<PAGE>


                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                   FORM 10-QSB

(Mark One)

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

For the quarterly period ended March 31, 1999

                                       OR

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

For the transition period from ______________ to _____________

                        Commission file number: 001-13749

                             COLUMBIA CAPITAL CORP.
            --------------------------------------------------------
            (Name of small business issuer specified in its charter)

                    Delaware                              11-3210792    
         ---------------------------------           -------------------
         (State or other jurisdiction                (I.R.S. Employer
         of incorporation or organization)           Identification No.)

                   1157 North 5th Street, Abilene, Texas 79601
          ------------------------------------------------------------
          (Address of principal executive offices, including zip code)

                                  915-674-3110
                ------------------------------------------------
                (Issuer's telephone number, including area code)


                   1157 North 5th Street, Abilene. Texas 79601
         ---------------------------------------------------------------
         (Former name, former address and former fiscal year, if changed
                               since last report)


         Securities registered under Section 12(b) of the Exchange Act:

                                                           Name of each exchange
      Title of each class                                  on which registered  
      -------------------                                  ---------------------
             None                                                  None

         Securities registered under Section 12(g) of the Exchange Act:

                    Common Stock, $0.001 par value per share
                    ----------------------------------------
                                (Title of Class)


<PAGE>


Check whether the issuer: (i) filed all reports required to be filed by Section
13 or 15(d) of the Exchange Act during the past 12 months (or for such shorter
period that the registrant was required to file such reports), and (ii) has been
subject to such filing requirements for the past 90 days. Yes X No

The number of shares outstanding of the issuer's Common Stock as of May 15, 1999
was 12,775,000 shares.

Transactional Small Business Disclosure Format (Check one):   Yes     No  X   
                                                                 ----   ----

         THIS QUARTERLY REPORT ON FORM 10-QSB (THE "REPORT") MAY BE DEEMED TO
CONTAIN FORWARD-LOOKING STATEMENTS. FORWARD-LOOKING STATEMENTS IN THIS REPORT OR
HEREAFTER INCLUDED IN OTHER PUBLICLY AVAILABLE DOCUMENTS FILED WITH THE
SECURITIES AND EXCHANGE COMMISSION (THE "COMMISSION"), REPORTS TO THE COMPANY'S
STOCKHOLDERS AND OTHER PUBLICLY AVAILABLE STATEMENTS ISSUED OR RELEASED BY THE
COMPANY INVOLVE KNOWN AND UNKNOWN RISKS, UNCERTAINTIES AND OTHER FACTORS WHICH
COULD CAUSE THE COMPANY'S ACTUAL RESULTS, PERFORMANCE (FINANCIAL OR OPERATING)
OR ACHIEVEMENTS TO DIFFER FROM THE FUTURE RESULTS, PERFORMANCE (FINANCIAL OR
OPERATING) OR ACHIEVEMENTS EXPRESSED OR IMPLIED BY SUCH FORWARD-LOOKING
STATEMENTS. SUCH FUTURE RESULTS ARE BASED UPON MANAGEMENT'S BEST ESTIMATES BASED
UPON CURRENT CONDITIONS AND THE MOST RECENT RESULTS OF OPERATIONS. THESE RISKS
INCLUDE, BUT ARE NOT LIMITED TO, THE RISKS SET FORTH HEREIN, EACH OF WHICH COULD
ADVERSELY AFFECT THE COMPANY'S BUSINESS AND THE ACCURACY OF THE FORWARD-LOOKING
STATEMENTS CONTAINED HEREIN.







                                       ii

<PAGE>

                         PART I - FINANCIAL INFORMATION

ITEM 1.  FINANCIAL STATEMENTS.




                                       2

<PAGE>
<TABLE>

                                                 COLUMBIA CAPITAL CORP.
                                        CONSOLIDATED BALANCE SHEETS - UNAUDITED

<CAPTION>

                                    ASSETS                                        March 31,           December 31,
                                                                                     1999                 1998
                                                                               -----------------    -----------------
<S>                                                                            <C>                  <C>
Current assets
     Cash and cash equivalents                                                 $      1,334,210     $        268,400
     Interest bearing deposits with banks                                               501,000              501,000
     Accounts receivable, net                                                           315,830              447,844
     Prepaid expenses and other assets                                                  506,962              582,633
     Federal income tax receivable                                                            -               81,602
                                                                               -----------------    -----------------
         Total current assets                                                         2,658,002            1,881,479

Premises and equipment                                                                1,880,103            1,763,326
     Less accumulated depreciation                                                      366,179              260,381
                                                                               -----------------    -----------------
         Net property and equipment                                                   1,513,924            1,502,945

Other assets
     Goodwill, net of accumulated amortization of $93,336 and $81,162                   880,588              892,762
     Other assets                                                                       142,570               34,113
                                                                               -----------------    -----------------
         Total other assets                                                           1,023,158              926,875
                                                                               -----------------    -----------------

            TOTAL  ASSETS                                                      $      5,195,084     $      4,311,299
                                                                               =================    =================


                     LIABILITIES AND SHAREHOLDERS' EQUITY

LIABILITIES      
     Accounts payable                                                          $      1,091,652     $        298,840
     Accrued expenses and other liabilities                                             327,060              265,521
     Current portion of note payable - American State Bank                               11,617               11,395
     Notes payable - related party                                                      975,954              700,000
     Accrued interest payable                                                             6,794                5,945
                                                                               -----------------    -----------------
         Total current liabilities                                                    2,413,077            1,281,701

     Long term portion of note payable - American State Bank                            138,661              143,182
                                                                               -----------------    -----------------
         Total liabilities                                                            2,551,738            1,424,883

SHAREHOLDER'S EQUITY
     Common stock , $.001 par value; 50,000,000 shares
         authorized; 12,775,000 issued and outstanding                                   12,775               12,765
     Additional paid-in capital                                                       2,187,255            1,990,715
     Retained earnings                                                                  443,316              882,936
                                                                               -----------------    -----------------
         Total shareholders' equity                                                   2,643,346            2,886,416
                                                                               -----------------    -----------------

            TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY                         $      5,195,084     $      4,311,299
                                                                               =================    =================

</TABLE>



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

                                      F-1
<PAGE>
<TABLE>

                                                 COLUMBIA CAPITAL CORP.
                                       CONSOLIDATED INCOME STATEMENTS - UNAUDITED
<CAPTION>

                                                                                        For the Three Months
                                                                                          Ended March 31,
                                                                               --------------------------------------
                                                                                     1999                  1998
                                                                               -----------------    -----------------

<S>                                                                            <C>                  <C>
REVENUES
     Pride revenue                                                             $         84,000     $         95,000
     Credit card revenue                                                              2,673,269            1,964,717
     Banking revenue                                                                     73,842              228,196
     Mail operations revenue                                                            148,769              180,456
     Courier revenue                                                                        950               21,885
     Fi-Scrip revenue                                                                    27,074                    -
     Other                                                                                    -                5,124
                                                                               -----------------    -----------------
         Total revenues                                                               3,007,904            2,495,378

EXPENSES
     Salaries and employee benefits                                                     920,183              671,283
     Equipment and software lease                                                       598,521              390,449
     Facilities rent                                                                    100,841              105,190
     Repairs and maintenance                                                            137,462              134,884
     Depreciation                                                                        89,675               32,578
     Amortization of goodwill                                                            12,174               12,175
     Computer and office supplies                                                        95,787              126,892
     Telephone                                                                           78,934              155,840
     Professional and outside services                                                  332,907              123,843
     Travel and entertainment                                                            22,475               14,054
     Other operating                                                                    432,635               84,353
                                                                               -----------------    -----------------
         Total expenses                                                               2,821,594            1,851,541
                                                                               -----------------    -----------------

INCOME FROM OPERATIONS                                                                  186,310              643,837

Other income (expense)
     Interest income                                                                     10,421                8,876
     Interest expense                                                                   (20,272)             (45,938)
                                                                               -----------------    -----------------
         Total other income (expense)                                                    (9,851)             (37,062)
                                                                               -----------------    -----------------

INCOME BEFORE TAX                                                                       176,459              606,775

     Income tax expense                                                                  68,487              204,604
                                                                               -----------------    -----------------

NET INCOME                                                                     $        107,972     $        402,171
                                                                               =================    =================

Basic earnings per share                                                       $           0.01     $           0.03
                                                                               =================    =================

Diluted earnings per share                                                     $           0.01     $           0.03
                                                                               =================    =================

Weighted average shares outstanding                                                  12,775,000           12,500,000
                                                                               =================    =================

</TABLE>




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

                                      F-2
<PAGE>

<TABLE>

                                                 COLUMBIA CAPITAL CORP.                                                  
                         CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - UNAUDITED                          
                                       FOR THE THREE MONTHS ENDED MARCH 31, 1999                                         
<CAPTION>

                                                                                                                         
                                                                                                                         
                                                                       
                                                                                              
                                               Common Stock                                     Accumulated
                                    -----------------------------------        Paid-In           (Deficit)
                                        Shares             Amount              Capital            Earnings             Total
                                    ----------------   ----------------    ----------------    ---------------    ----------------
                                                                       
<S>                                      <C>           <C>                 <C>                 <C>                <C>            
BALANCE - DECEMBER 31, 1997              12,500,000    $        12,500     $     1,681,230     $     (481,739)    $     1,211,991
                                                                                                                   
     Issuance of common stock               265,000                265             281,485                                281,750
     Stock options                                                                  28,000                                 28,000
     Net loss                                     -                  -                              1,364,675           1,364,675
                                    ----------------   ----------------    ----------------    ---------------    ----------------
                                                                       
BALANCE - DECEMBER 31, 1998              12,765,000             12,765           1,990,715            882,936           2,886,416
                                                                       
     Issuance of common stock                10,000                 10              16,990                                 17,000
     Acquisition of Fi-Scrip                                                       179,550           (547,592)           (368,042)
     Net income                                   -                  -                   -            107,972             107,972
                                    ----------------   ----------------    ----------------    ---------------    ----------------
                                                                       
BALANCE - MARCH 31, 1999                 12,775,000    $        12,775     $     2,187,255     $      443,316     $     2,643,346
                                    ================   ================    ================    ===============    ================
</TABLE>
                                                                       
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
                                                                        
The accompanying notes are an integral                                  
part of these consolidated financial statements                         
                                                                        
                                      F-3
<PAGE>

<TABLE>

                                                 COLUMBIA CAPITAL CORP.
                                    CONSOLIDATED STATEMENT OF CASH FLOWS - UNAUDITED
<CAPTION>

                                                                                        For the Three Months
                                                                                           Ended March 31,
                                                                               --------------------------------------
                                                                                     1999                  1998
                                                                               -----------------    -----------------

<S>                                                                            <C>                  <C>
CASH FLOWS FROM OPERATING ACTIVITIES
     Net income                                                                $        107,972     $        402,171
     Adjustments to reconcile net income to
         net cash provided by operations
            Depreciation and amortization                                               101,849               44,753
            Deferred income tax expense                                                   8,453              122,209
            (Increase) decrease in
                Accounts receivable                                                     140,657              (46,304)
                Prepaid expenses and other assets                                        80,744             (114,383)
            Increase in
                Accruals and accounts payable                                           113,962              529,379
                                                                               -----------------    -----------------
Net cash provided by operating activities                                               553,637              937,825

CASH FLOWS FROM INVESTING ACTIVITIES
     Purchase of fixed assets                                                           (13,744)             (98,440)
     Investment in interest bearing deposit                                                   -             (300,000)
                                                                               -----------------    -----------------
Net cash used in investing activities                                                   (13,744)            (398,440)

CASH FLOWS FROM FINANCING ACTIVITIES
     Proceeds from line of credit, net of payments                                       95,701             (400,000)
     Investment in interest bearing deposits                                                  -              155,582
     Proceeds from the sale of stock                                                     17,000                    -
     Cash and cash equivalents received in 
        acquisition of Fi-Scrip                                                         413,216                    -
                                                                               -----------------    -----------------
Net cash used in financing activities                                                   525,917             (244,418)
                                                                               -----------------    -----------------

NET INCREASE IN CASH
         AND CASH EQUIVALENTS                                                         1,065,810              294,967

Cash and cash equivalents at beginning of period                                        268,400               17,861
                                                                               -----------------    -----------------

CASH AND CASH EQUIVALENTS AT END OF PERIOD                                     $      1,334,210     $        312,828
                                                                               =================    =================

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION
     Interest expense                                                          $         20,272     $         28,186
     Interest income                                                           $         10,421     $          8,876

</TABLE>











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

                                      F-4
<PAGE>


                             COLUMBIA CAPITAL CORP.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS



NOTE 1:           SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

         PRINCIPLES OF CONSOLIDATION

         The accompanying consolidated financial statements include the accounts
         of Columbia Capital Corp. (the Company) and its wholly-owned
         subsidiaries, First Independent Computers, Inc. ("FICI") and Fi-Scrip,
         Incorporated ("Fi-Scrip"). Intercompany accounts and transactions have
         been eliminated.

