAWARE                                    98-0207081
            --------                                    ----------
(State of other jurisdiction of          (I.R.S. Employer Identification Number)
 incorporation or organization)

    3260 Norwell Drive, Suite 205                         V9T 1X5
      Nanaimo, British Columbia                           -------
      -------------------------                          (Zip Code)
(Address of Principal Executive Offices)

Registrant's telephone number including area code:     (250) 758-0665

Indicate by check mark whether the issuer (1) has filed all reports  required to
be filed by Section 13 or 15(d) of the  Securities  Exchange  Act of 1934 during
the 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
                             --------                      -------


     Common stock,  $.0001 par value,  1,621,058  issued and  outstanding  as of
August 31, 2002.

--------------------------------------------------------------------------------


<PAGE>


                                      INDEX



                                                                           PAGE

PART I - FINANCIAL INFORMATION

     ITEM 1.  Financial Statements (Unaudited) ...............................3

     ITEM 2.  Management's Discussion and Analysis ..........................23

     ITEM 3.  Controls and Procedures .......................................23

PART II - OTHER INFORMATION

     ITEM 1.  Legal Proceedings..............................................23

     ITEM 2.  Changes in Securities..........................................23

     ITEM 3.  Defaults upon Senior Securities................................23

     ITEM 4.  Submission of Matters to a Vote of Security Holders............23

     ITEM 5.  Other Information..............................................23

     ITEM 6.  Exhibits and Reports on Form 8-K...............................23



<PAGE>





                         PART I - FINANCIAL INFORMATION

Item 1.  Financial Statements


<PAGE>


                            FORESTINDUSTRY.COM, INC.

Condensed Consolidated Balance Sheet (unaudited)
     Three Months Ended August 31, 2002 and 2001 (Expressed in U.S. Dollars)
--------------------------------------------------------------------------------

ASSETS
                                                                 August 31, 2002
--------------------------------------------------------------------------------
Current:
    Cash and cash equivalents                                             $1,198
    Accounts receivable (Net allowance for doubtful
      accounts - $13,929)                                                 46,376
     Work in process                                                       1,154
     Prepaid expenses and deposits                                             -
--------------------------------------------------------------------------------
Total current assets                                                      48,728

Property and equipment  (Note 4)                                          26,143
--------------------------------------------------------------------------------
                                                                         $74,871


LIABILITIES AND STOCKHOLDERS' DEFICIT
--------------------------------------------------------------------------------
Current:
    Accounts payable and accrued liabilities                           $317,615
    Unearned revenues                                                    55,562
    Promissory Notes Payable (Note 5)                                    70,479
    Due to Shareholders (Note 6)                                        101,150
--------------------------------------------------------------------------------
Total current liabilities                                              $544,806

--------------------------------------------------------------------------------
Stockholders' deficit:
    Share capital (Note 7)
    Common stock - $0.0001 par value
        30,000,000 authorized; issued and outstanding: 1,621,058
        (May 31, 2002- 1,621,058)                                           162
    Preferred stock -$0.0001 par value
        5,000,000 authorized; issued and outstanding - Nil                    -
    Additional paid in capital                                        1,237,888
    Cumulative translation adjustment                                    15,423
    Deficit                                                          (1,723,408)
--------------------------------------------------------------------------------
Total stockholders' deficit                                            (469,935)
--------------------------------------------------------------------------------
                                                                        $74,871

================================================================================

Commitment (Note 9)
Subsequent Event (Note 10)


<PAGE>

                            FORESTINDUSTRY.COM, INC.

Consolidated Statement of Operations (unaudited)
     Three Months Ended August 31, 2002 and 2001 (Expressed in U.S. Dollars)
--------------------------------------------------------------------------------


                                                    2002                2001
--------------------------------------------------------------------------------
REVENUE
    Sales                                         $72,385              $92,868

--------------------------------------------------------------------------------
EXPENSES
    Depreciation                                    9,088               20,274
    Consulting fee                                 20,615               38,497
    General and administrative                     42,321               51,472
    Professional fees                               3,078               14,156
--------------------------------------------------------------------------------
                                                   75,102              124,399
--------------------------------------------------------------------------------
NET LOSS FOR THE PERIOD                             2,717               31,531

Deficit, beginning of period                    1,720,691            1,328,567
--------------------------------------------------------------------------------
DEFICIT, END OF PERIOD                         $1,723,408           $1,360,098

================================================================================

BASIC AND DILUTED LOSS PER SHARE                 ($ 0.002)              ($0.02)

--------------------------------------------------------------------------------
WEIGHTED AVERAGE NUMBER OF SHARES               1,598,318            1,521,058
================================================================================

<PAGE>



                            FORESTINDUSTRY.COM, INC.

Consolidated Statement of Cash Flows (unaudited)
     Three Months Ended August 31, 2002 and 2001 (Expressed in U.S. Dollars)
--------------------------------------------------------------------------------


                                                   2002                  2001
--------------------------------------------------------------------------------
OPERATING ACTIVITIES:
    Net loss for the period                      (2,717)               (31,531)
    Adjustments to reconcile net loss to
    net cash used in operating activities -
         Depreciation                             9,088                 24,962
         Shares issued for service rendered           -                      -
    Changes in operating assets and
    liabilities -
         Accounts receivable                      9,218                  7,573
         Work in Progress                             6                  1,220
         Prepaid expenses and deposits             (159)                  (159)
         Due from related parties                     -                      -
         Accounts payable and accrued
           liabilities                           (9,737)               (38,721)
         Unearned revenues                       (4,981)               (11,773)

--------------------------------------------------------------------------------
Cash flows (used in) operating activities           718                (48,429)

--------------------------------------------------------------------------------
INVESTING ACTIVITY:
    Sale (Acquisition) of capital assets              -                  4,520

--------------------------------------------------------------------------------
FINANCING ACTIVITIES:
    Promissory notes                                  -                 61,622
    Net proceeds from issuance of preferred stock     -                      -

--------------------------------------------------------------------------------
Cash flows provided by financing activities           -                 61,622

--------------------------------------------------------------------------------
Net decrease in cash and cash equivalents           718                 17,713

Cash and cash equivalents, beginning of period      480                 27,551

--------------------------------------------------------------------------------
Cash and cash equivalents, end of period          1,198                 45,264
================================================================================

<PAGE>


                            FORESTINDUSTRY.COM, INC.

Notes to the Consolidated Financial Statements
         Three Months Ended August 31, 2002 (Expressed in U.S. Dollars)
--------------------------------------------------------------------------------
NOTE 1 - NATURE AND CONTINUANCE OF OPERATIONS
forestindustry.com,  Inc. (the "Company") was incorporated in Delaware,  U.S.A.,
on December 18, 1997 under the name of Autoeye  Inc. On February  25, 2000,  the
Company changed its name to forestindustry.com, Inc. Prior to its acquisition of
The Forest  Industry  Online  Inc.  ("Forest")  (note  2(a)),  the  Company  was
inactive.

