SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 10-Q

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

                For the quarterly period ended September 30, 1998

                                       OR

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

        For the transition period from _______________ to _______________

                         Commission File Number: 1-7675

                        AUDITS & SURVEYS WORLDWIDE, INC.
                        -------------------------------
             (Exact name of registrant as specified in its charter)

         Delaware                                  13-1809586
         --------                                  ----------
(State or other jurisdiction of             (I.R.S. Employer Identification No.)
incorporation or organization)

650 Avenue of the Americas, New York, New York                     10011   
----------------------------------------------                  ------------
         (Address of principal executive offices)               (Zip Code)

Registrant's telephone number, including area code: (212) 627-9700

         Indicate by check mark whether the registrant (l) has filed all reports
required to be filed by Section 13 or 15(d) of the  Securities  Exchange  Act of
1934  during  the  preceding  12 months  (or for such  shorter  period  that the
registrant was required to file such reports),  and (2) has been subject to such
filing requirements for the past 90 days.

                                 Yes  X      No 
                                     --           --

         The number of shares  outstanding  of each of the  issuer's  classes of
common stock, as of November 12 , 1998 was:

           Class                                               Number of Shares
           -----                                               ----------------
Common Stock, $0.01 par value                                      13,116,136

<PAGE>


                        AUDITS & SURVEYS WORLDWIDE, INC.


                                  INDEX


                                                                           Page
                                                                           ----

Part I.  FINANCIAL INFORMATION

Item 1.  Financial Statements.

         Condensed Consolidated Balance Sheets-
            September 30, 1998 and December 31, 1997                        3-4

         Condensed Consolidated Statements of Income-
            Three Months and Nine Months ended September 30, 1998 and 1997    5

         Condensed Consolidated Statements of Cash Flows-
            Nine Months ended September 30, 1998 and 1997                     6

         Condensed Consolidated Statement of Stockholders' Equity-
            September 30, 1998                                                7

         Notes to Condensed Consolidated Financial Statements                 8

Item 2.  Management's Discussion and Analysis of Financial Condition
         and Results of Operations.                                        9-12


Part II. OTHER INFORMATION

Item 6.  Exhibits and Reports on Form 8-K.                                   13

         Signatures                                                          14



<PAGE>


PART I.  FINANCIAL INFORMATION
Item 1.     Financial Statements
<TABLE>
<CAPTION>

AUDITS & SURVEYS WORLDWIDE, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
--------------------------------------------------------------------------------
(Dollar Amounts in Thousands Except for Share Data)


                                                                         Sept. 30, 1998             Dec. 31, 1997
                                                                         --------------             -------------
                                                                           (Unaudited)

<S>                                                                      <C>                       <C>        
ASSETS

CURRENT ASSETS:
       Cash                                                              $       849               $     1,524
       Accounts receivable:
          Billed                                                               7,587                     9,274
          Unbilled                                                             4,679                     6,114
       Prepaid expenses and inventories                                        1,349                     1,317
       Deferred income taxes                                                     479                       479
       Other current assets                                                      734                       563
                                                                          ----------                   -------

          Total current assets                                                15,677                    19,271
                                                                          ----------                    ------

PROPERTY AND EQUIPMENT, NET                                                    3,539                     3,579

PREPAID PENSION COSTS                                                          1,142                     1,142

DEFERRED INCOME TAXES                                                          2,230                     2,406

OTHER ASSETS                                                                   2,305                     2,057
                                                                          ----------                ----------

TOTAL ASSETS                                                             $    24,893               $    28,455
                                                                         ===========               ===========


</TABLE>

           See notes to condensed consolidated financial statements.