         ORGANIZATION AND NATURE OF OPERATIONS

         The Company was organized under the laws of the State of Delaware on
         February 5, 1993. The Company completed a private offering of its
         common stock in November 1993 (See Note 2).

         FICI was incorporated on October 21, 1983, pursuant to the provisions
         of the Texas Business Corporation Act. FICI's business activities
         include the processing of credit card purchases for numerous businesses
         in various industries throughout the United States and data processing
         for various banks.

         Fi-Scrip, a Nevada corporation, engages in the financial services
         business by marketing computer processing services for Automated Teller
         Machines ("ATM's") transactions, debit terminal transactions and
         Electronic Benefits Transfer system ("EBT") transactions. Fi-Scrip and
         its co-venturer, Norstar, Inc., of Orlando, Florida, an entity in which
         Fi-Scrip has a 25% ownership interest, contract with merchants and
         independent service organizations for deployment of terminals and
         services.

         MANAGEMENT REPRESENTATION

         Management believes the financial statements include all adjustments
         necessary in order to present a fair presentation and ensure that the
         financial statements are not misleading.

         CASH AND CASH EQUIVALENTS

         The Company considers investments with an original maturity of three
         months or less to be cash equivalents.

         USE OF ESTIMATES IN THE PREPARATION OF FINANCIAL STATEMENTS

         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 disclosure of contingent assets and liabilities at the
         date of the consolidated financial statements and the reported amounts
         of revenues and expenses during the reporting periods. Actual results
         could differ from those estimates.

         ACCOUNTS RECEIVABLE

         The Company utilizes the allowance method for uncollectible accounts
         receivable. Management estimates the uncollectible accounts and
         provides for them in the allowance. The balance of the allowance for
         uncollectible accounts was $20,000 at March 31, 1999 and December 31,
         1998.


                                      F-5
<PAGE>


                             COLUMBIA CAPITAL CORP.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS



NOTE 1:           SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - CONTINUED

         REVENUE RECOGNITION

         The Company recognizes revenue when services have been provided to the
         customer.

         PROPERTY, PLANT AND EQUIPMENT

         Fixed assets of the Company are reported at historical cost.
         Depreciation and amortization on assets purchased are computed by the
         following methods and useful lives:

            Furniture and fixtures            Straight-line              5 years
            Electronic equipment              Straight-line            5-7 years
            Automobiles                       Straight-line            3-5 years
            Office equipment                  Straight-line              5 years
            Computer software                 Straight-line              3 years

         Depreciation is computed using the straight line method over the
         estimated useful lives for financial statement purposes and an
         accelerated method of cost recovery over statutory recovery periods for
         tax purposes. Repairs and maintenance are expensed, whereas additions
         and improvements are capitalized.

         INTANGIBLE ASSETS

         Intangible assets are reported at historical cost and consist of
         goodwill. Goodwill is amortized using the straight-line method over 20
         years. The Company has adopted the provisions of Statement of Financial
         Accounting Standards ("SFAS") No. 121, under which the Company reviews
         its long-lived assets for impairment whenever events or changes in
         circumstances indicate that the carrying amount of the asset may not be
         recovered. No provision for impairment has been recognized with respect
         to the Company's long lived assets.

         PREPAID ASSETS

         The Company has expenditures which benefit future periods which are
         recorded as prepaid assets or deferred costs and are amortized on a
         straight-line basis over the estimated or known period of benefit. Such
         prepaid assets and deferred costs include prepaid insurance,
         maintenance contracts, certain software licenses and supplies used in
         the normal operation of business.

         FEDERAL INCOME TAXES

         Deferred tax assets and liabilities are recognized for deductible and
         taxable temporary differences respectively. Temporary differences are
         the differences between the reported amounts of assets and liabilities
         and their tax bases. Deferred tax assets may be reduced by a valuation
         allowance when and if, in the opinion of management, the tax asset
         will, in part or in all, not be realized. Deferred tax assets and
         liabilities are adjusted for the effects of changes in tax laws and
         rates on the date of enactment.

                                      F-6
<PAGE>


                             COLUMBIA CAPITAL CORP.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS



NOTE 1:         SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - CONTINUED

         PER SHARE DATA

         In February 1997, Statement of Financial Accounting Standards No. 128,
         "Earnings Per Share" (SFAS 128) was issued. Under SFAS 128, net
         earnings per share ("EPS") are computed by dividing net earnings by the
         weighted average number of shares of common stock outstanding during
         the period. SFAS 128 replaces fully diluted EPS, which the Company was
         not previously required to report, with EPS, assuming dilution. The
         Company adopted SFAS 128 effective December 31, 1998. The effect of
         this accounting change on previously reported EPS data is not
         significant. The computation of earnings per share of common stock is
         based on the weighted average number of shares outstanding as of March
         31, 1999 and 1998 of 12,775,000 and 12,500,000 respectively. The
         computation of diluted earnings per share of common stock is based on
         the weighted average number of shares and equivalent shares outstanding
         as of March 31, 1999 and 1998 of 12,775,000 and 12,500,000,
         respectively. No potential common shares existed at December 31, 1998;
         therefore, basic loss per share equals diluted earnings per share at
         March 31, 1999.

         PREFERRED STOCK

         The Company, under its articles of incorporation, has the authority to
         issue up to five million (5,000,000) shares of preferred stock with a
         par value of $.001 each, totaling five thousand dollars ($5,000). The
         Board of Directors is authorized to provide for the issuance of the
         shares of preferred stock in series by filing a certificate pursuant to
         the applicable law of the State of Delaware, to establish the number of
         shares to be included in each such series, and to fix the designations,
         powers, preferences, rights and limitations of the shares of each
         series. At March 31, 1999 and December 31, 1998, there were no
         preferred shares issued or outstanding.

         FAIR VALUES OF FINANCIAL INSTRUMENTS

         The following methods and assumptions were used by the Company in
         estimating fair values of financial instruments as disclosed herein:

         CASH AND SHORT-TERM INSTRUMENTS. The carrying amounts of cash and
         short-term instruments approximate their fair value.

         INTEREST BEARING DEPOSITS WITH BANKS. The carrying amounts of interest
         bearing deposits with banks approximate their fair value.

         ACCOUNTS RECEIVABLE. For accounts which are not past due greater than
         90 days and have no significant change in credit risk, fair values are
         based on carrying values.

         NOTES PAYABLE. The Company's notes payable arrangement bears a variable
         interest rate and represents terms and conditions currently available
         for the same or similar debt facility in the marketplace. Thus, the
         fair value of notes payable approximates the carrying amount.

                                      F-7
<PAGE>


                             COLUMBIA CAPITAL CORP.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS



NOTE 1:         SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - CONTINUED

         NEW ACCOUNTING STANDARDS ADOPTED

         In June 1997, Statements of Financial Accounting Standards (SFAS) No.
         130, "Reporting of Comprehensive Income," was issued. This statement
         requires that comprehensive income be reported in the basic financial
         statements. Comprehensive income refers to the change in equity during
         a period from transactions and events other than investments by and
         distributions to owners. This statement applies to fiscal years
         beginning after December 15, 1997. The Company adopted SFAS 130 on
         January 1, 1998. The Company had no items of comprehensive income in
         the three (3) months ended March 31, 1999 and 1998.

         In June 1997, Statements of Financial Accounting Standards (SFAS) No.
         131, "Disclosures about Segments of an Enterprise and Related
         Information," was issued. This Statement requires that a public
         business enterprise report financial and descriptive information about
         its reportable operating segments. Financial information should include
         a measure of segment profit or loss, certain specific revenue and
         expense items, and segment assets. Descriptive information should
         include detail on how segments were determined, products and services
         provided by each, and any differences in the measurements used in
         reporting segment information vs. those used in the general-purpose
         financial statements. This statement is effective for financial
         statements for periods beginning after December 15, 1997. The Company
         adopted SFAS 131 on January 1, 1998. The implementation of this
         standard did not have any impact on the financial position or
         disclosures of the Company or results of its operations.

         RECENT ACCOUNTING STANDARDS

         In June 1998, SFAS No. 133, "Accounting for Derivative Instruments and
         Hedging Activities" was issued. This statement establishes accounting
         and reporting standards for derivative instruments embedded in other
         contracts and for hedging activities. The statement is effective for
         fiscal quarters or fiscal years beginning after June 15, 1999. The
         Company does not expect the adoption of the statement to have a
         significant impact on the financial statements.

         The American Institute of Certified Public Accountants (AICPA) recently
         issued Statement of Position (SOP) No. 98-1, "Accounting for the Cost
         of Computer Software Developed or Obtained for Internal Use," which
         provides guidance concerning recognition and measurement of costs
         associated with developing or acquiring software for internal use. In
         1998, the AICPA also issued SOP No. 98-5 "Reporting on Costs of
         Start-Up Activities," which provides guidance concerning start-up
         activities and organization costs. Both pronouncements are effective
         for fiscal years beginning after December 15, 1998. The Company does
         not expect the adoption of the statement to have a significant impact
         on the financial statements.


NOTE 2:               PRIVATE OFFERINGS OF COMMON STOCK

         The Company offered shares of its common stock, $.001 par value, to a
         limited number of qualified investors in 1993. The company sold 325,000
         shares of common stock, at a price of $.20 per share for a total of
         $65,000. The investors subscribed to a minimum of 1,000 shares. There
         was no minimum offering amount and there was no escrow of any funds
         received from the offering and such funds were utilized by the Company
         as they were received. Proceeds from the offering were used to provide
         working capital to the Company.

                                      F-8
<PAGE>


                             COLUMBIA CAPITAL CORP.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS



NOTE 3:         ACQUISITION OF FI-SCRIP

         As of January 1, 1999, the primary shareholders of the Company
         contributed all of the common stock of Fi-Scrip to the Company for no
         consideration. The contribution of capital was not significant to the
         financial position of the Company. Fi-Scrip became a wholly-owned
         subsidiary of the Company effective January 1, 1999. The operations of
         Fi-Scrip are not expected to have a material impact on the Company.


