<PAGE>
                       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 Quarter Ended September 30, 2000

                                       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:          0-30166
                                         -------------------

                            CONMAT TECHNOLOGIES, INC.
                            -------------------------
        (Exact name of small business issuer as specified in its charter)

          Florida                                         23-2999072
          -------                                         ----------
(State or other jurisdiction of            (IRS Employer Identification Number)
incorporation or organization)

            Franklin Avenue and Grant Street, Phoenixville, PA 19460
            --------------------------------------------------------
                    (Address of Principal Executive Offices)


                                 (610) 935-0225
                                 --------------
              (Registrant's telephone number, including area code)



        Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days. YES [X] NO [ ]


        Transitional Small Business Format: YES [ ]   NO [X]

        Indicate the number of shares outstanding of each of the issuer's
classes of common stock, as of the latest practicable date:

Common Stock, $0.001 par value, outstanding on November 10, 2000: 2,258,333
shares


<PAGE>

                                TABLE OF CONTENTS
<TABLE>
<CAPTION>

PART I. FINANCIAL INFORMATION                                                                           Page

<S>            <C>                                                                                       <C>
               Item 1.       Financial Statements

                                    Consolidated Condensed Balance Sheets -
                                    September 30, 2000 and December 31, 1999                              3

                                    Consolidated Condensed Statements of Operations -
                                    Three and Nine Months Ended September 30,
                                    2000 and 1999                                                         4

                                    Consolidated Condensed Statements of Cash Flows -
                                    Nine Months Ended September 30, 2000 and 1999                        5-6

                                    Notes to Consolidated Condensed Financial Statements                  7

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

PART II.       OTHER INFORMATION

               Item 1.       Legal Proceedings                                                            14

               Item 2.       Changes in Securities and Use of Proceeds                                    14

               Item 3.       Defaults Upon Senior Securities                                              14

               Item 4.       Submission of Matters to a Vote of Security Holders                          14

               Item 5.       Other Information                                                            14

               Item 6.       Exhibits and Reports on Form 8-K                                             15

SIGNATURES

</TABLE>


                                       2



<PAGE>
PART I

Item 1. Financial Statements.

ConMat Technologies, Inc. and Subsidiary
Consolidated Condensed Balance Sheets

<TABLE>
<CAPTION>
                                                                              September 30,        December 31,
                               ASSETS                                             2000                 1999
                                                                              -----------          -----------
Current Assets:                                                               (Unaudited)            (Audited)
<S>                                                                           <C>                  <C>
   Cash and cash equivalents                                                  $   227,610          $   101,592
   Accounts receivable - net                                                    4,118,590            4,569,426
   Inventories                                                                  1,429,726            1,275,042
   Prepaid expenses                                                               171,694               58,341
                                                                              -----------          -----------
                                                 Total Current Assets           5,947,620            6,004,401
Property, Plant & Equipment - net                                               1,128,130            1,010,748
Deferred Income Taxes                                                              78,493               78,493
Other Assets                                                                      275,881              264,696
                                                                              -----------          -----------
                                                         Total Assets         $ 7,430,124          $ 7,358,338
                                                                              ===========          ===========

                LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities:
   Line of credit                                                             $ 1,928,067          $ 2,127,628
   Current portion of long-term debt                                              608,804              444,641
   Current portion of capital lease obligations                                    71,967               95,461
   Accounts payable                                                             2,247,275            1,722,364
   Accrued expenses                                                               518,116              447,778
                                                                              -----------          -----------
                                            Total Current Liabilities           5,374,229            4,837,872

Long-Term Debt                                                                  2,440,944            2,775,771
Obligations Under Capital Leases                                                   39,372               86,625
Other Liabilities                                                                 176,235              176,900
                                                                              -----------          -----------
                                                    Total Liabilities           8,030,780            7,877,168
                                                                              ===========          ===========

Series B Preferred Stock - $.001 par value, 166,667
   shares issued and outstanding                                                  500,000              500,000