The  Company's  current  business  activities  include  designing  web sites and
operating and maintaining a computer internet web site for companies  associated
with the forest and wood product industries.

These  consolidated  financial  statements have been prepared on a going concern
basis in accordance with accounting  principles generally accepted in the United
States.  The going  concern  basis of  presentation  assumes  the  Company  will
continue in operation for the foreseeable future and will be able to realize its
assets and discharge its  liabilities  and  commitments  in the normal course of
business.  Certain  conditions,  discussed  below,  currently  exist which raise
substantial doubt upon the validity of this assumption. The financial statements
do not  include  any  adjustments  that might  result  from the  outcome of this
uncertainty.

To August 31,  2002,  the Company has not been  profitable  and has  experienced
negative cash flows from operations; the Company incurred a loss of $392,124 for
the year ending May 31, 2002 and has a working capital deficiency of $515,454 at
May 31, 2002.  Operations have been financed  through the issuance of stocks and
other external  financing.  The Company's  future  operations are dependent upon
continued  external  funding  and its ability to  increase  revenues  and reduce
expenses. There are no assurances that the above conditions will occur.

The  financial   information  furnished  herein  has  not  been  audited  by  an
independent accountant;  however, in the opinion of management,  all adjustments
(only consisting of normal recurring accruals) necessary for a fair presentation
of the results of  operations  for the three  months  ended August 31, 2002 have
been included.

NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

a)       Reverse Takeover and Basis of Presentation
On January 31,  2000,  the Company  acquired  all of the issued and  outstanding
shares of Forest by issuing to Forest's stockholders  1,000,000 shares of common
stock and control of the Company.  The acquisition  was a reverse  takeover with
Forest being the deemed accounting  acquiror for financial  statement  purposes.
The  acquisition  has been  accounted for as a capital  transaction  effectively
representing   an   issue   of  stock  by   Forest   for  the  net   assets   of
forestindustry.com,  Inc.

The Company's  historical  financial  statements reflect the financial position,
results  of  operations   and  cash  flows  of  Forest  from  the  date  of  its
incorporation  on January  09,  1997 under the laws of the  Province  of British
Columbia, Canada. The historical stockholders' equity gives effect to the shares
issued  to  the   stockholders   of  Forest.   The  results  of   operations  of
forestindustry.com, Inc. are included only from the date of acquisition, January
31, 2000.

b) Basis of  Consolidation
These consolidated  financial statements include the accounts of the Company and
its  wholly-owned  subsidiary,  The Forest  Industry Online Inc. All significant
intercompany  balances and transactions have been eliminated in the consolidated
financial statements.


<PAGE>



                            FORESTINDUSTRY.COM, INC.

Notes to the Consolidated Financial Statements
         Three Months Ended August 31, 2002 (Expressed in U.S. Dollars)
--------------------------------------------------------------------------------
NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

c)       Work in Process
Work  in  process  is  recorded  at  the  lower  of  cost,  determined  using  a
percentage-of-completion  method based on the contract price, and net realizable
value.

d) Property and  Equipment and  Depreciation
Property  and  equipment  are  recorded  at cost and are  depreciated  using the
straight-line method over their estimated useful lives ranging from three to ten
years,  or their lease terms.  Prior to the fiscal year ended May 31, 2002,  the
Company amortized  property and equipment over five to ten years, or their lease
terms.

e) Cash Equivalents
The  Company  considers  all  short-term  investments  with a  maturity  date at
purchase of three months or less to be cash equivalents.

f) Revenue Recognition nd Unearned  Revenues
Revenues on  advertising  fees and hosting  revenues  are recorded on the billed
basis.  Customers are invoiced on a quarterly  basis in advance for  advertising
and hosting spaces.  Unearned  revenues relate to the period of the billing that
has not yet  transpired  and  therefore not earned.  Revenues on fixed  contract
website  designs  are  recognized  on  the  percentage-of-completion  method  of
accounting.

g) Use of Estimates
The preparation of financial  statements in conformity  with generally  accepted
accounting principles requires management to make estimates and assumptions that
affect the reported  amounts of assets and  liabilities  and the  disclosure  of
contingent  assets and  liabilities at the date of the financial  statements and
the  reported  amounts of revenues  and expenses  during the  reporting  period.
Actual  results could differ from those  estimates.

h) Net Earnings  (Loss) Per Share
Basic earnings (loss) per share is computed using the weighted average number of
common stock outstanding during the periods.  Diluted loss per share is computed
using the weighted  average  number of common and  potentially  dilutive  common
stock  outstanding  during the period.  As the Company has losses in the periods
presented,  basic  and  diluted  loss per share  are the  same.

i)  Stock-Based Compensation
The Company accounts for its stock-based  compensation  arrangement to employees
of the Company in accordance  with  provisions of  Accounting  Principles  Board
(APB) Opinion No. 25,  "Accounting  for Stock Issued to Employees",  and related
interpretations.  As such,  compensation  expense  under  fixed  plans  would be
recorded on the date of grant only if the fair value of the underlying  stock at
the date of grant exceeded the exercise price. Statement of Financial Accounting
Standards (SFAS) No. 123,  "Accounting for Stock Based  Compensation",  requires
entities  that  continue  to apply  the  provision  of APB  Opinion  No.  25 for
transactions  with  employees  to  provide  pro forma net  income  and pro forma
earnings per share disclosures for employee stock option grants made in 1995 and

<PAGE>



                            FORESTINDUSTRY.COM, INC.

Notes to the Consolidated Financial Statements
         Three Months Ended August 31, 2002 (Expressed in U.S. Dollars)
--------------------------------------------------------------------------------
Note 2 - SUMMARY OF SIGNIFICANT ACCounting Policies (continued)

future years as if the fair-value-based  method defined in SFAS No. 123 had been
applied to these transactions.

The Company  recognizes  compensation  expense in accordance  with provisions of
SFAS No. 123 for stock options, common stock and other equity instruments issued
to non-employees for services received based upon the fair value of the services
or equity  instruments  issued,  whichever  is more  reliably  determined.  This
information is presented in note 7(c).

j) Income Taxes
The Company  follows the asset and  liability  method of  accounting  for income
taxes. Under this method,  current taxes are recognized for the estimated income
taxes payable for the current  period.

Deferred income taxes are provided based on the estimated  future tax effects of
temporary differences between financial statement carrying amounts of assets and
liabilities and their  respective tax bases as well as the benefit of losses and
tax credits  available to be carried  forward to future years for tax  purposes.