NOTE 4:         CANCELLATION OF CONTRACT AND MANAGEMENT'S PLANS

         On March 4, 1999, the Company received notice that the BestBank credit
         card portfolio held by the FDIC, in which the Company derived
         approximately 83% of its total operating revenue from processing, as
         measured in 1998, was being terminated and the Company's processing
         services on the portfolio were also being terminated. The loss of this
         customer is anticipated to have a material adverse effect on the
         Company's results of operations during the quarter ending June 30, 1999
         and the year ending December 31, 1999.

         The ability of the Company to continue as a going concern is dependent
         on its ability to adjust its operations through the implementation of a
         restructuring plan. The Company is currently developing a plan to
         reduce expenses and secure replacement processing contracts, as
         follows:


         o  The Company has implemented a plan for the reduction of fixed
            operating costs, including restructuring and/or renegotiating
            certain operating lease agreements. This reduction in fixed
            operating costs will be implemented in phases as dictated by the
            economics of the Company's future operations.

         o  The Company is currently working with approximately seventeen (17)
            different entities, all unaffiliated with the Company, to secure
            processing contracts, each representing as little as $30,000 and as
            much as $2,000,000 in additional processing revenue per year.
            Letters of intent and contracts have been secured for replacement
            processing with revenue estimated to be approximately $2,500,000 in
            the year ending December 31, 1999. However, there can be no
            assurances to this effect. Additionally, revenue from processing of
            the Best Bank Portfolio managed by the FDIC amounted to $2,141,213
            for the three months ended March 31, 1999. The FDIC has indicated
            that the processing will continue in the near term. The Company
            expects to continue processing for the FDIC through at least June
            30, 1999.

         o  The Company has developed and integrated a marketing plan for
            attracting new business, which includes the signing of a contract
            with one of its major software suppliers, creating an alliance
            between the two entities for the referral of new business.
            Additionally, the Company plans to market its Year 2000
            preparedness, in anticipation that, as the new millennium draws
            closer, the Company's successful Year 2000 preparation will enable
            it to attract new business.

         o  At March 31, 1999, the Company had cash balances in excess of
            $800,000, which the Company believes will be sufficient to maintain
            operations in the near term.


                                      F-9
<PAGE>


                             COLUMBIA CAPITAL CORP.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS



NOTE 5:         FINANCIAL INSTRUMENTS

         The estimated fair values of the Company's financial instruments at
         March 31, 1999 were as follows:
<TABLE>
<CAPTION>


                                                                                  Carrying           Fair
                                                                                   Amount            Value  
                                                                                ------------    ------------
         <S>                                                                    <C>             <C>
         Financial assets:
             Cash and interest bearing deposits with banks                      $ 1,835,210     $ 1,835,210
             Accounts receivable                                                    315,830         315,830
         Financial liabilities:
             Notes payable                                                      $ 1,126,232     $ 1,126,232
             Accrued interest payable                                                 6,794           6,794
</TABLE>

         The estimated fair values of the Company's financial instruments at
         December 31, 1998 were as follows:
<TABLE>
<CAPTION>

                                                                                  Carrying           Fair
                                                                                   Amount            Value  
                                                                                ------------    ------------
         <S>                                                                    <C>             <C>
         Financial assets:
             Cash and interest bearing deposits with banks                     $    769,400    $    769,400
             Accounts receivable                                                    447,844         447,844
         Financial liabilities:
             Notes payable                                                     $    854,577    $    854,577
             Accrued interest payable                                                 5,945           5,945
</TABLE>

         The method(s) and assumptions used to estimate the fair value of
         financial instruments are disclosed in Note 1, "Fair Values of
         Financial Instruments".


NOTE 6:         INCOME TAXES

         The Company files a consolidated federal income tax return; however,
         federal income taxes are allocated between the Company and its
         subsidiaries based on statutory rates. The consolidated income tax
         expense, as a percentage of pretax earnings, differs from the statutory
         federal income tax rate as follows:

                                                         Three Months Ended
                                                              March 31,    
                                                    ----------------------------
                                                        1999             1998 
                                                    ------------     -----------

         Statutory federal income tax rate                34.00%          34.00%
         Non-deductible expenses                           3.37            1.14
         Other                                             1.44           (1.42)
                                                    ------------     -----------

                Effective income tax rate                 38.81%          33.72%
                                                    ============     ===========


                                      F-10
<PAGE>


                             COLUMBIA CAPITAL CORP.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS



NOTE 6:         INCOME TAXES - CONTINUED

         Income tax expense is comprised of the following:

                                                         Three Months Ended
                                                             March 31,          
                                                    ----------------------------
                                                        1999           1998     
                                                    ------------   -------------

         Current income tax expense                 $    60,034    $     82,395
         Deferred income tax expense                      8,453         122,209
                                                    ------------   -------------
                                                    $    68,487    $    204,604
                                                    ============   =============

         The tax effects of temporary differences that gave rise to deferred tax
         assets (liabilities) as of March 31, 1999 and December 31, 1998,
         respectively:

                                                         1999           1998    
                                                    ------------   -------------

         Depreciation and amortization              $   (23,765)   $    (41,219)
         Other                                           49,425          75,332
                                                    ------------   -------------
                Net deferred tax assets             $    25,660    $     34,113
                                                    ============   =============


NOTE 7:         NOTES PAYABLE

         FICI, has extended an operating line of credit through Century
         Financial Group, Inc., a company owned by the Company's primary
         shareholders. The line of credit with the same Century Financial Group,
         Inc. provides FICI with a maximum operating line of credit of seven
         hundred thousand dollars ($700,000). Advances on the line of credit,
         not to exceed the maximum limit, are made at the discretion of FICI's
         management. The line of credit is unsecured. The line of credit carries
         an annual percentage rate of ten percent (10%). Under the terms of the
         line of credit, FICI pays interest on a monthly basis with the unpaid
         principal due at maturity, September 15, 1999. The outstanding balance
         on the line of credit as of March 31, 1999 and December 31, 1998 was
         $700,000. In addition, the Company owes the principal amount of
         $100,000 to Century relating to funds advanced to the Company in
         connection with the Purchase and Sale agreement.

         Fi-Scrip has extended an operating line of credit (the "Fi-Scrip Line
         of Credit") through Century. The Fi-Scrip Line of Credit, dated May 1,
         1998, provides Fi-Scrip with a maximum operating line of credit of
         $250,000. Advances on the Fi-Scrip Line of Credit, not to exceed the
         maximum limit, are made at the discretion of Fi-Scrip's management. The
         promissory note related to the Fi-Scrip Line of Credit bears interest
         at the rate of ten percent (10%) per annum. Under the terms of the
         promissory note, Fi-Scrip pays interest on a monthly basis, with the
         unpaid principal due on demand. The outstanding balance on the Fi-Scrip
         Line of Credit, as of March 31, 1999, was $175,954.

         FICI has a real estate lien note through American State Bank formerly
         Security State Bank. The real estate note, dated August 1, 1998, in the
         amount of one hundred sixty thousand dollars ($160,000) carries an
         annual interest rate of Wall Street prime plus one percent (1%), with a
         maturity date of August 1, 2001. The note is secured by a Deed of Trust
         to a building in which the note proceeds were used to purchase and
         renovate. The outstanding balance on the note as of March 31, 1999 was
         $150,278.

                                      F-11
<PAGE>


                             COLUMBIA CAPITAL CORP.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS



NOTE 8:         LEASE OBLIGATIONS

         The Company has entered into various operating lease agreements. Under
         terms of an operating lease with IBM Corporation, certificates of
         deposit with a carrying value of $401,000 at March 31 1999 were pledged
         as collateral against Bank One letters of credit in favor of IBM. Under
         terms of an operating lease with Timmermen Leasing, a certificate of
         deposit with a carrying value of $100,000 at March 31, 1999, was
         pledged as collateral.

         The future minimum payments for leased property under these
         noncancellable lease agreements for each of the next five years ending
         December 31, 2004 are as follows:

                1999                                     $     1,149,275
                2000                                           1,143,447
                2001                                             815,335
                2002                                             265,305
                2003                                              84,386
                2004                                              75,186
                                                         ----------------

                Lease obligations                        $     3,532,934
                                                         ================

         No commitments for leased property extend more than five years.

         The Company currently leases its office space, 52,248 square feet, from
         American State Bank at an annual cost of approximately $400,000. The
         lease made on August 1, 1997 is for a term of two years expiring July
         31, 1999 with a 180 day termination clause. As of the date of this
         report the Company has given timely notification of termination of the
         lease pending re-negotiation of lease terms.


NOTE 9:         MARKET RISK AND CONCENTRATIONS

         For the year ending December 31, 1998, revenue from the BestBank
         portfolio accounted for approximately 83% of the Company's total
         revenues. No other customers accounted for 10% or more of the Company's
         total revenues.

         For the three months ended March 31, 1999, revenue from the Best Bank
         portfolio accounted for approximately 84% of the Company's total
         revenues. No other customers accounted for 10% or more of the Company's
         total revenues. Since the Best Bank failure in July 1998 the Company
         has continued its role as processor for the Portfolio accounts and is
         receiving payment from the Federal Deposit Insurance Corporation ("the
         FDIC") for its processing costs. As of March 31, 1999, the Company's
         accounts receivable from the FDIC relating to the Portfolio was
         $150,000, all current. The Company can not speculate on the extent to
         which it will continue to provide processing services for the FDIC.






                                      F-12

<PAGE>


                             COLUMBIA CAPITAL CORP.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS



NOTE 10:        RELATED PARTY TRANSACTIONS

         FICI's financing source, Century Financial Group, Inc., is owned by the
         Company's primary shareholders, Glenn Gallant and Douglas Baetz.
         Interest expense and accrued interest payable to Century Financial
         Group, Inc. amounted to $18,110 and $6,794 as of March 31, 1999.

         Fi-Scrip's financing source, Century Financial Group, Inc., is owned by
         the Company's primary shareholders, Glenn Gallant and Douglas Baetz.
         Interest expense and accrued interest payable to Century Financial
         Group, Inc. amounted to $4,339 and $4,339 as of March 31, 1999.


NOTE 11:        STOCK OPTION PLAN

         The Company has adopted a stock plan to provide for the granting of
         options to senior management of the Company. As of March 31, 1999, the
         Company has allocated 1,250,000 shares of stock for issuance under the
         plan. On July 1, 1998 the Company granted 350,000 options. The options
         expire five years from the date of issuance. On December 24, 1998, the
         Company amended the exercise price of the options previously granted on
         July 1, 1998.

         The following table shows the vesting schedule and the exercise price,
         as amended, for each of the five current and two former directors
         awarded options.
<TABLE>
<CAPTION>

                                                    
                              Exercise   July 1,  October 1,  January 1,   Options
             Director          Price      1998       1998       1999       Vested    
         -------------------  --------  --------  ----------  ----------  ---------

<S>                             <C>      <C>         <C>        <C>        <C>   
         Glenn M. Gallant       $ .62    16,666      16,667       -         33,333
         Douglas R. Baetz       $ .62    16,666      16,667       -         33,333
         Kenneth A. Klotz       $ .48    16,666      16,667     16,667      50,000
         Charles LaMontagne     $ .48    16,666      16,667     16,667      50,000
         Olan Beard             $ .48    16,666      16,667     16,667      50,000
         Donald Thone           $ .48    16,666      16,667     16,667      50,000
         Robert Feldman         $ .48    16,666      16,667     16,667      50,000 
                                                                          ---------

                                                                           316,666 
                                                                          =========
</TABLE>

         Messrs. Baetz and Gallant, having greater than 10% of the outstanding
         shares of the Company at July 1, 1998, were granted options with an
         exercise price set at 110% of the fair market value of the Company's
         common stock at the date of the grant. The remaining five directors
         were granted options with an exercise price set at 85% of the fair
         market value of the Company's common stock at the date of the grant. As
         of March 31, 1999 no options under the plan had been exercised.