Stockholders' Equity (Deficiency):
   Series A preferred stock - $.001 par value, 10,000,000
      shares authorized, 735,000 and 1,073,000 shares
      issued and outstanding                                                          735                1,073
   Series C preferred stock - $.001 par value, 382,500
      shares authorized, issued and outstanding                                       383                    0
   Common stock - $.001 par value, 40,000,000 shares
      authorized, 2,541,666 and 2,250,000 shares issued,
      2,258,333 and 2,250,000 outstanding                                           2,542                2,250
   Additional paid-in capital                                                    (653,914)            (666,986)
   Accumulated deficit                                                           (400,402)            (305,167)
   Less: Note receivable for shares sold                                          (50,000)             (50,000)
                                                                              -----------          -----------
                                       Total Stockholders' Deficiency          (1,100,656)          (1,018,830)
                                                                              -----------          -----------
                       Total Liabilities and Stockholders' Deficiency         $ 7,430,124          $ 7,358,338
                                                                              ===========          ===========
</TABLE>

See notes to consolidated condensed financial statements


                                       3
<PAGE>


ConMat Technologies, Inc. and Subsidiary
Consolidated Condensed Statements of Operations
(Unaudited)

<TABLE>
<CAPTION>
                                                         Three Months Ended Sept 30,     Nine Months Ended Sept 30,
                                                             2000            1999            2000            1999
                                                         -----------     -----------     -----------     -----------
<S>                                                      <C>             <C>             <C>             <C>
Net Sales to Customers                                   $ 3,420,121     $ 2,935,842     $ 9,698,143     $ 9,117,533
Cost of Goods Sold                                         2,790,283       1,916,339       7,469,936       6,431,022
                                                         -----------     -----------     -----------     -----------
                                         Gross Profit        629,838       1,019,503       2,228,207       2,686,511

Selling, General and Administrative Expenses                 585,698         725,231       1,710,427       1,905,259
Corporate Expenses                                           204,714          65,274         404,520         183,816
                                                         -----------     -----------     -----------     -----------
                              Operating (Loss) Income       (160,574)        228,998         113,260         597,436

Other Income (Expense):
   Interest expense                                         (127,151)       (141,360)       (382,980)       (385,391)
   Rental income                                              57,061          44,367         182,685         141,241
                                                         -----------     -----------     -----------     -----------
                     (Loss) Income Before Tax Expense       (230,664)        132,005         (87,035)        353,286

Income Tax (Benefit) Expense                                 (92,000)         52,700         (21,800)        133,000
                                                         -----------     -----------     -----------     -----------
                                    Net (Loss) Income    $  (138,664)    $    79,305     $   (65,235)    $   220,286
                                                         ===========     ===========     ===========     ===========

Net (loss) earnings per Common Share:
      Basic                                              $     (0.07)    $      0.03     $     (0.04)    $      0.08
                                                         ===========     ===========     ===========     ===========

      Diluted                                            $     (0.07)    $      0.02     $     (0.04)    $      0.08
                                                         ===========     ===========     ===========     ===========

Weighted average number of common shares outstanding:

      Basic                                                2,256,355       2,350,000       2,224,316       2,255,000
                                                         ===========     ===========     ===========     ===========

      Diluted                                              2,256,355       3,675,239       2,224,316       2,696,746
                                                         ===========     ===========     ===========     ===========


</TABLE>




See notes to consolidated condensed financial statements


                                       4
<PAGE>

ConMat Technologies, Inc. and Subsidiary
Consolidated Condensed Statements of Cash Flows
(Unaudited)

<TABLE>
<CAPTION>
                                                                             Nine Months Ended September 30,
                                                                           ------------------------------------
                                                                               2000                     1999
                                                                           -----------              -----------
<S>                                                                        <C>                      <C>
Cash Flows from Operating Activities:
   Net (loss) earnings                                                     $   (65,235)             $   220,286
   Adjustments to reconcile to net cash provided by (used in)
      operating activities:
         Depreciation and amortization                                         212,425                  197,353
   Changes in assets and liabilities:
      (Increase) decrease in assets
         Accounts receivable                                                   450,836               (1,849,212)
         Inventories                                                          (154,679)                 167,537
         Prepaid expenses                                                     (113,353)                  87,126
         Other assets                                                          (28,853)                (107,947)
      Increase (decrease) in liabilities
         Accounts payable                                                      524,912                  245,346
         Accrued expenses                                                       41,668                 (106,258)
                                                                           -----------              -----------
           Net Cash Provided By (Used In) Operating Activities                 867,721               (1,145,769)