                                       3
<PAGE>

<TABLE>
<CAPTION>

AUDITS & SURVEYS WORLDWIDE, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
--------------------------------------------------------------------------------
(Dollar amounts in thousands except for share data)



                                                                         Sept. 30, 1998            Dec. 31,  1997
                                                                         --------------            --------------
                                                                           (Unaudited)

<S>                                                                       <C>                       <C>       
LIABILITIES AND STOCKHOLDERS' EQUITY

CURRENT LIABILITIES:
       Notes payable bank                                                 $    2,500                $    1,500
       Accounts payable and accrued expenses                                   3,902                     6,148
       Accrued payroll and bonuses                                             1,064                     2,197
       Client billings in excess of revenues earned                            3,636                     3,897
       Income taxes payable                                                        -                       133
       Current portion of long-term debt                                         619                       617
       Current portion of capital lease obligations                              115                        80
                                                                          ----------                ----------

          Total current liabilities                                           11,836                    14,572
                                                                          ----------                ----------

LONG-TERM DEBT-Net of current portion                                          1,238                     1,702
CAPITAL LEASE OBLIGATIONS-net of current portion                                 187                       230
OTHER LIABILITIES                                                              1,784                     2,043
                                                                          ----------                ----------

          Total liabilities                                                   15,045                    18,547
                                                                          ----------                ----------

MINORITY INTERESTS                                                                78                       102


STOCKHOLDERS' EQUITY:
       Preferred stock, $1.00 par value, 1,000,000 shares
          authorized and unissued                                                  -                         -
       Common stock, $.01 par value, 30,000,000 shares
          authorized; 13,116,136 shares issued at
          September 30, 1998 and 13,111,137 shares issued
          at December 31, 1997                                                   131                       131
       Additional paid-in capital                                              4,423                     4,413
       Retained earnings                                                       5,337                     5,366
       Accumulated other comprehensive income                                   (121)                     (104)
                                                                           ----------                ----------

          Total stockholders' equity                                           9,770                     9,806
                                                                           ---------                ----------

TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY                                $   24,893                  $ 28,455
                                                                          ==========                  ========
</TABLE>

           See notes to condensed consolidated financial statements.

                                       4
<PAGE>
<TABLE>
<CAPTION>


AUDITS & SURVEYS WORLDWIDE, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
--------------------------------------------------------------------------------
(Dollar amounts in thousands except for share and per share data)

                                                       Three Months Ended Sept. 30,             Nine Months Ended Sept. 30,
                                                        1998                1997                   1998              1997
                                                        ----                ----                   ----              ---- 
<S>                                            <C>               <C>                      <C>                   <C>             
REVENUES                                          $    12,701       $      16,970            $        40,438        $   49,903
                                                --------------      --------------            ---------------     -------------   
                                                                                                                                
COSTS AND EXPENSES:                                                                                                             
     Direct costs                                       5,942               8,320                     19,270            24,342  
     Selling, general and                                                                                                       
        administrative expense                          7,171               7,387                     21,588            21,424  
     Incentive bonuses                                    189                 453                        470             1,405  
     Interest expense                                      98                 104                        280               240  
     Other expense (income) - net                           4                  73                        (65)              116  
     Share of income in unconsolidated                                                                                          
        joint venture                                    (239)                  -                       (615)                -  
     Minority interests in                                                                                                      
        consolidated subsidiaries                         (78)                  -                       (332)                -  
                                               ---------------     --------------            ---------------     -------------  
                                                                                                                                
TOTAL COSTS AND EXPENSES                               13,087              16,337                     40,596            47,527  
                                               ---------------     --------------            ---------------     -------------  
                                                                                                                                
INCOME (LOSS) BEFORE                                                                                                            
    PROVISION (BENEFIT) FOR                              (386)                633                       (158)            2,376  
    INCOME TAXES                                                                                                                
                                                                                                                                
PROVISION (BENEFIT) FOR                                                                                                         
    INCOME TAXES                                         (158)                259                       (129)              974  
                                               --------------      --------------            ---------------     -------------  
                                                                                                                                