         The Company accounts for the options in accordance with Accounting
         Principles Board Opinion No. 25, "Accounting for Stock Issued to
         Employees," under which compensation cost is recognized for the
         difference in the option's exercise price and the fair market value of
         the stock as of the date of each grant over the vesting period. The
         effect of further compensation cost for the plan, had it been included
         in the income statement as provided for in SFAS No. 123, "Accounting
         for Stock-Based Compensation," would have resulted in an insignificant
         reduction to the Company's net earnings and earnings per share on a pro
         forma basis, based on estimates using an accepted options pricing
         model.

                                      F-13
<PAGE>


                             COLUMBIA CAPITAL CORP.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS



NOTE 12:        CONDENSED FINANCIAL INFORMATION - PARENT COMPANY

         The following represents consolidated financial information of the
         parent company as of March 31, 1999 and December 31, 1998 utilizing the
         equity method of accounting.
<TABLE>

      CONDENSED BALANCE SHEET:

                                    ASSETS
<CAPTION>

                                                                           March 31,      December 31,
                                                                             1999            1998   
                                                                        -------------   -------------
         <S>                                                            <C>             <C>
         Current assets
           Cash and cash equivalents                                    $      3,650    $      1,061
           Prepaid expenses and other assets                                 138,434         106,000
           Federal income tax receivable                                        -            582,609
                                                                        -------------   -------------
             Total current assets                                            142,084         689,670

           Investment in subsidiaries                                      3,831,727       3,853,166
                                                                        -------------   -------------

                        TOTAL ASSETS                                    $  3,973,811    $  4,542,836
                                                                        =============   =============

                      LIABILITIES AND SHAREHOLDERS' EQUITY

         LIABILITIES
            Accrued expenses and other liabilities                      $    320,829    $     69,445
            Due to subsidiaries                                            1,009,636       1,586,975
                                                                        -------------   -------------
              Total current liabilities                                    1,330,465       1,656,420

         SHAREHOLDERS' EQUITY
            Common stock                                                      12,775          12,765
            Capital surplus                                                2,187,255       1,990,715
            Retained earnings                                                443,316         882,936
                                                                        -------------   -------------
              Total shareholders' equity                                   2,643,346       2,886,416
                                                                        -------------   -------------

                   TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY           $  3,973,811    $  4,542,836
                                                                        =============   =============


     CONDENSED INCOME STATEMENT:

         REVENUES
            Undistributed earnings (loss) of subsidiaries               $    300,704    $  2,473,197
                                                                        -------------   -------------
              Total revenues                                                 300,704       2,473,197

         EXPENSES
            Stockholder costs and fees                                           410           8,830
            Professional and outside services                                202,946         485,615
            Marketing                                                         90,894         171,833
            Other operating                                                      695           1,569 
                                                                        -------------   -------------
              Total operating expenses                                       294,945         667,347


</TABLE>

                                      F-14
<PAGE>


                             COLUMBIA CAPITAL CORP.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


<TABLE>

NOTE 12:      CONDENSED FINANCIAL INFORMATION - PARENT COMPANY - CONTINUED
<CAPTION>

                                                                           March 31,      December 31,
                                                                             1999              1998       
                                                                        -------------   -------------
<S>                                                                     <C>             <C>
            Compensation to directors                                          5,000         10,000
                                                                        -------------   -------------
              Total other expense                                              5,000         10,000
                                                                        -------------   -------------

         INCOME BEFORE FEDERAL INCOME TAX                                        759       1,795,350

            Income tax benefit                                              (107,213)       (229,325)
                                                                        -------------   -------------
         INCOME BEFORE EXTRAORDINARY LOSS                                    107,972       2,024,675
            Extraordinary loss                                                  -            660,000
                                                                        -------------   -------------
         Net income (loss)                                              $    107,972    $  1,364,675
                                                                        =============   =============


     CONDENSED STATEMENT OF CASH FLOWS:

         CASH FLOWS FROM OPERATING ACTIVITIES
            Net income                                                  $    107,972    $  1,364,675
            Adjustments to reconcile net income (loss) to
              net cash provided by operations
                Undistributed earnings in subsidiaries                        21,439      (2,473,197)
                Decrease (increase) in federal income tax receivable         582,609        (582,609)
                Increase in prepaid expenses and other assets                (32,434)        (90,976)
                (Decrease) increase in accruals and accounts payable        (325,955)      1,471,729
                                                                        -------------   -------------
            Net cash used by operating activities                            353,631        (310,378)

            CASH FLOWS FROM FINANCING ACTIVITIES
                Shareholder contribution                                    (547,592)           -
                Issuance of common stock                                     196,550         309,750
                                                                        -------------   -------------

          NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS                 2,589            (628)
           Cash and cash equivalents at beginning of year                      1,061           1,689
                                                                        -------------   -------------
           CASH AND CASH EQUIVALENTS AT END OF PERIOD                   $      3,650    $      1,061
                                                                        =============   =============
</TABLE>


NOTE 13:        CONSULTING AGREEMENTS

         On March 20, 1998, the Company entered into a consulting agreement with
         Worldwide Corporate Finance (Worldwide). Worldwide, through its
         individual affiliate, Michael Markow, provided the Company with
         consulting services, including long-term business, managerial and
         financial planning; investigating and analysis in corporate
         reorganizations and expansion in merger and acquisition opportunities;
         and the introduction of business opportunities for credit card
         processing services. As compensation for services, the Company granted
         to Mr. Markow options to purchase up to 700,000 shares of Common Stock,
         at varying prices between $0.95 and $1.70, which are the subject of a
         currently effective registration statement. 

                                      F-15
<PAGE>


                             COLUMBIA CAPITAL CORP.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS



NOTE 13:              CONSULTING AGREEMENTS - CONTINUED

         In February 1999, the Company's management and Mr. Markow reached an
         agreement to terminate the existing consulting agreement between the
         Company and Worldwide. In settlement the Company agreed to allow Mr.
         Markow to exercise 10,000 additional options to purchase an equal
         number of shares of the Company's Common Stock at $1.70 per share
         resulting in a transaction valued at $17,000. Additionally the Company
         agreed to pay Mr. Markow $15,000 in cash and terminate the remaining
         unexercised balance of options initially granted to Mr. Markow and
         Worldwide under the consulting agreement. The Company does not expect
         to enter into any additional consulting agreements with Mr. Markow or
         Worldwide in the future. Mr. Markow and Worldwide had exercised a total
         of 275,000 options valued at $298,750 under the former consulting
         agreement. As of the date of this report there are no remaining options
         outstanding related to the former consulting agreement with Mr. Markow
         and Worldwide.

         The fair value of the options granted approximate the value of the
         services provided by Mr. Markow and has been recognized as a component
         of consulting fees in the income statement over the term of the
         agreement.

         On July 1, 1998, Columbia Capital Corp. entered into a consulting
         agreement with Matthias and Berg, LLP ("the Firm"). The Firm, through
         its partner, Jeffrey Berg, provides the Company with consulting and
         litigation services, including long term business, managerial and
         financial litigation support; investigating and analysis in corporate
         reorganizations and legal expertise on merger and acquisition
         opportunities. As compensation for services, the Company granted to the
         Firm options to purchase up to 100,000 shares of Common Stock, which
         are the subject of a currently effective registration statement, on the
         following terms and conditions: (i) options to purchase up to 100,000
         shares of Common Stock at an exercise price of $0.48 per share,
         exercisable from July 1, 1998. The fair value of consulting and
         litigation services provided by the Firm is being recognized as the
         services are provided. As of March 31, 1999 no options have been
         exercised under the agreement.


NOTE 14:        YEAR 2000

         The Year 2000 issue is a programming issue that may affect many
         electronic processing systems. Until recently, in order to minimize the
         length of data fields, most date-sensitive programs eliminated the
         first two digits of the year. This issue could affect information
         technology ("IT") systems and date-sensitive embedded technology that
         controls certain systems (such as telecommunications systems, security
         systems, etc.) leaving them unable to properly recognize or distinguish
         dates in the twentieth and twenty-first centuries and thereafter. For
         example, date-sensitive calculations may treat "00" as the year 1900
         rather than the year 2000. This treatment could result in significant
         miscalculations when processing critical date-sensitive information
         relating to dates after December 31, 1999.

         Year 2000 Compliance requires that neither performance nor
         functionality be affected by dates prior to, during, and after the year
         2000. Specifically, every system must perform as follows:

             1.  Correctly handle date information before, during, and after
                 January 1, 2000 when accepting date input, providing date
                 output, and performing calculations on dates or portions of
                 dates
             2.  Function according to the documentation before, during, and
                 after January 1, 2000 without changes in operation

                                      F-16
<PAGE>


                             COLUMBIA CAPITAL CORP.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS



NOTE 14:        YEAR 2000 - CONTINUED

             3.  Where appropriate, respond to two digit date input in a way
                 that resolves the ambiguity as to century in a disclosed,
                 defined, and predetermined manner
             4.  Recognize Year 2000 as a leap year (based on the 
                 quad-centennial rule)

         These criteria were derived from the requirements established by the
         British Standards Institute in DISC PD2000-1 A DEFINITION OF YEAR 2000
         CONFORMITY REQUIREMENTS.

         Over the past few years, the Company has attempted to actively address
         the Y2K dilemma. The Company has had in place a project plan (the "Y2K
         Plan") and project team reviewing all hardware and software, as
         necessary. The Company anticipates its total investment in Y2K
         compliance will reach approximately $445,000. The Company has already
         made a significant portion of the investment needed to address the Y2K
         dilemma. As of the date of this Report, the cost to: (i) acquire,
         install and implement these new software systems has been an aggregate
         of approximately $247,000; and (ii) acquire new hardware has been
         approximately $8,000. The Company has also instituted policies and
         procedures that require all new hardware and software acquired or
         licensed by the Company to be Y2K compliant. As of the date of this
         Report, the Company has completed testing and believes that all of its
         primary operating hardware and mission critical systems to be Y2K
         compliant. It is management's opinion that any remaining Y2K issues are
         not significant and should be able to be funded through normal
         operating revenue and income. The Company estimates that until the
         Company has completed implementation of the Y2K Plan, the Company
         anticipates expending an additional $165,000, which is estimated to
         include $50,000 in software, $5,000 in new hardware and $110,000 on
         other aspects of the implementation of the Y2K Plan. The anticipated
         source of funds for such expenditures is expected to be working capital
         generated from operations of the Company. However, no assurance can be
         given that the goals for the Y2K Plan can be achieved, and if achieved,
         that the amount necessary to achieve such goals will be limited to the
         amounts set forth above or that the amounts will be generated from
         operations.

         The Company has worked to develop extensive contingency plans to manage
         the Company's ongoing operations, if any systems do not function
         correctly on or after January 1, 2000. The Company has a contract with
         IBM for a "Hot Site" at IBM's Business Recovery Center ("BRC") in
         Boulder, Colorado for disaster recovery and off-site testing. The BRC
         maintains facilities, hardware and software, that is identical to the
         Company's current hardware and software configuration. The Company's
         disaster recovery specialists perform disaster recovery tests at these
         facilities every year. In addition to the Company's normal disaster
         recovery tests, the Company used the facilities both in Dallas, Texas
         and Boulder, Colorado, in November, 1998, for a combined Y2K and
         disaster recovery test. This allowed the Company to successfully test
         all core business systems in a true production environment. The Company
         has tentatively scheduled additional test time at the IBM Business
         Recovery Center in Dallas, Texas in April, 1999 for additional testing
         of its credit card system. These facilities serve as a contingency
         backup facility in several of the Company's Y2K disaster scenarios,
         including disrupted utilities and telecommunications services in the
         Abilene, Texas area. Other contingency plans include agreements with
         several suppliers for materials and support, ranging from computers and
         other hardware to software support to power generators.