Cash Flows from Investing Activities:
   Purchase of property and equipment                                         (279,138)                 (40,035)
                                                                           -----------              -----------
                         Net Cash Used In Investing Activities                (279,138)                 (40,035)

Cash Flows from Financing Activities:
   Net borrowings (repayments) under lines of credit                          (199,561)                 763,830
   Repayments of term notes                                                   (170,665)              (1,247,944)
   Repayments of capital lease obligations                                     (70,748)                 (87,538)
   Proceeds from sale of common stock                                           47,500
   Offering costs associated with Series C preferred stock                     (59,091)
   Payments of Series B preferred dividends                                    (10,000)
   Proceeds from mortgage obligation                                                                  1,878,178
   Proceeds from capital lease obligations                                                               45,000
   Recapitalization costs                                                                              (139,511)
                                                                           -----------              -----------
           Net Cash (Used In) Provided By Financing Activities                (462,565)               1,212,015

                       Net Increase in Cash & Cash Equivalents                 126,018                   26,211

Cash and Cash Equivalents at Beginning of Period                               101,592                   29,430
                                                                           -----------              -----------
Cash and Cash Equivalents at End of Period                                 $   227,610              $    55,641
                                                                           ===========              ===========

Supplemental Cash Flow Information:
   Cash paid for interest                                                  $   382,981              $   385,391
                                                                           ===========              ===========
</TABLE>


See notes to consolidated condensed financial statements


                                       5

<PAGE>

ConMat Technologies, Inc. and Subsidiary
Consolidated Condensed Statements of Cash Flows - continued
(Unaudited)
<TABLE>
<CAPTION>
                                                                          Nine Months Ended September 30
                                                                              2000                  1999
                                                                         --------------         ------------
<S>                                                                       <C>                   <C>
Supplemental Disclosure of Non-Cash Investing and Financing Activities
   Issuance of Series C preferred stock in exchange redemption of
      Series A preferred stock and common stock:
         Issued:
            Series C preferred stock                                            383                   0
            Additional paid-in capital                                    1,199,097                   0

         Redeemed:
            Series A preferred stock                                           (285)                  0
            Common stock                                                        (75)                  0
            Additional paid-in capital                                   (1,199,120)                  0

   Conversion of 53,333 shares of Series A preferred stock to
      53,333 shares of common stock:
         Common stock                                                            53                   0
         Series A preferred stock                                               (53)                  0

   Conversion of 313,333 shares of Series A preferred stock to
      313,333 shares of common stock:
         Common stock                                                           314                   0
         Series A preferred stock                                              (314)                  0

</TABLE>


See notes to consolidated condensed financial statements





                                       6
<PAGE>

ConMat Technologies, Inc and Subsidiary

NOTES TO CONSOLIDATED CONDENSED FINANCIAL STATEMENTS

NOTE A - INTERIM FINANCIAL INFORMATION

         The financial statements of ConMat Technologies, Inc. as of September
30, 2000 and 1999, and for the three and nine months then ended and related
footnote information are unaudited. All adjustments (consisting only of normal
recurring adjustments) have been made which, in the opinion of management, are
necessary for a fair presentation. Results of operations for the three and nine
months ended September 30, 2000 are not necessarily indicative of the results
that may be expected for any future period. The balance sheet at December 31,
1999 was derived from audited financial statements.

         Certain information and footnote disclosures normally included in
financial statements prepared in accordance with generally accepted accounting
principles have been condensed or omitted. It is suggested that these
consolidated financial statements be read in conjunction with the consolidated
financial statements and notes included in the Company's Annual Report on Form
10K-SB for the year ended December 31, 1999. The results of operations for the
nine months ended September 30, 2000 are not necessarily indicative of the
operating results, which may be achieved for the full year.