NET INCOME (LOSS)                              $         (228)      $         374            $           (29)     $      1,402  
                                               ===============     ==============            ===============     =============  
                                                                                                                                
BASIC EARNINGS (LOSS) PER                                                                                                       
    COMMON SHARE                               $         (.02)      $         .03            $             -     $         .11  
                                               ==============      ==============            ===============     =============  
                                                                                                                                
WEIGHTED AVERAGE COMMON                                                                                                         
    SHARES OUTSTANDING                             13,116,136          13,106,551                 13,113,646        13,103,095  
                                               ==============      ==============            ===============     =============  
                                                                                                                                
DILUTED EARNINGS (LOSS)                                                                                                         
    PER COMMON SHARE                           $         (.02)     $          .03            $             -     $         .11  
                                               ==============      ==============            ===============     =============  
                                                                                                                                
WEIGHTED AVERAGE COMMON                                                                                                         
   SHARES OUTSTANDING AND                                                                                                       
   DILUTIVE STOCK OPTIONS                          13,116,136          13,269,615                 13,113,646        13,265,371  
                                               ==============      ==============            ===============     =============  
</TABLE>
                                                                             
See  notes to  condensed  consolidated  financial  statements.             
                                                                             
                                        5
<PAGE>
AUDITS & SURVEYS WORLDWIDE, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
--------------------------------------------------------------------------------
(Dollar amounts in thousands)
<TABLE>
<CAPTION>
                                                                                Nine Months Ended Sept. 30,
                                                                                --------------------------
                                                                               1998                     1997
                                                                               ----                     ----


<S>                                                                           <C>                   <C>   
 CASH FLOW FROM OPERATING ACTIVITIES:
       Net income (loss)                                                         (29)                 $1,402
       Adjustments to reconcile net income to net cash
          (used in) provided by operating activities:
          Depreciation and amortization                                          861                     765
          Deferred income taxes                                                  176                     177
          Amortization of deferred charges                                       200                     288
          Share of income in unconsolidated joint venture                       (615)                      -
          Minority interest in consolidated subsidiary                           (24)                      -
          Accrued rent                                                          (169)                    144
          Changes in operating assets and liabilities:
              Accounts receivable                                               3,122                 (4,768)
              Prepaid expenses and inventories                                   (32)                   (436)
              Other current assets                                              (171)                    (18)
              Other assets                                                      (168)                    263
              Income taxes payable                                              (133)                   (537)
              Accounts payable and accrued expenses                           (2,246)                    707
              Accrued payroll and bonuses                                     (1,133)                   (989)
              Client  billings in excess of revenues earned                     (261)                    (23)
              Other                                                              (91)                   (181)
                                                                           ----------               ---------
                           Net cash used in operating activities                (377)                 (3,206)
                                                                           ----------               ---------

CASH FLOWS FROM INVESTING ACTIVITIES:
       Purchases of property and equipment                                      (785)                   (806)
                                                                           ----------               ---------
                           Net cash used in investing activities                (785)                   (806)
                                                                           ----------               ---------

CASH FLOWS FROM FINANCING ACTIVITIES:
       Proceeds from bank borrowings                                           1,000                   2,500
       Dividends to stockholders                                                   -                    (655)
       Principal payments of debt                                               (462)                   (457)
       Principal payments of capital lease obligations                           (44)                    (50)
       Issuance of common stock and directors'  options                           10                      33  
                                                                           ----------                ---------
                           Net cash provided by financing activities             504                   1,371
                                                                           ----------                ---------

EFFECT OF EXCHANGE RATE DIFFERENCES ON CASH                                      (17)                   (114)
                                                                           ----------                ---------

NET (DECREASE) IN CASH                                                          (675)                 (2,755)

CASH, BEGINNING OF PERIOD                                                      1,524                   3,827
                                                                           ----------               ---------

CASH ,  END OF  PERIOD                                                    $      849              $    1,072
                                                                           ==========               =========

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
       Cash paid during the period for:
                                       Interest                           $      297              $      234
                                                                           ==========               ==========

                                       Income taxes                       $      532              $    1,302
                                                                           ==========               ==========

SUPPLEMENTAL DISCLOSURE OF NON CASH
INVESTING AND FINANCING ACTIVITIES:
       Financing of capital improvements                                  $       36              $      430
                                                                          ==========               ==========

       Contribution from minority interest in consolidated joint venture  $      308              $        -
                                                                          ==========               ==========
</TABLE>
          See notes to condensed consolidated financial statements.