                                      F-17
<PAGE>


                             COLUMBIA CAPITAL CORP.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


NOTE 14:          YEAR 2000 - CONTINUED

         Every mission-critical IT system processed by the Company has been
         fully tested and certified by its developer to meet the above criteria.
         In addition, the testing process for most of the IT systems has been
         certified by an independent third party such as the Information
         Technology Association of America (ITAA). As part of our Year 2000
         effort, we have reviewed the scope and methodology of the testing
         performed by each developer to ensure that it was inclusive of all the
         processes we perform with that product. Although we are confident each
         IT system is year 2000 compliant, we are currently testing all systems
         to ensure that they will continue to coexist and function properly in
         our environment. We are also testing with our customers and other
         entities to ensure that every ancillary system that we are using is
         also Year 2000 compliant.

         Other IT systems are licensed from third parties. These third parties
         have either assured the Company that their system is Year 2000
         compliant or identified necessary system upgrades to make their system
         Year 2000 compliant. The Company anticipates receiving the necessary
         systems upgrades and completing Year 2000 compliance testing of these
         other IT systems by March 31, 1999.

         The Year 2000 issue may also affect the Company's date-sensitive
         embedded technology, which controls systems such as the
         telecommunications systems, security systems, etc. The Company does not
         believe that the cost to modify or replace such technology to make it
         Year 2000 compliant will be material. But, if such modifications or
         replacements, if required, are not made, the Year 2000 issue could have
         a material adverse effect on the operations, financial condition and
         results of operations of the Company.

         Ultimately, the potential impact of the Year 2000 issue will depend not
         only on the corrective measures the Company undertakes, but also on the
         way in which the Year 2000 issue is addressed by governmental agencies,
         businesses and other entities that provide data to, or receive data
         from, the Company or any of the Company's subsidiaries, or whose
         financial condition or operations are important to the Company or any
         of the Company's subsidiaries, such as significant suppliers and
         customers. The Company is initiating communications with significant
         customers and vendors to evaluate the risk of their failure to be Year
         2000 compliant and to determine the extent to which the Company may be
         vulnerable to such failure. There can be no assurance that the systems
         of these third parties will be Year 2000 compliant by December 31, 1999
         or that the failure of these third parties to be Year 2000 compliant
         will not have a material adverse effect on the operations, financial
         condition and results of operation of the Company.

         The cost of IT and embedded technology systems testing and upgrades is
         not expected to be material to the Company consolidated operating
         results. The Company estimates incurring costs for Year 2000 compliance
         testing and its communications program, which will be recorded as a
         non-operating expense. The Company will capitalize and amortize the
         cost of system upgrades over future periods. The Company intends to
         fund these costs with cash from operations.

         There can be no absolute assurance that these IT systems will be Year
         2000 compliant by December 31, 1999. If any of these IT systems are not
         Year 2000 compliant by December 31, 1999, then the Year 2000 issue
         could have a material adverse effect on the operations, financial
         condition and results of operations of the Company.

                                      F-18
<PAGE>


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

         THIS REPORT, INCLUDING THE DISCLOSURES BELOW, CONTAINS CERTAIN
FORWARD-LOOKING STATEMENTS THAT INVOLVE SUBSTANTIAL RISKS AND UNCERTAINTIES.
UNLESS THE CONTEXT OTHERWISE REQUIRES, THE TERM "COMPANY" REFERS TO COLUMBIA
CAPITAL CORP. AND ITS WHOLLY-OWNED SUBSIDIARIES, FIRST INDEPENDENT COMPUTERS,
INC. ("FICI") AND FI-SCRIP, INCORPORATED, A NEVADA CORPORATION ("FI-SCRIP"),
THROUGH WHICH THE COMPANY PRINCIPALLY CONDUCTS ITS BUSINESS OPERATIONS. WHEN
USED HEREIN, THE TERMS "ANTICIPATES," "EXPECTS," "ESTIMATES," "BELIEVES" AND
SIMILAR EXPRESSIONS, AS THEY RELATE TO THE COMPANY OR ITS MANAGEMENT, ARE
INTENDED TO IDENTIFY SUCH FORWARD-LOOKING STATEMENTS. THE COMPANY'S ACTUAL
RESULTS, PERFORMANCE OR ACHIEVEMENTS MAY DIFFER MATERIALLY FROM THOSE EXPRESSED
OR IMPLIED BY SUCH FORWARD-LOOKING STATEMENTS. FACTORS THAT COULD CAUSE OR
CONTRIBUTE TO SUCH MATERIAL DIFFERENCES INCLUDE THE FACTORS DISCLOSED IN THE
"RISK FACTORS" SECTION OF THIS REPORT, WHICH READERS OF THIS REPORT SHOULD
CONSIDER CAREFULLY.

OVERVIEW OF PRESENTATION

         As of May 1, 1997, Douglas R. Baetz and Glenn M. Gallant acquired 100%
of the issued and outstanding common stock (the "FICI Common Stock") of FICI for
$1,600,000 in cash from certain unaffiliated parties. As of September 23, 1997,
the Company entered into a Stock Purchase Agreement with Messrs. Baetz and
Gallant, pursuant to which the Company issued an aggregate of 10,631,250 shares
of the Company's common stock, par value $0.001 per share (the "Common Stock")
in exchange for 100% of the issued and outstanding shares of FICI Common Stock
The Company also issued 618,750 shares of Common Stock to a third party, which
is not an affiliate of Messrs. Baetz and Gallant, for services rendered to the
Company for arranging the transactions which are the subject of the Stock
Purchase Agreement. In connection with the closing of the Stock Purchase
Agreement, FICI became the sole operating subsidiary of the Company.

         As of January 1, 1999, Messrs. Baetz and Gallant contributed all of the
common stock of Fi-Scrip to the Company for no consideration. Through such
action, Fi-Scrip became a wholly-owned subsidiary of the Company.

         The Company has included in this Report the unaudited consolidated
financial statements of the Company for the three (3) months ended March 31,
1999 and 1998, which include the consolidated balance sheets of the Company as
of March 31, 1999 (unaudited) and December 31, 1998 (audited), and the related
consolidated income statements and statements of changes in shareholders' equity
and cash flows for the three (3) month periods ended March 31, 1999 and 1998.
The consolidated income statements and statements of cash flows of the Company
for the three (3) months ended March 31, 1999 and 1998, which form a part of the
Company's consolidated financial statements for such periods, reflect the
consolidated results of operations and cash flows of the parent holding company,
FICI and Fi-Scrip for the three (3) months ended March 31, 1999 and the
consolidated results of operations and cash flows of the parent holding company
and FICI for the three (3) months ended March 31, 1998.

RECENT CHANGES IN THE BUSINESS OF THE COMPANY; CLOSURE OF BESTBANK AND RELATED
MATTERS

         On July 23, 1998, the Colorado State Banking Board ordered the closure
of BestBank of Boulder, Colorado ("BestBank") and the Federal Deposit Insurance
Corporation ("FDIC") assumed the role of receiver of BestBank. The single
largest asset of BestBank was the portfolio of credit card accounts receivable
serviced by the Company (the "Portfolio"). As of December 31, 1998, the number
of active credit card accounts serviced by the Company was 661,795, of which
622,837 were serviced by the Company pursuant to a master agreement (the "Master
Agreement") entered into as of October 1, 1997 with BestBank. For the year ended
December 31, 1998, revenue from the Portfolio accounted for approximately 83% of
the Company's total revenues. No other customers accounted for 10% or more of
the Company's total revenues.

                                       3
<PAGE>


         On November 3, 1998, the FDIC announced a sealed-bid auction for the
sale of the Portfolio. On December 24, 1998, RRI Credit Corporation ("RRICC"),
which is not affiliated with the Company, was awarded the contract to purchase
the Portfolio from the FDIC. The purchase and sale agreement between RRICC and
the FDIC, dated December 24, 1998 ("Purchase and Sale Agreement"), called for a
$1,000,000 nonrefundable deposit to be paid by RRICC and a closing date of
January 29, 1999.

         Following the closure of BestBank, the Company continued to process the
Portfolio under the terms of the Master Agreement. The Company entered into an
initial processing agreement with RRICC, on December 14, 1998, and as amended on
January 15, 1999 ("RRICC Processing Agreement"), which was conditional on
closing of the Purchase and Sale Agreement. In consideration for entering into
the RRICC Processing Agreement, the Company lent RRICC $1,000,000 at 10%
interest, which enabled RRICC to make a non-refundable deposit under the
Purchase and Sale Agreement. The loan is non-recourse to RRICC, unless the
deposit is returned by the FDIC. The Board of Directors of the Company
determined that it was in the best interests of the Company to lend this money
to RRICC in order to assist RRICC in being awarded the bid, thereby enabling the
Company to continue to be able to receive revenue from processing the Portfolio
under the RRICC Processing Agreement that otherwise could have been lost if the
FDIC sold the Portfolio to another bidder or simply liquidated the Portfolio.

         Due to circumstances discussed below, RRICC was unable to meet certain
conditions to close the Purchase and Sale Agreement by January 29, 1999. As of
that date, RRICC and FDIC agreed to extend the closing date for the Purchase and
Sale Agreement to February 22, 1999, and the Company became a party to the
Purchase and Sale Agreement. The Company agreed, as a condition to the extension
of the closing date, that during the extension period, the Company would
continue to process the Portfolio under the Master Agreement and would forego
receipt of fees and reimbursement of expenses in anticipation that the Purchase
and Sale Agreement would close by February 22, 1999, at which time the Company
would be entitled to recoup such fees and expenses, which totaled approximately
$550,000. The Board of Directors of the Company determined it would be in the
best interests of the Company to continue to process the Portfolio and to forego
receipt of fees for the limited period of time of the extension rather than the
FDIC selling the Portfolio to another bidder or liquidating the Portfolio.

         Since RRICC intended to operate the Portfolio as an ongoing business,
it was understood by all parties that RRICC would be required to enter into a
sponsorship agreement with a bank licensed to do business with VISA. Prior to
the execution of the January 29, 1999 extension agreement, facts had come into
the possession of the Company that there may have been hindrance by certain
regulators with efforts to negotiate a sponsorship agreement between RRICC and
such a bank. This hindrance had the effect of preventing RRICC from being in a
position to close the Purchase and Sale Agreement in a timely manner and, in
fact, was one of the reasons that RRICC requested the extension in the first
place. When these facts were brought to the attention of the FDIC, the FDIC
stated that it had investigated the allegations and could find no facts to
support the allegations. Notwithstanding the FDIC's denials, the parties
proceeded to execute the January 29, 1999 extension agreement, based on the
intention of RRICC and the Company to use the time to identify a new bank and to
negotiate a sponsorship agreement.

                                       4
<PAGE>


         Between January 29, 1999 and February 22, 1999, the Company learned of
further efforts by certain regulators to hinder the ability of RRICC to obtain a
sponsoring bank. This additional hindrance, in the opinion of management of the
Company, resulted in the prevention of RRICC from being able to close on the
Purchase and Sale Agreement. On February 22, 1999, RRICC notified the Company
and the FDIC that, because of such hindrance, the extension period had been an
insufficient amount of time in which to find a sponsoring bank. RRICC and the
FDIC discussed a further extension of the closing date. On February 26, 1999,
the FDIC notified the Company that negotiations with RRICC had failed and that
procedures to liquidate the Portfolio, which had already begun, would continue.
In addition, the FDIC announced that it was terminating the Master Agreement, as
of March 4, 1999.