Deferred tax assets and  liabilities  are measured  using enacted tax rates that
are  expected to apply to taxable  income in the years in which those  temporary
differences are expected to be recovered or settled.  The effect on deferred tax
assets and  liabilities  of a change in tax rates is recognized in operations in
the period that includes the substantive  enactment date. A valuation  allowance
is recorded  for  deferred  tax assets when it is more likely than not that such
deferred tax assets will not be realized.

k) Foreign  Currency  Translation
The  functional  currency of the Company is the United States dollar and for its
Canadian subsidiary the Canadian dollar.  Transactions in foreign currencies are
translated  to United States  dollars at the rates in effect on the  transaction
date.  Exchange  gains or losses arising on translation or settlement of foreign
currency denominated  monetary items are included in the consolidated  statement
of  operations.

The balance  sheets of the  Company's  Canadian  subsidiary  are  translated  at
year-end exchange rates for monetary items and historical  transaction  exchange
rates for non-monetary items, and the statements of operations are translated at
the weighted  average  exchange rate for the period.  Gains or losses  resulting
from translating foreign currency financial statements are reported as a foreign
currency translation adjustment in the consolidated statements of operations and
comprehensive loss and stockholders'  equity.

l) Impairment of Long-Lived Assets
The Company evaluates  long-lived assets for possible impairment whenever events
or changes in circumstances indicate that the carrying amount of such assets may
not be recoverable.  This evaluation is based on a number of factors,  including
expectations for operating  income and undiscounted  cash flows that will result
from the use of such assets. If the Company believes an impairment  exists,  the
carrying  amount of these assets is reduced to fair value as defined in SFAS No.
144, "Accounting for the Impairment or Disposal of Long-Lived Assets".


<PAGE>


                            FORESTINDUSTRY.COM, INC.

Notes to the Consolidated Financial Statements
         Three Months Ended August 31, 2002 (Expressed in U.S. Dollars)
--------------------------------------------------------------------------------
Note 2 - SUMMARY OF SIGNIFICANT ACCounting Policies (continued)
m)       Recent Accounting Pronouncements
In June 2001, the Financial  Accounting Standards Board ("FASB") issued SFAS No.
141, "Business Combinations", which replaces Accounting Principles Board ("APB")
Opinion No. 16, SFAS No. 142,  "Goodwill  and Other  Intangible  Assets",  which
replaces  APB  Opinion  No.  17 and  amends  SFAS No.  121,  and  SFAS No.  143,
"Accounting for Asset Retirement Obligations".

Under the provisions of SFAS No. 141, all business combinations  initiated after
June 30, 2001 must be accounted for by the purchase  method of  accounting.  The
use of the pooling-of-interest method of accounting for business combinations is
prohibited  after that date.  The Company  does not expect that the  adoption of
SFAS No. 141 will have a significant immediate impact on the financial condition
or  results  of  operations  as the  Company  has no  current  planned  business
combinations.

Under  the  provisions  of SFAS No.  142,  amortization  of  goodwill  and other
intangible assets that have an indeterminate life is discontinued;  however,  an
impairment  analysis must be performed for these intangible assets annually with
any related losses  charged to earnings when incurred.  SFAS No. 142 is required
to be applied to fiscal years  beginning  after  December 15, 2001.  The Company
does not expect that the adoption of SFAS No. 142 will have a significant impact
of its  financial  condition  or  results of  operation  as the  Company  has no
goodwill or other intangible  assets with indefinite lives at May 31, 2002.

SFAS  No.  143  establishes  the  accounting  and  reporting   requirements  for
obligations associated with the retirement of tangible long-lived assets and the
associated asset retirement costs. Specifically, it 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.
Additionally,  it requires certain disclosures  including  descriptions of asset
retirement obligations and reconciliations of changes in the components of those
obligations.  SFAS No. 143 is required to be applied to fiscal  years  beginning
after June 15,  2002.  The Company does not expect that the adoption of SFAS No.
143 will have a  significant  immediate  impact on the  financial  condition  or
results  of  operations  as the  Company  has no plan  to  retire  any  tangible
long-lived assets.

In August 2001,  FASB issued SFAS No. 144,  "Accounting  for the  Impairment  or
Disposal of Long-Lived Assets".  This statement  addresses financial  accounting
and reporting for the impairment or disposal of long-lived assets by superceding
SFAS  No.  121 and APB  Opinion  No.  30.  SFAS  No.  144  establishes  a single
accounting  model  for  measuring  the  impairment  of  long-lived  assets to be
disposed of by sale and expands the scope of asset  disposals  that are reported
as   discontinued   operations.   This  statement   also  resolves   significant
implementation  issues related to SFAS No. 121 regarding the measurement and the
reporting of impairment losses associated with long-lived  assets.  SFAS No. 144
is required to be applied to fiscal years beginning after December 15, 2001. The
Company does not expect that the adoption of this statement will have a material
impact on its financial position,  results of operations or cash flows.

In April 2002, the FASB issued SFAS No. 145,  "Rescission of FASB Statements No.
4, 44 and 64,  Amendment of FASB  Statement No. 13, and Technical  Corrections".
Under  the  provisions  of SFAS  No.  145,  gains  and  losses  from  the  early
extinguishment of debt are no longer classified as an extraordinary item, net of
income taxes,  but are included in the  determination  of pretax  earnings.  The
effective  date for SFAS No. 145 is for  fiscal  years  beginning  after May 15,
2002, with early  application  encouraged.  Upon adoption,  all gains and losses
from the  extinguishment  of debt previously  reported as an extraordinary  item
shall be reclassified to pretax earnings.


<PAGE>


                            FORESTINDUSTRY.COM, INC.

Notes to the Consolidated Financial Statements
         Three Months Ended August 31, 2002 (Expressed in U.S. Dollars)
--------------------------------------------------------------------------------
Note 3 - Acquisition
On January 31,  2000,  the Company  acquired  all of the issued and  outstanding
shares of Forest.  The acquisition was a reverse  takeover with Forest being the
deemed accounting acquiror for financial statement purposes.