                                       6
<PAGE>

<TABLE>
<CAPTION>

AUDITS & SURVEYS WORLDWIDE, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY (UNAUDITED)

--------------------------------------------------------------------------------
(Dollar amounts in thousands)




                                                                                         ACCUMULATED  
                                                           ADDITIONAL                       OTHER
                                COMMON        STOCK          PAID-IN       RETAINED     COMPREHENSIVE             COMPREHENSIVE
                                SHARES       AMOUNT          CAPITAL       EARNINGS        INCOME      TOTAL       INCOME  (LOSS)
                                ------       ------        ---------       --------     -------------  -----      --------------


<S>                       <C>               <C>           <C>             <C>            <C>        <C>         <C>
BALANCE
DECEMBER 31, 1997            13,111,137        $131          $4,413          $5,366         $(104)     $9,806

    Net Income (Loss)                                                           (29)                      (29)      $        (29)

    Exercise of stock option      4,999                          10                                        10

    Foreign Currency
      Translation Adjustment                                                                  (17)        (17)               (17)
                                                                                                                    ------------
    Comprehensive Loss                                                                                              $        (46)
                                                                                                                    ============
                             --------------------------------------------------------------------------------       


BALANCE
September 30, 1998            13,116,136       $131          $4,423          $5,337         $(121)     $9,770
                             ================================================================================
</TABLE>




            See notes to condensed consolidated financial statements.

                                       7

<PAGE>

                AUDITS & SURVEYS WORLDWIDE, INC. AND SUBSIDIARIES
              NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

1.       BASIS OF PRESENTATION

The  accompanying   condensed  consolidated  financial  statements  include  the
accounts of Audits & Surveys Worldwide,  Inc. (the "Company"),  and its majority
owned  subsidiaries,  Audits & Surveys Europe, Ltd. ("ASE") and ASW-KMR Magazine
Metrics, L.L.C.,  ("ASW-KMR") and certain other currently inactive entities. All
significant intercompany transactions and balances have been eliminated.

The 1998 and 1997 condensed consolidated financial statements have been prepared
by the Company and are unaudited. In the opinion of the Company's management all
adjustments  (consisting  only of normal  recurring  adjustments)  necessary  to
present fairly the financial position,  results of operations and cash flows for
the interim periods have been made. Certain information and footnote disclosures
required under generally accepted  accounting  principles have been condensed or
omitted from the  consolidated  financial  statements  pursuant to the rules and
regulations   of  the  Securities   and  Exchange   Commission.   The  condensed
consolidated financial statements presented herein should be read in conjunction
with the year-end  consolidated  financial statements and notes thereto included
in the  Company's  Annual  Report on Form 10-K for the year ended  December  31,
1997. The results of operations for the three-month and nine-month periods ended
September 30, 1998 are not necessarily  indicative of the results to be expected
for any other interim period or for the entire year.

2.       SUBSEQUENT EVENT

On  October  30,  1998 the  Company  and a  former  client  signed a  negotiated
settlement  agreement  terminating  a contract  under which the Company had been
providing media  representation,  consulting and  administrative  services.  The
settlement  amount of  $650,000.00  is to be paid by the former  client  over an
eighteen-month  period in four installments of $162,500,  which began on October
30,  1998.  Accordingly,  the  Company  will record  other  income in the fourth
quarter of 1998 equal to the present value of the settlement amount.