         The effect of these events was to eliminate approximately 83% of the
Company's monthly revenues from processing, as measured during 1998, which is
anticipated to have a material adverse effect on the Company's results of
operations during the quarter ending June 30, 1999 and the year ending December
31, 1999. The inability of RRICC to close the Purchase and Sale Agreement
resulted in the loss of the $1,000,000 non-refundable deposit and the
nonrepayment of the Company's loan to RRICC. This loss resulted in the Company's
charging-off of the note receivable from RRICC in the Company's 1998 fourth
quarter and year end results of operations.

         The Company believes it may have a claim against the FDIC under a
liquidated damages provision in the Master Agreement. Under the liquidated
damages provision, any termination by the FDIC before October 1, 2002 entitles
the Company to liquidated damages equal to 80% of the average total monthly
billings under the Master Agreement for the most recent six months, multiplied
by the number of months remaining in the term. The Company has prepared an
invoice dated February 26, 1999, for liquidated damages in the amount of
$43,566,129, which was presented to the FDIC for payment upon the termination
and liquidation of the Portfolio. This invoice has not yet been paid and it is
unlikely that the FDIC will voluntarily pay this invoice. The Company is
considering taking legal action against the FDIC to collect the liquidated
damages. No assurance can be given that the Company will be successful in
pursuing such a claim for the liquidated damages.

         Management of the Company hopes the Company will be able to replace the
loss of revenue from the Master Agreement and is currently working to negotiate
new business to offset such loss. Furthermore, since February 26, 1999, the
Company has continued to provide processing services to the FDIC in connection
with the Portfolio. These services have been provided without the benefit of a
contract, but are expected to continue for several months. However, no assurance
to this effect can be given. During March, 1999, total revenues generated from
services provided to the FDIC aggregated approximately $680,000. Management
believes, however, that the Company will have to reduce current operating costs
and, possibly, seek debt financing in the near term to finance such operations
until sufficient new business has been obtained to replace the lost revenue. No
assurance can be given that the Company will be able to attract sufficient new
business or to obtain adequate new financing. If the Company does not generate
adequate revenue producing business or proceeds from financing, the Company will
have to curtail its operations significantly, which will have a material adverse
effect on the Company's financial condition.

         On November 3, 1998, Glenn M. Gallant resigned as Chairman of the Board
and Secretary of the Company and Douglas R. Baetz resigned as a director.
Messrs. Baetz and Gallant, who are also the principal shareholders of the
Company, are involved in litigation with the FDIC, unrelated to the Company. Due
to the fact that the FDIC is the Company's largest customer, Messrs. Baetz and
Gallant chose to resign from their positions with the Company, while the
litigation is pending, in order to eliminate any potential conflicts of interest
or negative effects to the Company arising out of the litigation.

                                       5
<PAGE>


         Kenneth Klotz was named Chairman of the Board of Directors and Charles
LaMontagne was named Secretary of the Company on that date.

         OPERATIONS OF FI-SCRIP. As of January 1, 1999, the principal
stockholders of the Company contributed all of the common stock of Fi-Scrip to
the Company for no consideration. Through such action, Fi-Scrip became a
wholly-owned subsidiary of the Company. Prior to such transaction, the Company
had entered into an agreement with Fi-Scrip, an affiliate of Messrs. Gallant and
Baetz, to provide certain services to the Company. Fi-Scrip markets processing
services for Automatic Teller Machines ("ATM's") transactions, debit terminal
transactions and Electronic Benefits Transfer systems ("EBT") transactions.
Fi-Scrip and its co-venturer, Norstar, Inc., of Orlando, Florida, an entity in
which Fi-Scrip has a 25% ownership interest, contract with independent sales
organizations for deployment of terminals and services.

         Fi-Scrip designs programs and tests the software that is reloaded into
ATM's and debit card point-of-sale ("POS") machines. Fi-Scrip is one of four
companies certified by Deluxe Payment Systems, an unaffiliated third party, to
process EBT transactions. EBT is a new process and method of distributing
federal entitlements, initially including food stamps, welfare and social
security payments to beneficiaries. In place of printing and issuing checks and
other financial instruments, some beneficiaries of government entitlement
programs receive a debit style card (a "QUEST Card"), which operates in the same
manner as an ATM or debit card. The beneficiary of the entitlement program uses
this federally issued card to purchase items utilizing the EBT system. The
federal government may eventually establish individual accounts, which will be
debited when a beneficiary makes a withdrawal or purchase. However, no assurance
can be given as to when or whether the federal government will establish this
process. Fi-Scrip expects that there will be substantial competition in the
provision of the service offered by Fi-Scrip. No assurance can be given that
Fi-Scrip will be successful in competing for this business. Thus, the Company
may not receive the processing business anticipated by management of the Company
to be derived from EBT transactions.

         The transactions based on this medium of exchange through Fi-Scrip and
the Company are estimated to produce a gross transaction fee of between $0.06 to
$0.09. The transaction fee is in addition to the merchant application and
statement fees. However, no assurance can be given as to the volume of
transactions that will be processed or rates at which such processing will take
place. Fi-Scrip is newly in operation in connection with the EBT business, with
approximately 737,500 in transaction volume for the three (3) months ended March
31, 1999. Fi-Scrip anticipates a significant increase in the number of
transaction throughout the remainder of 1999, but no assurance to this effect
can be given.

         According to federal government surveys, it is anticipated that by the
year 2000, 60% of the population of the United States will be receiving monthly
income issued electronically and accessible through the use of a QUEST Card.
However, no assurance to this effect can be given. The total dollar value of EBT
transactions (food stamps, aid to families with dependent children and welfare
payments) in 1999 is estimated by Fi-Scrip to be $60 billion, with an average
transaction size of approximately $23.00, or approximately 450 million
transactions per year. Fi-Scrip's target market share of total dollar volume of
EBT transactions is estimated to be $6 billion or 65 million transactions per
year) by January 1, 2000. However, no assurance can be given that there will be
this volume of transactions or that Fi-Scrip will service such a volume of
transactions.

                                       6
<PAGE>


         The Social Security System is scheduled to distribute benefits using
EBT beginning on December 31, 1999 and expects to have completed implementation
of the distribution system by January 2, 2002. The dollar value for all EBT
transactions by the Social Security System is expected to reach $470 billion
annually. However, no assurance to this effect can be given.

         Fi-Scrip has been certified by Citibank and Lockheed Martin as an EBT
third party processor, according to federally established guidelines in
twenty-five states. Fi-Scrip's EBT development plans include full certification
for six additional states as, if and when government contracts are awarded to
Lockheed Martin or Deluxe Payment Systems, both of which are unaffiliated with
the Company or Fi-Scrip, for EBT transaction processing. However, no assurance
to this effect can be given.

         AGREEMENT WITH PLATINUM-ICS, INC. On June 8, 1998, the Company entered
into an agreement with Platinum-ICS, Inc. ("Platinum") to perform data
processing and other services in connection with Platinum's credit card
portfolio. Platinum is the managing entity coordinating a group of experts for
processing, collecting, servicing and financing patient-pay accounts receivables
for the provider's participants. Platinum issues cards to the recipients of
medical care, who utilize the card to consolidate medical bills. The agreement
has an initial term of three (3) years and will automatically renew for
additional three (3) year terms, unless written notice is given by either party
no less than one hundred eighty (180) days prior to expiration of a given term.
On December 16, 1998, the Company completed the conversion of approximately
6,000 accounts for the Presbyterian Hospital at Greenville, Texas ("Greenville
Hospital"). The Company's processing charges range from $1.50 to $2.00 per
account per month, depending on the services provided. Since conversion,
Greenville Hospital has added approximately 5,900 additional accounts.

         On February 17, 1999, after review of Greenville Hospital's conversion
and preliminary results of activity, the Texas Hospital Association, which
represents approximately 410 hospitals, or approximately 83% of the hospitals,
in the State of Texas, formally endorsed the Platinum program. With
approximately 500 hospitals representing as many as 5,000,000 accounts in the
State of Texas alone, the Company's exclusive processing agreement with Platinum
could prove, over a short period of time, to be an abundant source of new
business for the Company. Upon the endorsement of Platinum's program by the
Texas Hospital Association, several major hospitals, which represent an average
of approximately 50,000 accounts each, have expressed interest in and a desire
to convert to the Platinum processing platform. As of the date of this Report,
the Company is working with these various hospitals to secure processing
contracts. However, there can be no assurance that the Company will be
successful in its attempt to secure additional contracts.

         AGREEMENT WITH GREATER NEVADA CREDIT UNION. On November 1, 1998, the
Company entered into an agreement with Greater Nevada Credit Union ("GNCU") to
perform data processing and other services in connection with GNCU's credit card
portfolio. The agreement has an initial term of five (5) years and will
automatically renew for additional three (3) year terms, unless written notice
is given by either party no less than one hundred eighty (180) days prior to
expiration of a given term. On October 30, 1998, the Company successfully
converted GNCU's current portfolio, consisting of over 8,600 credit card
accounts. The Company anticipates benefiting from the future growth of the
portfolio over the life of the agreement. However, no assurance to this effect
can be given.

                                       7
<PAGE>


RESULTS OF OPERATIONS FOR THE THREE (3) MONTHS ENDED MARCH 31, 1999 AND 1998

         Total operating revenues for the three (3) months ended March 31, 1999
increased approximately 21% to $3,007,904 from $2,495,378 for the three (3)
months ended March 31, 1998. Total operating revenues principally include: (i)
credit card processing revenues, (ii) banking and financial service revenues and
(iii) mail operations revenue. Total operating revenues during the three (3)
months ended March 31, 1999 included $27,074 in net operating revenue of
Fi-Scrip, after inner company eleminations. All of the outstanding common stock
of Fi-Scrip was contributed to the Company from its principal shareholders, as
of January 1, 1999, for no consideration. See "Operations of Fi-Scrip."

         Credit card processing revenues during the three (3) months ended March
31, 1999 increased 36% to $2,673,269 from $1,964,717 during the three (3) months
ended March 31, 1998. This increase primarily relates to the revenues associated
with the Master Agreement. The Master Agreement with Best Bank represented 84%
of the credit card revenues for the three (3) months ended March 31, 1999.

         Banking and financial service and courier revenues during the three (3)
months ended March 31, 1999 decreased to $73,842 and $950 from $228,196 and
$21,885, respectively. These sources of revenue have steadily declined since the
acquisition of Security State Bank ("SSB") by American State Bank ("ASB"), as of
August 1, 1998. ASB has been in the process of converting SSB's portfolio to an
inhouse processing system. The Company generated revenues of approximately
$75,000 per month from this account during the previous three (3) years. The
Company entered into a contract to continue the item and backroom processing
services for ASB through February 29, 1999. The Company generated revenues of
approximately $62,651 during the three (3) months ended March 31, 1999.
Management believes that anticipated increases from the Company's credit card
operations and future bank processing opportunities will replace this reduced
source of revenues. However, no assurance to this effect can be given.

         The Company has been focussing on the development of its credit card
processing services and thus did not make significant marketing efforts to
develop the banking and financial services business segment. However, the
Company's future business development plans include an effort to expand this
line of business by targeting banks and financial institutions based on the
increased capacity of the Company's equipment and hardware in connection with
the upgraded lease with IBM and the installation of the Kirchman Dimension 3000
banking software. No assurances can be given that such efforts will result in
increased revenues to the Company. See "Year 2000 Compliance Issues."