Under the terms of the agreement, the Company issued 1,000,000 common shares for
all of the 100 common issued and outstanding shares of Forest. As at January 31,
2000,  there were 492,698 common shares of the Company (after  reflecting a 21:1
stock  consolidation  which  occurred on August 20, 1999 and a subsequent  stock
split of 1:40 which occurred on August 21, 1999.  These stock  adjustments  have
been retroactively adjusted and presented as of May 31, 2000 in the Consolidated
Statements of  Stockholders'  Equity).  The  acquisition  was accounted for as a
recapitalization  of Forest.  The  transaction  was  accounted  for as a capital
transaction  effectively  representing  an issue of shares by Forest for the net
assets of the  Company.  On  January  31,  2000 the net  assets  of the  Company
consisted of:

         Cash and Equivalents                              $ 750,000
         Accounts Payable                                    (19,530)
                                                           ----------

                                                           $ 730,470
                                                           ----------
Total costs related to this  recapitalization  transaction  were  $24,375.  They
included cash expense in the estimated amount of $15,000 and non-cash expense in
the amount of $9,375.  The  non-cash  expense  related to the  issuance of 3,750
shares of common  stock of the  Company.  The fair value of these  services  was
based upon the  estimated  fair  value of the  shares at $2.50 per share.  Total
transaction costs were recorded as a charge to the  stockholders'  equity of the
Company.

Cash and equivalents held by the Company in the amount of $750,000 were obtained
through  subscriptions  for a private  placement  of 750  shares  of Series  "A"
convertible  preferred stock at a price of $1,000 per share. The closing of this
private  placement  and the release of funds held in escrow were  contingent  on
this acquisition being completed.  The shares of Series "A" preferred stock were
convertible,  at the option of the holder, and at any time after March 16, 2000,
into common  stock at 75% of the last ten day  average  closing bid price of the
Company  subject to a maximum  conversion rate of 500 shares of common stock for
one  share of  preferred  stock and a  minimum  conversion  rate of 25 shares of
common stock for one share of preferred stock.  24,922 and 109,412 shares of the
Company's  common  stock were  issued in,  respectively,  2000 and 2001,  on the
conversion in each year of 375 shares of Series "A" convertible preferred stock.

NOTE 4 - PROPERTY AND EQUIPMENT
<TABLE>
<CAPTION>
<S>                                          <C>                  <C>              <C>                   <C>

                                                              Accumulated                   Net Book Value
                                                  Cost       Depreciation      August 31, 2002      August 31, 2001
                                                    $             $                    $                   $
                                    -------------------- ----------------- --------------------- --------------------

Computer Equipment                             120,851            104,164               16,687               62,978
Furniture and Fixtures                          29,863             20,407                9,456               16,575
Software                                        20,242             20,242                    -                1,724
Leasehold Improvements                           6,705              6,705                    -                3,750
                                    -------------------- ----------------- --------------------- --------------------

                                               177,661            151,518               26,143               85,027
                                    -------------------- ----------------- --------------------- --------------------
</TABLE>


<PAGE>


                            FORESTINDUSTRY.COM, INC

Notes to the Consolidated Financial Statements
         Three Months Ended August 31, 2002 (Expressed in U.S. Dollars)
--------------------------------------------------------------------------------
NOTE 5 - PROMISSORY NOTES PAYABLE

The promissory  notes payable were issued for funds loaned to the Company.  They
bear  interest  ranging from ten to twenty  percent per annum,  are secured by a
general  security  agreement over all assets of the Company and its  subsidiary,
and were all due on December 31, 2001.  (Payable to a shareholder of the Company
is a promissory note in the amount of $22,184.)

As at the independent  auditors' report date, the promissory notes have not been
repaid by the Company.

NOTE 6 - DUE TO SHAREHOLDERS

Amounts  due to  shareholders  are for  services  provided to the  Company,  are
payable on demand, and are unsecured.

Note 7 - Stockholders' Equity

a)  Preferred Stock

On January 31, 2000, the Company  issued through a private  placement 750 shares
of  Series  "A"  convertible  preferred  stock at a price of $1,000  per  share.
Holders of Series "A" preferred stocks were entitled to a distribution of $1,000
per share  prior to any  distribution  to the  holders of the  Company's  common
stocks in the event of any liquidation or dissolution of the Company.

The Series "A"  preferred  stock was  convertible,  at the option of the holder,
into common  stock at 75% of the last ten day  average  closing bid price of the
Company  subject to a maximum  conversion rate of 500 shares of common stock for
one  share of  preferred  stock and a  minimum  conversion  rate of 25 shares of
common  stock for one share of  preferred  stock.  In  addition,  all series "A"
preferred stock was deemed to convert into common stock on or before January 31,
2002, the first anniversary date.

On May 10, 2000,  the Company  issued  24,922  shares of its common stock on the
conversion of 375 shares of Series "A" convertible preferred stock.

On June 12, 2000, and January 31, 2001, the Company issued, respectively, 21,714
and 87,698 shares of its common stock on the conversion of 175 and 200 shares of
Series "A" convertible preferred stock.

On August 01, 2000, the Company issued through a private placement 200 shares of
Series "B" convertible  preferred stock at a price of $1,000 per share.  Holders
of Series "B"  preferred  stocks were entitled to a  distribution  of $1,000 per
share prior to any distribution to the holders of the Company's common stocks in
the event of any liquidation or dissolution of the Company.

The Series "B"  preferred  stock was  convertible,  at the option of the holder,
into common  stock at 70% of the last five day average  closing bid price of the
Company  subject to a maximum  conversion rate of 500 shares of common stock for
one  share of  preferred  stock and a  minimum  conversion  rate of 25 shares of
common stock for one share of preferred stock.

On March 13, 2001,  the Company issued 100,000 shares of its common stock on the
conversion of the 200 shares of Series "B" convertible preferred stock.


<PAGE>


                            FORESTINDUSTRY.COM, INC.

Notes to the Consolidated Financial Statements
         Three Months Ended August 31, 2002 (Expressed in U.S. Dollars)
--------------------------------------------------------------------------------
Note 7 - Stockholders' Equity (continued)

b)  Stock Options

In February  2000,  the Company  adopted a fixed stock option plan that provides
for the  issuance of  incentive  and  non-qualified  stock  options to officers,
directors,  employees  and  non-employees  to acquire up to 25,000 shares of the
Company's  common  stock.  The plan was  amended  in June 2000 to  increase  the
allowable number of stock options to be issued under this plan to 50,000 shares.
The Board of Directors  determines the terms of the options  granted,  including
the number of options granted, the exercise price and the vesting schedule.  The
exercise price for qualified  incentive stock options is not to be less than the
fair  market  value of the  underlying  stock at the date of grant,  and to have
terms no longer than ten years from the date of grant. There was no stock option
plan prior to February 2000.

Issued to Employees

On February 29, 2000, the Company  granted  options to purchase a total of 2,900
shares of the Company's  common stock at a price of $4.00 per share to employees
of the  Company.  The  options  vest on  February  29,  2001 and expire  between
February  and  April  2005.  During  years  2002 and 2001,  700 and 1,200  stock
options, respectively, were forfeited as employees left the Company.