                                       8
<PAGE>


Item 2.     Management's Discussion and Analysis of Financial Condition and 
            Results of Operations


Comparison  of the Results of  Operations  for the Quarter and Nine Months ended
--------------------------------------------------------------------------------
September 30, 1998 with the Quarter and Nine Months ended September 30, 1997
----------------------------------------------------------------------------


Revenues for the third  quarter of 1998 were $12.7  million  compared with $16.9
million in the third quarter of 1997. Revenues for the first nine months of 1998
were $40.4 million compared with $49.9 million in the first nine months of 1997.
The decrease of 25.2% in the third quarter of 1998 was principally the result of
lower revenues from custom research and declines in  international  and domestic
continuous  tracking  studies  and  a  syndicated  media  research  service.  In
addition, certain syndicated audit services which were included in the Company's
revenues in 1997 are now reported by a joint venture in which the Company owns a
25%  interest.  Accordingly,  the  operations  of  this  joint  venture  are not
consolidated  with  the  Company's   operations  and,  therefore,   the  related
syndicated service revenues are no longer reported by the Company in 1998.

The decrease of 18.9% in revenues  for the  nine-month  period of 1998  compared
with 1997 included the effects of the factors  impacting the third  quarter.  In
addition, approximately 40% of the decrease in the nine-month period of 1998 was
attributable to a client's  decision to conduct a major  international  consumer
tracking  study on an  alternate  year basis  rather than  annually.  All of the
revenues from this study were reported in the first nine months of 1997.

Direct  costs  decreased  $2.4  million  (28.6%) in the third  quarter  and $5.1
million  (20.8%) in the first nine months of 1998 compared with the same periods
of 1997.  The  decreases in 1998 direct costs were  primarily  the result of the
decreases in revenues.  In addition,  direct costs in 1997 included higher costs
incurred in the development of expanded  syndicated research services which were
not incurred in 1998.  As a percentage  of revenues,  direct costs were 46.8% in
the third quarter and 47.7% in the first nine months of 1998 compared with 49.0%
in the third quarter and 48.8% in the first nine months of 1997.  The changes in
1998 direct costs, as a percentage of 1998 revenues, are generally reflective of
the changes in the mix of research  services  compared  with 1997 as well as the
effect of the syndicated research development costs incurred in 1997.

Selling,  general and administrative (SG&A) expenses decreased approximately $.2
million  (2.9%) in the third quarter and increased $.2 million in the first nine
months of 1998 compared with the same periods of 1997.  The decrease in SG&A for
the third quarter of 1998 was principally in salaries and related expenses.  The
increase  in SG&A  for the  first  nine  months  of 1998 was the net  effect  of
increases in rents,  depreciation and professional and consulting fees partially
offset by decreases in salaries and related expenses.

The lower  provisions for incentive  bonuses in the third quarter and nine month
periods  of 1998  compared  with  the same  periods  of 1997  resulted  from the
decreases in year-to-date  operating  income on which the incentive  bonuses are
calculated.

                                      9
<PAGE>


Interest expenses were  approximately the same in the third quarters of 1998 and
1997 and were $40,000 higher in first nine months of 1998 compared with the same
period of 1997 primarily because of higher average short-term bank borrowings.

Share of income in  unconsolidated  joint venture  represents  the Company's 25%
interest in INTELECT ASW  Marketing  Services,  LLC, a joint venture which began
operations  in  late  1997.  Minority  interests  in  consolidated  subsidiaries
represent the portions of the losses of such subsidiaries,  principally ASW-KMR,
applicable to the minority shareholders of such entities.

Income tax  benefits  for the third  quarter and nine month  periods of 1998 and
income tax  provisions for the same periods of 1997 have been recorded at 41% of
reported pretax income (loss).  The income tax benefit for the first nine months
of 1998  also  includes  a credit of  $65,000,  reported  in the first  quarter,
representing  accumulated tax over-provisions of prior years which are no longer
required.