         Revenues from Pride Refining, Inc. ("Pride") decreased to $84,000 for
the three (3) months ended March 31, 1999 from $95,000 for the three (3) months
ended March 31, 1998. This revenue decrease was due to a decision of the
management of Pride to take its computer processing activities in-house. This
removal of processing from the Company to Pride is being converted in stages and
should be completed by the summer of 1999. The loss of the Pride revenue is not
anticipated to have a material adverse effect on total revenue for fiscal year
1999. However, no assurance to this effect can be given.

         Total operating expenses during the three (3) months ended March 31,
1999 increased 52% to $2,821,594 from $1,851,541 during the three (3) months
ended March 31, 1998. Total operating expenses principally include: (i) cost of
salaries and employee benefits, (ii) equipment and software expenses, (iii) cost
of office supplies and services, (iv) rental and facilities maintenance
expenses, (v) depreciation and amortization expenses, (vi) professional and
outside services, and (vii) other operating expenses, as follows:

                                       8
<PAGE>


         Cost of salaries and employee benefits during the three (3) months
ended March 31, 1999 increased 37% to $920,183 from $671,283 during the three
(3) months ended March 31, 1998. This increase primarily resulted from an
increase of approximately 10 full time employees on average for the three (3)
months ended March 31, 1999, as compared to the three (3) months ended March 31,
1998.

         Equipment and software lease expenses during the three (3) months ended
March 31, 1999 increased 53% to $598,521 from $390,449 during the three (3)
months ended March 31, 1998. This increase primarily related to new software
leases and a high speed laser printer lease.

         Cost of computer and office supplies during the three (3) months ended
March 31, 1999 decreased 25% to $95,787 from $126,892 during the three (3)
months ended March 31, 1998. This decrease related to the Company's attempt to
cut its cost of supplies and inventory.

         Facilities rent and repair and maintenance expenses during the three
(3) months ended March 31, 1999 decreased 1% to $238,303 from $240,074 during
the three (3) months ended March 31, 1998. This decrease related to the
termination of the Company's office lease in Florida in December, 1998.

         In addition, depreciation and amortization expenses during the three
(3) months ended March 31, 1999 increased 175% to $101,849 from $44,753 during
the three (3) months ended March 31, 1998. The increase related to the
acquisition and upgrade of the Company's computer and software equipment
throughout 1998.

         Telephone expenses during the three (3) months ended March 31, 1999
decreased 49% to $78,934 from $155,840 primarily related to the termination of
the BestBank Portfolio and the resulting decline in customer service calls
handled by the Company.

         Professional and outside services expenses during the three (3) months
ended March 31, 1999 increased 169% to $332,907 from $123,843 during the three
(3) months ended March 31, 1998. The increase related primarily to increased
legal fees pertaining to the termination of the Master Agreement and the
unsuccessful attempt to acquire the BestBank Portfolio.

         Other operating expenses during the three (3) months ended March 31,
1999 increased 413% to $432,635 from $84,353 during the three (3) months ended
March 31, 1998. The increase is primarily related to $165,941 in bad debt
expense and $105,384 in marketing expense recorded in the three (3) months ended
March 31, 1999, as compared to none in the three (3) months ended March 31,
1998. Additionally, other operating expenses included $64,466 relating to
Fi-Scrip's operations for the three (3) months ended March 31, 1999.

         Other revenues and expenses resulted in total other expenses of $9,851
during the three (3) months ended March 31, 1999, as compared to total other
expenses of $37,062 during the three (3) months ended March 31, 1998. This
decrease in expenses between the respective periods resulted from interest
income of $10,421 from certain certificates of deposit during the three (3)
months ended March 31, 1999, as compared to $8,876 during the three (3) months
ended March 31, 1998, offset by a decrease of interest expense of $20,272 during
the three (3) months ended March 31, 1999 from $45,938 during the three (3)
months ended March 31, 1998, primarily relating to the line of credit (the "Line
of Credit") provided by Century Financial Group, Inc. ("Century"), an affiliate
of Messrs. Baetz and Gallant. See "Closure of BestBank and Related Matters."

                                       9
<PAGE>


         As a result of the foregoing, the Company generated net income of
$107,972 during the three (3) months ended March 31, 1999, as compared to
$402,171 during the three (3) months ended March 31, 1998. The Company generated
income from operations of $186,310 during the three (3) months ended March 31,
1999, as compared to $643,837 during the three (3) months ended March 31, 1998.
This decrease in income from operations primarily resulted from decreased
revenue related to the BestBank Portfolio. The Company's proposed business plan
contemplates the future growth of revenues in connection with the Company's
expansion strategy. There can be no assurance that the Company's expansion
strategy will result in continued growth of demand for the Company's services or
increased revenues or profitability. See "Liquidity and Capital Resources."

LIQUIDITY AND CAPITAL RESOURCES

         At March 31, 1999, the ratio of current assets to current liabilities
was 1.11 to 1 as compared to 1.47 to 1 at December 31, 1998.

         The Company's cash flow needs for the quarter ended March 31, 1999 were
primarily provided from operations. The Company's cash flow needs for the
quarter ended March 31, 1998 were provided from operations. At March 31, 1999, a
$435,942 unallocated reserve was carried by the Company for bad debts related to
charge-offs in connection with the BestBank Portfolio. At March 31, 1999,
prepaid expenses and other assets were $506,962 and are anticipated to be
expensed as used in the future. Net property and equipment was $1,513,924 at
March 31, 1999. There were no major capital additions during the three (3)
months ended March 31, 1999. On April 2, 1998, the Company obtained an interim
construction loan from ASB in the principal amount of $160,000 related to the
purchase and construction of a credit card production facility. On August 1,
1998, the interim loan was converted to a note payable on August 1, 2001. The
note is secured by the production facility building, and bears interest at the
prime rate plus 1%. As of March 31, 1999, the principal outstanding balance on
the note was $150,278.

         As of March 4, 1999, the FDIC announced that it was terminating the
Master Agreement with BestBank. The effect of these events was be to eliminate
approximately 83% of the Company's monthly revenues from processing, as measured
during 1998, which is anticipated to have a material adverse effect on the
Company's results of operations during the quarter ending June 30, 1999 and the
year ending December 31, 1999. The inability of RRICC to close the Purchase and
Sale Agreement resulted in the loss of the $1,000,000 non-refundable deposit and
the non-repayment of the Company's loan to RRICC. This loss resulted in the
Company's charging-off of the note receivable from RRICC in the Company's 1998
fourth quarter and year end results of operations.

         Management of the Company hopes the Company will be able to replace the
loss of revenue from the Master Agreement and is currently working to negotiate
new business to offset such loss. Furthermore, since February 26, 1999, the
Company has continued to provide processing revenues to the FDIC in connection
with the Portfolio. These services have been provided without the benefit of a
contract, but are expected to continue for several months. However, no assurance
to this effect can be given. During March, 1999, total revenues generated from
services provided to the FDIC aggregated approximately $680,000. Management
believes that the Company will have to reduce current operating costs and,
possibly, seek debt or equity financing in the near term to assist in financing
the Company's operations until sufficient new business has been obtained to
replace the lost revenue. No assurance can be given that the Company will be
able to attract sufficient new business or to obtain adequate new financing. If
the Company does not generate adequate revenue producing business or proceeds
from financing, the Company will have to curtail its operations significantly,
which will have a material adverse effect on the Company's financial condition.

         Management of the Company believes that the ability of the Company to
continue as a going concern is dependent on its ability to adjust its operations
through the implementation of a restructuring plan. The Company is currently
developing a plan to reduce expenses and secure replacement processing
contracts, as follows:

                                       10
<PAGE>

               (i)    The Company has implemented a plan for the reduction of
                      fixed operating costs, including restructuring and/or
                      renegotiating certain operating lease agreements. This
                      reduction in fixed operating costs will be implemented in
                      phases as dictated by the economics of the Company's
                      future operations.

               (ii)   The Company is currently working with approximately
                      seventeen (17) different entities, all unaffiliated with
                      the Company, to secure processing contracts, each
                      representing as little as $30,000 and as much as
                      $2,000,000 in additional processing revenue per year.
                      Letters of intent and contracts have been secured for
                      replacement processing with revenue estimated to be
                      approximately $2,500,000 in the year ending December 31,
                      1999. However, there can be no assurances to this effect.
                      Additionally, revenue from processing of the BestBank
                      Portfolio managed by the FDIC amounted to $2,141,213 for
                      the three months ended March 31, 1999. The FDIC has
                      indicated that the processing will continue in the near
                      term. The Company expects to continue processing for the
                      FDIC through at least June 30, 1999.

               (iii)  The Company has developed and integrated a marketing plan
                      for attracting new business, which includes the signing of
                      a contract with one of its major software suppliers,
                      creating an alliance between the two entities for the
                      referral of new business. Additionally, the Company plans
                      to market its Year 2000 preparedness, in anticipation
                      that, as the new millennium draws closer, the Company's
                      successful Year 2000 preparation will enable it to attract
                      new business.

               (iv)   At March 31, 1999, the Company had cash balances in excess
                      of $800,000, which the Company believes will be sufficient
                      to maintain operations in the near term.

         Since September, 1997, Century, an affiliate of Messrs. Baetz and
Gallant, has extended to the Company a Line of Credit. Since October 31, 1998,
the aggregate maximum amount of available credit has been $700,000. As of March
31, 1999, the principal outstanding obligation to Century on the Line of Credit
was $700,000. Century is not obligated to make advances to the Company under the
Line of Credit. In addition, the Company owes the principal amount of $100,000
to Century relating to funds advanced to the Company in connection with the
Purchase and Sale Agreement.

         Fi-Scrip has extended an operating line of credit (the "Fi-Scrip Line
of Credit") through Century. The Fi-Scrip Line of Credit, dated May 1, 1998,
provides Fi-Scrip with a maximum operating line of credit of $250,000. Advances
on the Fi-Scrip Line of Credit, not to exceed the maximum limit, are made at the
discretion of Fi-Scrip's management. The promissory note related to the Fi-Scrip
Line of Credit bears interest at the rate of ten percent (10%) per annum. Under
the terms of the promissory note, Fi-Scrip pays interest on a monthly basis,
with the unpaid principal due on demand. The outstanding balance on the Fi-Scrip
Line of Credit, as of March 31, 1999, was $175,954.

         Cash and cash equivalents were $1,334,210 as of March 31, 1999, as
compared to $268,400 as of December 31, 1998. This increase was primarily
attributable to the acquisition of Fi-Scrip on January 1, 1999.

         As of March 31, 1999 and December 31, 1998, the Company's long-term
borrowings were $138,661 and $143,182, respectively. Long-term borrowings at
March 31, 1999 consisted of the note payable of $150,278 to ASB, less the
current portion of the note payable.

         As of March 31, 1999, the Company had short-term borrowings in the
aggregate amount of $975,954, as compared to $700,000 at December 31, 1998. This
increase was primarily due to the acquisition of Fi-Scrip.

                                       11
<PAGE>

         In October, 1997, the Company entered into a 36-month equipment lease
with IBM related to the Company's credit card processing operations. The Company
upgraded the equipment lease in March, 1998 to provide for continued increases
in the Company's processing volume and efficiencies, and expansion of business
operations. The Company financed the lease agreement by the pledge of
certificates of deposit in the aggregate amount of $401,000.

         The certificates of deposit are for one-year terms and are
automatically renewable for an additional year. The certificates of deposit bear
varying rates of interest based on the date of the establishment of the
certificates of deposit.