NOTE B - FINANCIAL STATEMENT RECLASSIFICATIONS

         The financial statements of ConMat Technologies, Inc. as of September
30, 2000 and for the three and nine months then ended contains reclassifications
relating to freight expense and sales commissions. In the past, the Company had
recorded these items as deductions from gross revenues. For the three months
ended September 30, 1999 the effect of these reclassifications was an increase
in Net Sales to Customers of $131,000 with offsetting increases to Cost of Goods
Sold of $52,000 and Selling Expenses of $79,000. For the nine months ended
September 30, 1999 the effect of these reclassifications was an increase in Net
Sales to Customers of $320,000 with offsetting increases to Cost of Goods Sold
of $190,000 and Selling Expenses of $130,000. The effect of the
reclassifications on the first six months of 2000 was to increase Net Sales to
Customers by $248,000 with offsetting increases to Cost of Goods Sold of
$197,000 and Selling Expenses of $51,000.

NOTE C - CHANGES IN SECURITIES

         On February 29, 2000, pursuant to an Exchange Agreement between ConMat
and Odyssey Capital Group, L. P., ConMat issued 382,500 shares of ConMat Series
C Preferred Stock and a warrant to purchase 382,500 shares of ConMat common
stock to Odyssey in exchange for 285,000 shares of ConMat Series A Preferred
Stock and 75,000 shares of ConMat common stock which were owned by Odyssey. As
additional consideration to ConMat, Odyssey agreed to provide, subject to
ConMat's financial performance, additional financing of $1,500,000 to ConMat in
the future by purchasing subordinated notes with attached warrants or
convertible preferred stock. Odyssey also agreed to assist ConMat in obtaining
additional financing to the extent ConMat's growth or acquisitions require such.

NOTE D - EARNINGS (LOSS) PER SHARE

         ConMat reports earnings per share in accordance with the provisions of
SFAS NO. 128, Earnings Per Share. SFAS No. 128 requires presentation of basic


                                       7
<PAGE>

and diluted earnings per share in conjunction with the disclosure of the
methodology used in computing such earnings per share. Basic earnings per share
exclude dilution and is computed by dividing income available to common
shareholders by the weighted average common shares outstanding during the
period. Diluted earnings per share takes into account the potential dilution
that could occur if securities or other contracts to issue common stock were
exercised and converted into common stock. However, no potential common shares
are included in the computation of diluted per share amounts when there is a
loss from continuing operations.

The following are basic and diluted (loss) earnings per share calculations for
the periods presented.

<TABLE>
<CAPTION>


                                                    Three Months Ended Sept 30      Nine Months Ended Sept 30
                                                    ---------------------------     ---------------------------
                                                        2000            1999            2000            1999
                                                    -----------     -----------     -----------     -----------
<S>                                                 <C>             <C>             <C>             <C>
(Loss) Earnings per Share - Basic:
   Net (loss) income                                $  (138,664)    $    79,305     $   (65,235)    $   220,286
   Dividends on preferred shares                        (10,000)        (10,000)        (30,000)        (30,000)
                                                    -----------     -----------     -----------     -----------
   (Loss) income on common shares                      (148,664)         69,305         (95,235)        190,286
                                                    ===========     ===========     ===========     ===========

   Weighted average shares outstanding                2,256,355       2,350,000       2,224,316       2,255,000
                                                    ===========     ===========     ===========     ===========

               Basic (Loss) Earnings Per Share      $     (0.07)    $      0.03     $     (0.04)    $      0.08
                                                    ===========     ===========     ===========     ===========

(Loss) Earnings per Share - Diluted:
   (Loss) income on common shares                   $  (148,664)    $    69,305     $   (95,235)    $   190,286
   Dividends on preferred shares                                         10,000                          30,000
                                                    -----------     -----------     -----------     -----------
   (Loss) income on common shares after
      assumed conversions                           $  (148,664)    $    79,305     $   (95,235)    $   220,286
                                                    ===========     ===========     ===========     ===========

   Weighted average shares outstanding                2,256,355       2,350,000       2,224,316       2,255,000
   Dilutive effect of preferred stock                                 1,240,000       2,224,316         413,333
   Dilutive effect of stock options and warrants              0          85,239          99,554          28,413
                                                    -----------     -----------     -----------     -----------
      Diluted average shares outstanding              2,256,355       3,675,239       3,151,832       2,696,746
                                                    ===========     ===========     ===========     ===========