Financial Condition and Liquidity
---------------------------------

At  September  30, 1998,  the Company had working  capital of $3.8 million and a
current ratio of 1.33 to 1 compared  with working  capital of $4.7 million and a
current ratio of 1.32 to 1 at December 31, 1997.

Cash flow from  operations and borrowings  under its credit  facilities with its
bank are the Company's  principal  sources of funds. The Company's cash flow and
borrowings  have  historically  been  sufficient  to provide  funds for  working
capital,  capital  expenditures and payment of indebtedness.  In June, 1998, the
Company's secured line of credit with its bank was extended to June 30, 1999 and
was increased from $4,000,000 to $5,000,000.

Net cash used in operating activities was $377,000 principally  resulting from a
net loss of $29,000,  adjusted for non-cash expenses of $429,000,  and decreases
in accounts  receivable of $3,122,000  offset primarily by decreases in accounts
payable  and  accrued  expenses of  $2,246,000,  accrued  payroll and bonuses of
$1,133,000, client billlings in excess of revenues earned of $261,000 and income
taxes payable of $133,000.

Net cash used in investing  activities was $785,000 resulting from the purchases
of property and equipment.

Net cash provided by financing activities was $504,000 consisting principally of
proceeds from short term bank  borrowings of $1,000,000  offset by repayments of
bank borrowings and other debt of $506,000.

The Company  believes that its credit  arrangements  with its bank combined with
its capital base and funds  expected to be generated by its  operations  will be
adequate to fund its planned capital expenditures, meet its debt obligations and
finance its operations for at least the next twelve months.

                                       10


<PAGE>


Year 2000

The Company's efforts to ensure successful  transition to the year 2000 began in
1997 with the creation of a Y2K team committed to achieving year 2000 compliance
for all data processing and facility/environmental  management systems. The plan
calls for  completion  of all Y2K  activities by the end of the third quarter of
1999.

The Y2K  transition  process is proceeding on schedule to date.  The Company has
completed  the  identification,  inventory  and  prioritization  of  potentially
affected systems, is engaged in the remediation  process,  and has contacted all
known third party suppliers.

Internal systems have been grouped into the following categories:

  Data Collection                   Survey and Audit Data Processing
  Electronic Data Delivery          Sample Generation-Management
  Statistical Analysis              Data Base Management
  Financial - HR                    Graphics Arts and Production
  PC Desktop                        Network Infrastructure and Servers
  Operating and Utility Software    Voice Communications & Facilities Management

Remediation efforts are currently prioritized based largely upon the criticality
of the system to the delivery of key products and the size and complexity of the
compliance   effort   required.   Remediation   strategies   include  repair  of
non-compliant systems,  upgrade/replacement  with newer Y2K-compliant  versions,
and retirement of some obsolete applications and hardware.

The Company is working with its third party  hardware and  application  software
providers to assure a smooth  transition for the Company's  products that depend
upon these systems.  The Company has  identified and initiated  contact with all
data suppliers and requested completion of a detailed Y2K compliance  checklist.
Alternative suppliers of U.S. survey data have been identified so as to minimize
risk. Both U.S. and  international  suppliers of survey data will be required to
conduct  certification  testing.  Most suppliers of audit (e.g.,  point-of-sale)
data,  however,  are large  corporations  whose data is  important  and would be
difficult to replace. In the event of a worst case system failure by one or more
key data suppliers, loss of point-of-sale data could have an immediate impact on
the Company's  ability to deliver  comprehensive  reports to clients in a timely
manner.

The  Company  estimates  its costs  specifically  related to this year 2000 work
could  range  between  $350,000  -  $550,000  over  the  life  of  the  project.
Approximately 75 percent of the estimated expenditures are expected to relate to
repairing or upgrading current systems and 25 percent to replacement of existing
hardware and  software.  To date  approximately  $84,000 of this amount has been
incurred.