         Net cash provided by operating activities was $1,245,851 and $937,825
for the three (3) months ended March 31, 1999 and 1998, respectively. Net cash
provided by operations during the three (3) months ended March 31, 1999
primarily consisted of net income from operations and increases in accruals and
accounts payable and deferred income taxes, and depreciation and amortization,
along with decreases in accounts receivable and prepaid expenses and other
assets. Net cash provided by operations during the three (3) months ended March
31, 1998 primarily consisted of net income from operations and increases in
accruals and accounts payable and deferred income taxes, and depreciation and
amortization, offset by increases in accounts receivable and prepaid expenses
and other assets.

         Net cash used in investing activities was $100,654 and $398,440 for the
three (3) month periods ended March 31, 1999 and 1998, respectively. In the
three (3) months ended March 31, 1999, the Company utilized $100,654 to purchase
certain fixed assets. In the three (3) months ended March 31, 1998, the Company
utilized $98,440 to purchase certain fixed assets and $300,000 to invest in
certain interest bearing deposits.

         Net cash used in financing activities was $79,387 and $244,418 for the
three (3) month periods ended March 31, 1999 and 1998, respectively. In the
three (3) months ended March 31, 1999, the Company received proceeds of
$271,655, net of payments, from the Line of Credit and $17,000 from the exercise
of stock options by a former consultant, which was offset by the amount of
$368,042 which represents the net value of the capital contribution of Fi-Scrip
to the Company. In the three (3) months ended March 31, 1998, the Company made
payments of $400,000 on the Line of Credit, which was offset by proceeds of
$155,582 from the maturity of two (2) certificates of deposit.

         The Company's business plan contemplates continued expansion of
operations from such increased operational capacity and to acquire additional
and upgraded equipment and software based on future perceived needs by
management. There can be no assurances that the Company will be able to generate
business sources to utilize existing operational capacity or that the Company
will generate sufficient positive cash flow or develop additional sources of
financing to continue the Company's business plan of growth and expansion.

YEAR 2000 DILEMMA AND COMPLIANCE

         One of the major challenges facing the consumer financial data
processing services industry is the problem of Year 2000 ("Y2K") compliance. The
Y2K dilemma deals with the underlying fact that many existing computer programs
use only two digits to identify a year in the date field. These programs were
designed and developed without considering the impact of the upcoming change in
the 21st century. If not corrected, many computer applications could fail or
create erroneous results by January 1, 2000. The Y2K dilemma affects virtually
all companies and organizations, including the Company.

                                       12
<PAGE>

         Over the past few years, the Company has attempted to actively address
the Y2K dilemma. The Company has had in place a project plan (the "Y2K Plan")
and project team reviewing all hardware and software, as necessary. The Company
anticipates its total investment in Y2K compliance will reach approximately
$445,000. The Company has already made a significant portion of the investment
needed to address the Y2K dilemma. As of the date of this Report, the cost to:
(i) acquire, install and implement these new software systems has been an
aggregate of approximately $247,000; and (ii) acquire new hardware has been
approximately $8,000. The Company has also instituted policies and procedures
that require all new hardware and software acquired or licensed by the Company
to be Y2K compliant. As of the date of this Report, the Company has completed
testing and believes that all of its primary operating hardware and mission
critical systems to be Y2K compliant. It is management's opinion that any
remaining Y2K issues are not significant and should be able to be funded through
normal operating revenue and income. The Company estimates that until the
Company has completed implementation of the Y2K Plan, the Company anticipates
expending an additional $165,000, which is estimated to include $50,000 in
software, $5,000 in new hardware and $110,000 on other aspects of the
implementation of the Y2K Plan. The anticipated source of funds for such
expenditures is expected to be working capital generated from operations of the
Company. However, no assurance can be given that the goals for the Y2K Plan can
be achieved, and if achieved, that the amount necessary to achieve such goals
will be limited to the amounts set forth above or that the amounts will be
generated from operations.

         To address the Y2K problem, the Company has installed newly acquired
banking software systems, licensed from Kirchman, an unaffiliated third party,
that management believes has provided a solution to the Company's Y2K compliance
issues. The Company's new banking software is certified by Kirchman as fully Y2K
compliant. These software upgrades are system and application functional
upgrades. However, no assurance can be given that all Y2K issues have been
solved by the acquisition of this software.

         The Company has worked to develop extensive contingency plans to manage
the Company's ongoing operations, if any systems do not function correctly on or
after January 1, 2000. The Company has a contract with IBM for a "Hot Site" at
IBM's Business Recovery Center ("BRC") in Boulder, Colorado for disaster
recovery and off-site testing. The BRC maintains facilities, hardware and
software, that is identical to the Company's current hardware and software
configuration. The Company's disaster recovery specialists perform disaster
recovery tests at these facilities every year. In addition to the Company's
normal disaster recovery tests, the Company used the facilities both in Dallas,
Texas and Boulder, Colorado, in November, 1998, for a combined Y2K and disaster
recovery test. This allowed the Company to successfully test all core business
systems in a true production environment. The Company again used the IBM
Business Recovery Center in Dallas, Texas on April 6, 1999 for additional
testing of its credit card system. These facilities serve as a contingency
backup facility in several of the Company's Y2K disaster scenarios, including
disrupted utilities and telecommunications services in the Abilene, Texas area.
Other contingency plans include agreements with several suppliers for materials
and support, ranging from computers and other hardware to software support to
power generators.

         Management believes that the Company's practice of equipment and
software upgrades provides existing and potential customers with a commercially
attractive means of addressing their Y2K compliance problems through outsourcing
these services to the Company. The Company's new banking software is certified
and fully Y2K compliant and, therefore, a solution for banks facing this
processing crisis. However, no assurance to this effect can be given. The
Company has also set up a guest machine, or guest operating system, on its
mainframe computer, using "date rolling software." The guest operating system
utilizes its own dedicated hardware and files, without having any impact on the
true production environment. The guest operating system processes the same
operations as the true production system, only at an advanced date. By utilizing
the guest system, the Company is able to identify potential "day-date" related
system failures far enough in advance to address and correct any date related
problems on the true production system.

                                       13
<PAGE>

         Many prospective and existing customers which face the Y2K dilemma must
comply with numerous required regulatory mandates, including, regulatory exams
and audits supervised by the FDIC, the Office of the Comptroller of the Currency
of the United States (the "OCC"), and state regulatory agencies, external audits
by independent third party auditors, proper disaster recovery planning and
testing, installation of proper procedures and controls, insurance that key
personnel are properly backed up so that reliance on key individuals for
services are not interrupted and a host of other issues. The removal of these
overhead burdens from the Company's existing and prospective customers is a
significant marketing opportunity for the Company.

RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS

         The Financial Accounting Standards Board ("FASB") recently issued
Statement of Financial Accounting Standards ("SFAS") No. 133, "Accounting for
Derivative Instruments and Hedging Activities," which is required to be adopted
as of December 31, 1999. SFAS No. 133 establishes standards for reporting
financial and descriptive information regarding derivatives and hedging
activity. Since the Company does not have any derivative instruments, this
standard will have no impact on the Company's financial position or results of
operations.

         The American Institute of Certified Public Accountants ("AICPA")
recently issued Statement of Position 98-1, "Accounting for the Cost of Computer
Software Developed or Obtained for Internal Use," which provides guidance
concerning recognition and measurement of costs associated with developing or
acquiring software for internal use. In 1998, the AICPA also issued Statement of
Position 98-5, "Reporting on the Costs of Start-Up Activities," which provides
guidance concerning the costs of start-up activities. For accounting purposes,
start-up activities are defined as one time activities related to opening a new
facility, introducing a new product or service, conducting business in a new
territory or with a new class of customer, initiating a new process in an
existing facility, or commencing some new operation. Both pronouncements are
effective for financial statements of years beginning after December 15, 1998,
with earlier adoption encouraged. Management does not believe the adoption of
these pronouncements will have a material impact on the financial statements.

         The Financial Accounting Standards Board ("FASB") issued Statement of
Financial Accounting Standards No. 128 (SFAS No. 128), "Earnings Per Share,"
which is effective for financial statements issued for periods ending after
December 31, 1997. SFAS No. 128 requires public companies to present specific
disclosure of basic earnings per share and, if applicable, diluted earnings per
share, instead of primary and fully diluted earnings per share based on the
dilutive impacts of outstanding stock options or other convertible securities.
There was no material difference between reported earnings per share and diluted
earnings per share for the periods presented in the Company's financial
statements.

         FASB recently issued SFAS No. 130, "Reporting Comprehensive Income,"
which is required to be adopted for financial statements issued for periods
beginning after December 15, 1997. This statement establishes standards for the
reporting and display of comprehensive income and its components. Comprehensive
income is defined as revenue, expenses, gains and losses that, under generally
accepted accounting principles, are included in comprehensive income, but
excluded from net income (such as extraordinary and non-recurring gains and
losses). SFAS No. 130 requires that items of comprehensive income be classified
separately in the financial statements. SFAS No. 130 also requires that the
accumulated balance of comprehensive income items be reported separately from
retained earnings and paid-in capital in the equity section of the balance
sheet. SFAS No. 130 is not anticipated to have a material effect on the
Company's financial position or results of operations.

                                       14
<PAGE>

         FASB recently issued SFAS No. 131, "Disclosures about Segments of an
Enterprise and Related Information," which is required to be adopted for
financial statements issued for periods beginning after December 15, 1997. SFAS
No. 131 is not required to be applied to interim financial statements in the
initial year of application. SFAS No. 131 requires that financial and
descriptive information about operating segments be reported. Generally,
financial information will be required to be reported on the basis that it is
used internally for evaluating segment performance and deciding how to allocate
resources to segments. SFAS No. 131 is not anticipated to have any effect on the
Company's financial position or results of operations.

                           PART II - OTHER INFORMATION


ITEM 2.  CHANGES IN SECURITIES.

         The Company did not issue any unregistered securities during the
quarter ended March 31, 1999.

ITEM 4.  SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.

         The Company's stockholders did not adopt any resolutions at a meeting
or by written consent during the quarter ended March 31, 1999.

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K.

         (a)  Exhibits
              --------

         27.  Financial Data Schedule

         (b)  Reports on Form 8-K
              -------------------

          1.  Form 8-K dated February 1, 1999
          2.  Form 8-K dated February 26, 1999


                                       15
<PAGE>

                       DOCUMENTS INCORPORATED BY REFERENCE

         The Company is currently subject to the reporting requirements of the
Securities Exchange Act of 1934, as amended (the "Exchange Act") and in
accordance therewith files reports, proxy statements and other information with
the Commission. Such reports, proxy statements and other information may be
inspected and copied at the public reference facilities of the Commission at
Judiciary Plaza, 450 Fifth Street, N.W., Washington D.C. 20549; at its New York
Regional Office, Suite 1300, 7 World Trade Center, New York, New York, 10048;
and at its Chicago Regional Office, 500 West Madison Street, Suite 1400,
Chicago, Illinois 60661, and copies of such materials can be obtained from the
Public Reference Section of the Commission at its principal office in
Washington, D.C., at prescribed rates. In addition, such materials may be
accessed electronically at the Commission's site on the World Wide Web, located
at http://www.sec.gov.

                                       16
<PAGE>


                                   SIGNATURES

         In accordance with the requirements of the Securities and Exchange Act
of 1934, the registrant caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.

                                         COLUMBIA CAPITAL CORP.


         Dated: May 12, 1999             By:  /s/ Kenneth A. Klotz              
                                              ----------------------------------
                                              Kenneth A. Klotz
                                              President


         Dated: May 12, 1999             By:  /s/ Charles La Montagne           
                                              ----------------------------------
                                              Charles La Montagne
                                              Chief Financial Officer



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