On June 11,  2000,  the  Company  granted  options to  purchase a total of 5,400
shares of the Company's  common stock at a price of $2.00 per share to employees
of the  Company.  The options vest on June 11, 2001 and expire on June 11, 2005.
During  years 2002 and 2001,  650 and 4,200 stock  options,  respectively,  were
forfeited as employees left the Company.

On December 18, 2000, the Company  granted  options to purchase a total of 4,500
shares of the Company's  common stock at a price of $0.60 per share to employees
of the Company.  The options vest on January 31, 2001 and expire on December 15,
2005.  During years 2002 and 2001,  2,500 and 500 stock  options,  respectively,
were forfeited as employees left the Company.

As  discussed  in Note 2(i),  the Company  continues to account for its employee
stock-based  awards using the intrinsic  value method in accordance with APB No.
25, "Accounting for Stock Issued to Employees", and its related interpretations.
Accordingly,  no  compensation  expense  has been  recognized  in the  financial
statements  for employee  stock  arrangements,  because the fair value of common
stock at the measurement date is not greater than the option exercise price.

Pro forma information regarding net income and earnings per share is required by
SFAS No. 123, and has been  determined  as if the Company had  accounted for its
employee stock options under the fair value method of that  statement.  The fair
value for these options was estimated at the date of grant using a Black-Scholes
option pricing model with the following weighted-average assumptions:  risk-free
interest rate of 6.0%;  dividend yield of 0%; volatility factors of the expected
market price of the Company's stock of 607%; and an expected life of the options
of 2.5 years.  Accordingly,  compensation  expense  using the fair value  method
would have been $1,057, amortized over their respective vesting periods.


<PAGE>


                            FORESETINDUSTRY.COM, INC.

Notes to the Consolidated Financial Statements
         Three Months Ended August 31, 2002 (Expressed in U.S. Dollars)
--------------------------------------------------------------------------------
Note 7 - Stockholders' Equity (continued)

b)  Stock Options (continued)

Issued to Employees (continued)

The Black-Scholes option valuation model was developed for use in estimating the
fair value of traded  options which have no vesting  restrictions  and are fully
transferable.  In addition,  option valuation models require the input of highly
subjective  assumptions  including the expected stock price volatility.  Because
the  Company's  employee  stock  options  have   characteristics   significantly
different from those of traded  options,  and because  changes in the subjective
input assumptions can materially affect the fair value estimate, in management's
opinion,  the  existing  models do not  necessarily  provide a  reliable  single
measure of the fair value of its employee stock options.

The Statement's pro forma information from the options is as follows:
<TABLE>
<CAPTION>
<S>                                                                               <C>                        <C>

                                                                                  Three Months          Three Months
                                                                                      Ended                 Ended
                                                                                August 31, 2002       August 31, 2001
                                                                                        $                     $

Net (loss) as reported                                                                  (2,717)              (31,531)
Compensation expense from stock options under
    SFAS No. 123                                                                        (1,057)               (3,161)
                                                                        -------------------------- ---------------------

Pro forma net (loss)                                                                    (3,774)              (34,692)
                                                                        -------------------------- ---------------------

Pro forma (loss) per common share,
    Basic and Diluted                                                                   (0.002)                (0.02)
                                                                        -------------------------- ---------------------
</TABLE>

Issued to Non-Employees

On May 26, 2000, the Company granted options to purchase a total of 4,000 shares
of the Company's  common stock at a price of $2.00 per share to non-employees of
the Company.  The options vest on May 01, 2001 and expire on May 01, 2005. Stock
options  issued  to  non-employees  are  accounted  for in  accordance  with the
provisions of SFAS No. 123, "Accounting for Stock Based Compensation", using the
fair value method.  Accordingly,  compensation  expense  relating to these stock
options in the amount of $17,253 was  recorded  in year 2000 as  deferred  stock
compensation to be amortized over their respective vesting period.

During year 2001,  $17,253 was charged as compensation  expense in the statement
of operations.


<PAGE>


                            FORESTINDUSTRY.COM, INC.

Notes to the Consolidated Financial Statements
         Three Months Ended August 31, 2002 (Expressed in U.S. Dollars)
--------------------------------------------------------------------------------
Note 7 - Stockholders' Equity (continued)

b)  Stock Options (continued)

Additional Stock Option Plan Information

     A summary  status of the  Company's  fixed  stock  option  plan and changes
     during the period ended August 31, 2002 are as follows:
<TABLE>
<CAPTION>
<S>                                                                                  <C>                   <C>

                                                                                     Number of       Weighted Average
                                                                                        Shares         Exercise Price
                                                                                                                    $
Outstanding, June 01, 2000                                                               6,900                   2.84
    Granted                                                                              9,900                   1.36
    Forfeited                                                                          (5,900)                   2.29
                                                                          ---------------------- --------------------

Outstanding, May 31, 2001                                                               10,900                   1.80
  Granted                                                                                    -                      -
  Forfeited                                                                            (3,850)                   1.45
                                                                          ---------------------- --------------------

Outstanding, May 31, 2002                                                                7,050                   1.99

                                                                          ---------------------- --------------------

Options exercisable at end of August 31, 2002                                            7,050                   1.99
                                                                          ---------------------- --------------------
</TABLE>

The following  table  summarizes  information  about the  Company's  fixed stock
options outstanding at August 31, 2002:
<TABLE>
<CAPTION>
<S>                                                           <C>                  <C>                    <C>

                                                                                                          Options
                                                                                     Outstanding
                                                                 Number       Weighted Average       Weighted Average
Range of                                                 Outstanding at              Remaining               Exercise
Exercise Prices                                         August 31, 2002       Contractual Life                  Price
$                                                                                   (in years)                      $

4.00 - 4.00                                                       1,000                      3                   4.00
2.00 - 2.00                                                       4,550                      3                   2.00
0.60 - 0.60                                                       1,500                      3                   0.60
                                                     -------------------- ---------------------- --------------------

                                                                  7,050                      3                   1.99
                                                     -------------------- ---------------------- --------------------
</TABLE>

The options  outstanding  at August 31, 2002 will expire  between  February  and
December 2005.


<PAGE>


                            FORESTINDUSTRY.COM, INC.

Notes to the Consolidated Financial Statements
         Three Months Ended August 31, 2002 (Expressed in U.S. Dollars)
--------------------------------------------------------------------------------
Note 7 - Stockholders' Equity (continued)
c)       Stock-Based Compensation
In June 2000, the Company  recorded  non-cash  compensation  expense of $160,000
relating to the issuance of 20,000  shares of common stock for  advertising  and
marketing  services.  The fair value of the shares  was  estimated  at $8.00 per
share at the time of the transaction.