             Diluted (Loss) Earnings Per Share      $     (0.07)    $      0.02     $     (0.04)    $      0.08
                                                    ===========     ===========     ===========     ===========

</TABLE>

                                       8

<PAGE>


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

                           FORWARD LOOKING STATEMENTS

         Some of the statements contained in this report discuss future
expectations, contain projections of results of operations or financial
condition or state other "forward-looking" information. Those statements are
subject to known and unknown risks, uncertainties and other factors that could
cause the actual results to differ materially from those contemplated by the
statements. The forward-looking information is based on various factors and was
derived using numerous assumptions.

         Important factors that may cause actual results to differ from
projections include, for example:

          o general economic conditions, including their impact on capital
            expenditures;
          o business conditions in the materials technology and wastewater
            treatment industries;
          o the regulatory environment;
          o rapidly changing technology and evolving industry standards;
          o new products and services offered by competitors; and
          o price pressures.

         In addition, in this report, the words "believe", "may", "will",
"estimate", "continue", "anticipate", "intend", "expect", "plan", and similar
expressions, as they relate to the business or management of ConMat
Technologies, Inc. or its wholly-owned subsidiary, Polychem Corporation, are
intended to identify forward-looking statements.

         ConMat undertakes no obligation to publicly update or revise any
forward-looking statements, whether as a result of new information, future
events or otherwise after the date of this report. In light of these risks and
uncertainties, the forward-looking events and circumstances discussed in this
report may not occur and actual results could differ materially from those
anticipated or implied in the forward-looking statements.

Results of Operations

Three Month Periods Ended September 30, 2000 and 1999

         The following table sets forth certain statement of operation items as
a percentage of net sales for the period indicated:

                                       Three Months Ended Sept 30
                                    ---------------------------------
                                      2000                    1999
                                    ---------               ---------
Net Sales                              100.0 %                 100.0 %
Cost of Goods Sold                      81.6                    65.3
Gross Profit                            18.4                    34.7
Selling and Administration              17.1                    24.7
Interest Expense                         3.7                     4.8
Other Expense                            4.3                     0.7
Income Tax (Benefit) Expense           (2.7)                     1.8
                                    ---------               ---------
Net (Loss) Income                      (4.0) %                   2.7 %
                                    =========               =========


                                       9
<PAGE>

         Cost of goods sold is determined as the sum of material costs, direct
manufacturing labor costs and an allocation of utilities and other overhead
costs attributable to manufacturing activities.

         Total revenues increased $484,000 or 16.5% to $3,420,121 for the three
months ended September 30, 2000 from $2,936,000 for the three months ended
September 30, 1999. Polychem ended the third quarter of 2000 with an order
backlog of $9,700,000 compared to $5,800,000 at the end of the comparable
quarter in 1999, an increase of 67.2%. The large increase in backlog is the
result of enhanced sales and marketing efforts in conjunction with increased
focus on quality and customer service.

         Gross profit decreased by $390,000 or 38.2% to $630,000 for the
three-month period ended September 30, 2000 from $1,020,000 for the comparable
quarter in 1999. Gross profit decreased as a percentage of sales to 18.4% for
the three-month period ended September 30, 2000 from 34.7% for the comparable
quarter in 1999. Polychem's cost of goods sold as a percentage of sales
increased from 65.3% in 1999's third quarter to 81.6% in the quarter just ended.
The decrease in gross margin is the direct result of several large customer
orders with significant unexpected manufacturing inefficiencies. These customer
orders were from projects bid in 1999 and anticipated the ability to develop
special tooling and molds to address certain customer requirements. However, as
a result of time pressures and technological difficulties, a significant amount
of the production process yielded extremely low material utilization as well as
extensive unfavorable variances in manufacturing labor and overheads. In
addition, one large international customer requested very specific manufacturing
tolerances that exceeded the Company's normal operating specifications and
required specialized processes, resulting in a lower gross profit margin.
Lastly, in the final stages of completing a large customer order for delivery to
the west coast of the U.S., a problem with one of the Company's large vendors
created cost over-runs that were unanticipated.