Considerable  work remains to be  accomplished  in a limited period of time, and
unforeseen difficulties could conceivably arise which would adversely affect the
Company's ability to complete its systems modifications  correctly,  completely,
on time and/or within its cost estimate. To minimize these effects,  contingency
planning is a key component of the remediation process for each system, so as to
be prepared for unforeseen system failures.  In the event of such failures,  the
Company is in a  position,  in most  cases,  to employ  alternative  systems and


                                       11
<PAGE>

programming  solutions,  which  utilize  time-date  offset  and  data  windowing
techniques to continue operations with minimal disruption.

New Accounting Principles
-------------------------

During 1997,  and 1998,  the  Financial  Accounting  Standards  Board issued the
following account  standards:  Statement of Financial  Accounting  Standards No.
130,  "Reporting  Comprehensive  Income" (SFAS No. 130),  Statement of Financial
Accounting  Standards No. 131,  "Disclosures about Segments of an Enterprise and
Related Information" (SFAS No. 131), Statement of Financial Accounting Standards
No. 132 "Employers  Disclosures about Pension and other Post retirement  Benefit
Plans" (SFAS No. 132) and  Statement of Financial  Accounting  Standards No. 133
"Accounting for Derivative Instruments and Hedging Activities.  The Company does
not expect any material  effect from adoption of SFAS Nos. 131, 132 and 133. The
Company  adopted  SFAS No.  130 in the first  quarter  of 1998 and has  reported
comprehensive income (loss) as a component of equity.

Forward Looking Statements 
--------------------------

This report contains  forward-looking  statements  within the meaning of Section
21E of the Securities  Exchange Act of 1934, as amended.  As such, final results
could differ from  estimates or  expectations  due to factors such as changes in
market  conditions,  loss of a  significant  client and  changes  in  government
regulations and policies,  among others.  For any of these factors,  the Company
claims  the  protection  of  the  safe  harbor  for  forward-looking  statements
contained in the Private Securities Litigation Reform Act of 1995, as amended.

Impact of Inflation 
-------------------

General  inflation  in the  economy  has  increased  operating  expenses of most
businesses.  The Company has provided  compensation  increases generally in line
with the  inflation  rate and incurred  higher prices for  materials,  goods and
services.   The  Company   continually  seeks  methods  of  reducing  costs  and
streamlining  operations while maximizing  efficiency  through improved internal
operating procedures and controls.  While the Company is subject to inflation as
described above,  management  believes that inflation  currently does not have a
material  effect  on  the  Company's  operating  results,  but  there  can be no
assurance that this will continue to be so in the future.

                                       12
<PAGE>


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

         a.   Exhibits:

              27.01     Financial Data Schedule

         b. Reports on Form 8-K:

              The  Company  did not file any  reports  on Form  8-K  during  the
              quarterly period ended September 30, 1998.




------------------------
*         There is no instrument defining the right of holders of long-term debt
          of the  Company  or of any of its  subsidiaries  other  than where the
          total amount of securities  authorized  thereunder does not exceed 10%
          of  the  total  assets  of  the  Company  and  its  subsidiaries  on a
          consolidated  basis. In accordance with paragraph  (b)(4)(iii) of Item
          601 of Regulation S-K, the Company agrees to furnish to the Securities
          and Exchange Commission, upon request, copies of any such instrument.


                                       13
<PAGE>


                                   SIGNATURES


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


                                            AUDITS & SURVEYS WORLDWIDE, INC.




         November 12, 1998                   By: /s/  H. Arthur Bellows, Jr.
         -----------------                       ---------------------------
         Date                                         H. Arthur Bellows, Jr.
                                                      President


                                             By: /s/   Alan J. Ritter
                                                -----------------------------
                                                      Alan J. Ritter
                                                      Senior Vice President
                                                         Chief Financial Officer

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