As  discussed  in Note 2(i),  the Company  recognizes  compensation  expense for
equity  instruments issued to non-employees for services received based upon the
fair value of the  services  or equity  instruments  issued,  whichever  is more
reliably determined.

In August  2001,  the Company  issued  100,000  shares of common stock at a fair
value of $54,464 as partial settlement of an account payable.

d)  Retirement of Common Stock
By way of a stock  retirement  agreement  dated  May 11,  2000 and for a nominal
amount of $1.00, a former principal  shareholder of the Company returned 259,724
shares of common stock to the Company for cancellation.  The shareholder  agreed
that in order for the Company to attract  future  financing,  the Company should
reduce its issued and outstanding  share capital of its common stock through the
surrender and retirement of these shares.

In January  2001,  a consultant  returned  5,000 shares of common stock upon his
resignation  from the  Company.  The  Company  recorded a non-cash  compensation
recovery of $12,500 being the value of the shares at the time they were issued.

e)  Stock Purchase Warrants
In July 2001, in order to attract new  investors,  the Company and the Company's
largest  shareholder,  Teaco  Properties  Ltd.  ("Teaco"),  entered into a stock
purchase  agreement  with Messrs.  Sean Curran and Joe Nemeth whereby Teaco sold
900,000  shares of the Company's  common stock which it owned to Messrs.  Curran
and Nemeth for a nominal  amount of $10. Prior to the  transaction,  Teaco owned
1,000,000 shares (65.7%) of the common stock of the Company.  In connection with
the stock purchase agreement, Messrs. Curran and Nemeth were appointed Directors
of the Company.

As part of the  agreement,  the  Company  granted to each of the two  beneficial
owners of Teaco,  110,000 stock  purchase  warrants.  Each warrant  entitles the
holder to purchase one share of common stock of the Company at an exercise price
based on the last  twenty-day  average  market price,  but in no case to be less
than $0.20 per share. The warrants expire on July 06, 2003.

f)  Stock and Stock Option Split
The Company  consolidated its share capital on June 01, 2001 by way of a reverse
stock split on the basis of one new common stock for each ten old common stocks.
All share and per share information have been adjusted for all periods presented
to reflect the reverse stock split.

The Company also consolidated its existing stock option plan on June 01, 2001 by
way of a reverse  stock  option  split on the basis of one new stock  option for
each ten old stock options.  All stock option information have been adjusted for
all periods  presented to reflect the reverse stock option  split.  The exercise
price was not changed with the stock option consolidation.


<PAGE>


                            FORESTINDUSTRY.COM, INC.

Notes to the Consolidated Financial Statements
         Three Months Ended August 31, 2002 (Expressed in U.S. Dollars)
--------------------------------------------------------------------------------
Note 8 - INCOME TAXES
<TABLE>
<CAPTION>
<S>                                                                                       <C>               <C>

Deferred tax assets and liabilities
                                                                                     May 31, 2002       May 31, 2001
                                                                                                $                  $

Deferred tax assets:
    Operating losses carryforward                                                         635,489            475,000
  Book depreciation in excess of tax depreciation                                          28,486             19,000
                                                                                ------------------ ------------------

Total deferred tax assets before valuation allowance                                      663,975            494,000
Valuation allowance                                                                     (663,975)          (494,000)
                                                                                ------------------ ------------------

Net deferred tax assets                                                                         -                  -
                                                                                ------------------ ------------------
</TABLE>

Management  believes  that it is more  likely  than not that it will not  create
sufficient  taxable income to realize its deferred tax assets.  It is reasonably
possible  these  estimates  could change due to future income and the timing and
manner of the reversal of deferred tax liabilities.

The Company has no income tax expense due to its operating losses.

The Company has Canadian  operating losses  carryforward for Canadian income tax
purposes at May 31, 2002 of  approximately  $1,095,000 (CDN  $1,685,000).  These
operating losses begin to expire in fiscal year 2004.

Note 9 - Commitment

The Company has entered into an agreement to lease an internet telecommunication
line to December 31, 2002. The monthly lease payment is $959.

NOTE 10 - SUBSEQUENT EVENT

The Company  closed its public  offering of up to 3 million shares of its common
stock at $.10 per share on September 30, 2002. The Company sold 1,650,000 shares
for an aggregate of $165,000 in proceeds to the Company.  The proceeds were used
to pay off existing debt.


<PAGE>


                            FORESTINDUSTRY.COM, INC.

Notes to the Consolidated Financial Statements
         Three Months Ended August 31, 2002 (Expressed in U.S. Dollars)
--------------------------------------------------------------------------------
Note 11 - RELATED PARTY TRANSACTIONS
<TABLE>
<CAPTION>
<S>                                                                                <C>                       <C>
                                                                             Three Months Ended                 Year
                                                                                August 31, 2002                Ended
                                                                                                        May 31, 2002
                                                                                              $                    $

Management  fees  charged  by  the  President  of the  Company  for
management, administration and supervision services                                      11,833               29,307

Management  fees  charged  by  the  Directors  of the  Company  for
management, administration and supervision services                                           -               61,219

Interest  accrued and payable to  shareholders  for funds loaned to
the Company                                                                                   -                1,594

Monies  owed to the  President  and  Directors  of the  Company for
management fees and expense reimbursements                                               90,782               90,782
</TABLE>

Note 12 - Financial Instruments

Financial  instruments  include  cash  and  equivalents,   accounts  receivable,
accounts payable and accrued  liabilities,  promissory notes payable and amounts
due to  shareholders.  The estimated  fair value of such  financial  instruments
approximates their carrying value.



<PAGE>



Item 2.       Management's Discussion and Analysis

This discussion, other than the historical financial information, may consist of
forward-looking   statements  that  involve  risks  and   uncertainties.   These
forward-looking  statements  speak only as of the date  hereof and should not be
given  undue  reliance.   Actual  results  may  vary  significantly  from  those
projected.

The Company was formed on December 18, 1997 under the name Autoeye, Inc. Autoeye
Inc., was formed to acquire Autoeye Inc., an Alberta corporation, that developed
and proposed to manufacture its existing design for a multi-vehicle surveillance
system to monitor large vehicle lots such as car dealerships, fleets and storage
lots.  The proposed  acquisition  of Autoeye Inc., an Alberta  corporation,  was
terminated  in February  1998.  Thereafter  Autoeye's  business  was to evaluate
businesses for possible  acquisition.  On January 31, 2000, the Company acquired
100%  of The  Forest  Industry  Online,  Inc.  Following  the  transaction,  the
shareholders of The Forest Industry  Online,  Inc. owned a majority of Autoeye's
outstanding  shares  of  common  stock.  Accordingly,  for  financial  reporting
purposes the  transaction  was accounted for as a reverse  acquisition  with The
Forest Industry Online, Inc. considered the accounting acquirer. (See Notes 2(a)
and 3 to the May 31,  2000  consolidated  financial  statements).  As such,  The
Forest Industry Online,  Inc.'s historical financial statements are now reported
as the Company's financial statements. On February 25, 2000, the Company changed
its name from Autoeye, Inc. to forestindustry.com, Inc. Prior to the acquisition
of The Forest Industry  Online,  Inc., the Company had not generated any revenue
and had not commenced any operations other than initial corporate  formation and
capitalization.

On May 29, 2001, the Company held an annual meeting of stockholders at which the
stockholders  approved an  amendment to the  Company's  Amended  Certificate  of
Incorporation  to effect a ten-for-one  share  consolidation  effective  June 1,
2001.

During July 2001, the Company's then largest  shareholder sold their shares to a
new group of investors. The new investors consisted of Messrs. Curran and Nemeth
who became  directors  and began to hire new personnel in an attempt to increase
revenues.  During the latter part of calendar year 2001, it was determined  that
we would be unable to profitably operate  forestindustry.com as a public company
unless our liabilities were reduced.  The costs associated with a public company
exceeded the revenues  derived from The Forest Industry Online,  Inc.  business.
Therefore, our majority shareholders sought potential buyers to pay off existing
debt and maintain our operating business.  During January and February 2002, the
majority  shareholders  held a  series  of  conversations  and  entered  into an
agreement  whereby a third party would lend  $250,000 to Mr. Joe  Perraton,  who
would then  acquire  2,000,000 of our shares at $0.10 per share and purchase The
Forest Industry Online,  Inc. business for $50,000.  The $250,000 received by us
would  be  used  to pay off or  settle  existing  accounts  payables  and  other
liabilities.  Mr.  Perraton  would  then  pay off the loan in  exchange  for his
2,000,000 shares. After further discussion,  however, the parties were unable to
enter into a definitive agreement and the proposed transaction was terminated.

On April 3, 2002, the Company sought to raise capital  through a public offering
of up to 3 million shares of common stock at $0.10 in order to pay off or settle
accounts payables and other liabilities.  The Company closed its public offering
September 30, 2002 after selling  1,650,000  shares for an aggregate of $165,000
in proceeds. The proceeds were used to pay off existing debt.
<PAGE>

Overview

The Company is an  internet  service  provider  to the forest and wood  products
industry. The Company's website includes information and advertising relating to
forest and logging;  wood  processing  and logs;  and lumber and wood  products.
Currently, the Company plans only on maintaining its current operations.

For the Three Months ended August 31, 2002 and August 31, 2001

Revenues. Revenues decreased by 22% to $72,385 for the three months ended August
31, 2002 as compared to sales of $92,868 for the three  months  ended August 31,
2001.  Sales  decreased  due to higher drop offs to our  subscription  based web
services and fewer new customers for our web design services.  In addition,  our
sales staff decreased  substantially due to layoffs. The customer base decreased
to  approximately  382 customers by August 31, 2002 as compared to approximately
433  customers at August 31, 2001.  $36,175 or 50% of revenues were derived from
website  advertising while the remaining $36,210 or 50% of revenues were derived
from web site design and custom applications.  In contrast,  82% of revenues, or
$76,197,  in the three  months  ended  August 31, 2001 were derived from website
advertising and the balance, $17,213 or 18% were derived from web site design.

Expenses. Total expenses for the three months ended August 31, 2002 decreased to
$73,484 as compared to $124,399  for the  comparative  period  ended  August 31,
2002.  Selling,  general and  administrative  expenses  represented  the largest
portion of expenses  decreasing  by 18% from  $51,472 for the three months ended
August 31, 2001 to $42,321 for the comparable  period in 2002.  This decrease is
due to the  employee  layoffs in 2002,  reduction  in office  expenses and fewer
contractors.  Consulting  fees were $20,615 for the period ended August 31, 2002
compared to $38,497 for the three months ended  August 31, 2001.  The  Company's
consulting  fees decreased due to the termination of services by two independent
consultants and two managerial positions.

Net and  Comprehensive  Loss. The Company  recorded a net loss of $1,099 for the
three  months  ended  August 31, 2002  compared to a net loss of $31,531 for the
three months ended August 31, 2001.  The decrease in losses for the period ended
August  31,  2002  is  due to  the  Company's  efforts  at  reducing  operating,
administrative and consulting expenses.

Liquidity and Capital Resources

As of August 31, 2002,  total current  assets were  $78,607,  a decrease of 20%,
compared to $98,234 as at August 31, 2001.  This decrease is due to a decline in
revenues,  decline in capital  expenditures  and increase in doubtful  accounts.
Although  the core  business of The Forest  Industry  Online,  Inc. is attaining
revenues,  at its current  level it is  insufficient  to purchase  equipment  or
expand  its  operations.  The  Company  is  not  implementing  its  new  product
development at this time but instead, maintaining current business functions.
<PAGE>

Due to the fact that the Company has not generated sufficient cash flow to fund
all of its operations, the Company has relied heavily on outside sources of
capital. During the 12 month period ended May 31, 2002, the Company obtained
$70,479 in funds through promissory notes. The promissory notes bear interest
from ten to twenty percent per annum, secured by a general security agreement
over all assets of the Company and its subsidiary, and were all due on December
31, 2001. Payable to shareholders of the Company are promissory notes totaling
$49,538. As of August 31, 2002, the promissory notes have not been repaid. The
Company will require additional capital investments or borrowed funds to meet
cash flow projections. To date, the Company has reduced expenses to cover
monthly cash requirements, however, the Company has not been able to eliminate
accounts payable and accrued liabilities. There can be no assurance that the
Company will be able to raise capital from these outside sources in sufficient
amounts to fund the Company's business. The failure to secure adequate outside
funding would have an adverse affect on the Company's operating results.

The Company has not been profitable and has experienced negative cash flows from
operations;  the Company  incurred a loss of $1,099 for the three  months  ended
August 31, 2002 and has a working  capital  deficiency of $496,078 at August 31,
2002.  Operations  have been  previously  been financed  through the issuance of
stocks  and other  external  financing.  The  Company's  future  operations  are
dependent upon continued  external funding and our ability to increase  revenues
and reduce  expenses.  Although the core business of The Forest Industry Online,
Inc. is attaining  revenues,  at its current level it is insufficient to operate
and pay for expenses related to a public company. Although subsequent to quarter
end,  the  Company  raised  $165,000  in  public  offering,   the  proceeds  are
insufficient to pay off all of its debts. The Company is attempting to settle or
compromise its  outstanding  obligations.  In the event we are not successful in
settling our debts we may have to file for bankruptcy.

The Company did not invest in property  and  equipment  during the three  months
ended August 31, 2002 due to limited financial resources.  Capital expenditures,
including those under capital leases, totaled $27,009 in 1999; $119,377 in 2000;
$31,265 in 2001 and nil in 2002. The Company expects capital  expenditures  will
increase and growth in its personnel and  infrastructure  will be required if it
is able to increase its customer base during 2003.

To date,  the Company has not  invested in  derivative  securities  or any other
financial  instruments  that  involve a high  level of  complexity  or risk.  It
expects,  that in the  future,  cash in  excess  of  current  requirements  will
continue  to be invested in high  credit  quality,  interest-bearing  securities
until utilized in business operations.

Capital  commitments for the next 12 month period include consultant  agreements
totaling $67,898; other leases $175; and employment agreements totaling $63,024.

In August 2001, the Company entered into a Debt Settlement Agreement with one of
our creditors.  The agreement settles  approximately  $102,769  (Cdn$155,710) in
debt  through the payment in cash of $49,500  (Cdn$75,000)  and the  issuance of
100,000 shares of our common stock in full settlement of the debt.

<PAGE>

Item 3. Controls and Procedures

(a) Based on the  evaluation of the controls and  procedures as of a date within
90 days of the filing of this report on Form 10-QSB for the quarter ended August
31, 2002, the Chief Executive  Officer and Chief Financial  Officer believes (i)
that the report does not contain any untrue statement of a material fact or omit
to state a material fact necessary to make the statements  made, in light of the
circumstances under which such statements were made, not misleading with respect
to the period covered by the report and (ii) the financial  statements and other
financial  information  included in the report,  fairly  present in all material
respect  the finance  condition,  results  and  operations  and cash flow of the
Company as of and for the  periods  present in the report.  The Chief  Executive
Officer and Chief Financial have come to this conclusion  after  discussion with
its book keeper, attorney and board of directors.

(b) There have been no significant changes in the Company's internal controls or
in other factors that could  significantly  affect these controls  subsequent to
the date of their  evaluation,  including any corrective  actions with regard to
significant deficiencies and material weaknesses.

                                     PART II

                                Other Information

Items 1, 2, 3, and 4

None.

Item 5.       Other Information

On October 8, 2002,  the Company  entered into a Letter of Intent to acquire the
assets and  outstanding  capital  stock of  GolfLogix  Systems  Canada  Inc.  in
exchange for the issuance of 2,500,000  restricted shares of  Forestindustry.com
Inc.  common stock.  If the  acquisition  is  consummated,  the number of shares
outstanding will be approximately  5.5 million shares  outstanding.  The Company
believes that the potential acquisition of GolfLogix Systems Canada will provide
the company  with a different  avenue of pursuing  business  and create  greater
value for its  shareholders.  GolfLogix  Systems  Canada Inc. the  hand-held GPS
tracking and distance  system  solution for the golf industry.  The  proprietary
"xCaddie GPS" System automatically collects statistical information and displays
distance to the green in real-time.  Designed to speed play,  the xCaddie system
potentially  allows a golf course to boost  revenues both through an increase in
players on the course and of GPS unit rentals. GolfLogix Systems Canada Inc. has
the exclusive  option to purchase the licensing  rights to the xCaddie and other
products for Canada, Nevada, Oregon, Washington, Idaho, Mexico, Central America,
Australia,  New Zealand,  Fiji,  South Africa and China with a further option to
acquire other areas.

Item 6. Exhibits and Reports on Form 8-K

The Exhibits in the  following  table have been filed as part of this  Quarterly
Report on Form 10-QSB:

a) Exhibits - none
<PAGE>

b) Reports on Form 8-K

   On September 30, 2002, the Company filed a Form 8-K to report an Item 5 event
   relating to the closing of its public offering of common stock.  The  Company
   sold  1,650,000  shares  for  an  aggregate  of  $165,000  in proceeds to the
   Company.
<PAGE>



                                   SIGNATURES

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

                                                        forestindustry.com, Inc.



Date:   October 14, 2002                                /S/JOE PERRATON
                                                        ------------------------
                                                        Joe Perraton, President


<PAGE>
                                  CERTIFICATION

I, Joe Perraton, certify that:

1. I have reviewed this quarterly  report on Form 10-QSB of  forestindustry.com,
Inc.;

2. Based on my  knowledge,  this  quarterly  report  does not contain any untrue
statement of a material fact or omit to state a material fact  necessary to make
the statements made, in light of the  circumstances  under which such statements
were made, not  misleading  with respect to the period covered by this quarterly
report;

3.  Based  on my  knowledge,  the  financial  statements,  and  other  financial
information  included in this quarterly  report,  fairly present in all material
respects the financial  condition,  results of operations  and cash flows of the
registrant as of, and for, the periods presented in this quarterly report;

4.  The  registrant's  other  certifying  officers  and  I are  responsible  for
establishing and maintaining  disclosure  controls and procedures (as defined in
Exchange Act Rules 13a-14 and 15d-14) for the registrant and have:

     a) designed such disclosure controls and procedures to ensure that material
information relating to the registrant, including its consolidated subsidiaries,
is made known to us by others  within those  entities,  particularly  during the
period in which this quarterly report is being prepared;

     b) evaluated the effectiveness of the registrant's  disclosure controls and
procedures  as of a date  within  90  days  prior  to the  filing  date  of this
quarterly report (the "Evaluation Date"); and

     c)  presented  in  this  quarterly   report  our   conclusions   about  the
effectiveness of the disclosure  controls and procedures based on our evaluation
as of the Evaluation Date;

5. The registrant's other certifying officers and I have disclosed, based on our
most recent evaluation,  to the registrant's auditors and the audit committee of
registrant's   board  of  directors  (or  persons   performing   the  equivalent
functions):

     a) all  significant  deficiencies  in the design or  operation  of internal
controls  which  could  aversely  affect  the  registrant's  ability  to record,
process,  summarize  and  report  financial  data  and have  identified  for the
registrant's auditors any material weaknesses in internal controls; and

     b) any fraud,  whether or not material,  that involves  management or other
employees who have a significant role in the registrant's internal controls; and

6. The  registrant's  other  certifying  officers  and I have  indicated in this
quarterly  report  whether or not there  were  significant  changes in  internal

<PAGE>

controls or in other factors that could  significantly  affect internal controls
subsequent to the date of our most recent  evaluation,  including any corrective
actions with regard to significant deficiencies and material weaknesses.

Date:  October 15, 2002                             /S/ JOE PERRATON
                                                    ----------------------------
                                                    Joe Perraton,
                                                    Chief Executive Officer and
                                                    Chief Financial Officer