         There were also less significant increases as the result of increased
direct labor cost and associated overhead relating to the labor agreement signed
late in the last quarter of 1999 as well as the addition of product design
support personnel. Despite the negative impact of the situations just discussed,
the Company continues to focus on improving plant capacity utilization,
increased plant mechanization through new equipment purchases and other cost
saving measures. An aggressive procurement program was initiated earlier in the
year that should deliver savings over the remainder of the year. Management
views the results for the three months ended September 30, 2000 as having been
caused by one-time operating inefficiencies that have been identified and are
being addressed. The effect of these inefficiencies was to decrease gross
margins by approximately $200,000 during the quarter. While the quarter's
results were negatively impacted by these situations, a compensating factor was
an improvement in the level of quality and customer satisfaction, which the
Company believes will lead to increased future orders from the customers in
question. While several of these situations may have some lingering effect on
the Company's results of operations for the remainder of this fiscal year,
management anticipates that gross margins will return to the levels that had
been recorded during the first six months of the fiscal year.

         Selling and administrative expenses decreased by $140,000 or 19.2% to
$586,000 for the three month period ended September 30, 2000 from $725,000 for
the comparable quarter in 1999. As a percentage of revenues, selling and
administrative expenses decreased to 17.1% for the three-month period ended
September 30, 2000 from 24.7% of total revenues for the comparable quarter in
1999. This decrease is primarily attributable to reduction of administrative
employees from earlier in 2000 with slight increases associated with the
development of ConMat's e-business platform and the costs associated with
ConMat's reporting obligations as a public company. The Company has also been
increasing its expenditures in the cultivation of additional business
opportunities throughout the Pacific Rim. The expenses incurred in the current
three-month period are higher by approximately 10% than in the year earlier
period. Management believes that this is an excellent market for its product
line and that these expenditures are expected to produce significant future
sales orders.

         There have also been significant increases in corporate expenses
relating to increases in professional fees associated with the Company's status


                                       10
<PAGE>

as a publicly traded company as well as legal expenses in the defense of several
lawsuits that relate to ConMat's acquisition of Polychem. Management believes
that the expenditures for professional fees in both of these areas will begin to
decrease over the next several quarters.

         Interest expense for the three-month period ended September 30, 2000
decreased $14,000 or 10.1 %, to $127,000 from $141,000 for the comparable
quarter in 1999. The lower expense reflects lower borrowing levels. Interest
expense as a percentage of total revenues decreased to 3.7% in the three-month
period ended September 30, 2000 compared to 4.8% in the comparable quarter in
1999.

         ConMat recognized a loss of $139,000 for the three-month period ended
September 30, 2000. For the comparable quarter in 1999, ConMat reported a profit
of $79,000. As a percentage of net revenues, net income decreased from 2.7% for
the three months ended September 30, 1999 as compared to (4.1%) for the quarter
ended September 30, 2000. As previously stated, Management believes that the
operating results delivered during the current quarter are not indicative of the
Company's prospective operations.

Nine-Month Periods Ended September 30, 2000 and 1999

         The following table sets forth certain statement of operation items as
a percentage of net sales for the period indicated:

                                            Nine Months Ended Sept 30
                                         ---------------------------------
                                           2000                    1999
                                         ---------               ---------
Net Sales                                   100.0 %                 100.0 %
Cost of Goods Sold                           77.0                    70.5
Gross Profit                                 23.0                    29.5
Selling and Administration                   17.6                    20.9
Interest Expense                              4.0                     4.2
Other Expense                                 2.3                     0.5
Income Tax (Benefit) Expense                (0.2)                     1.5
                                         ---------               ---------
Net (Loss) Income                           (0.7) %                   2.4 %
                                         =========               =========


         Cost of goods sold is determined as the sum of material costs, direct
manufacturing labor costs and an allocation of utilities and other overhead
costs attributable to manufacturing activities.

         Total revenues increased $581,000 or 6.4% to $9,698,000 for the nine
months ended September 30, 2000 from $9,118,000 for the nine months ended
September 30, 1999. Polychem ended the third quarter of 2000 with an order
backlog of $9,700,000 compared to $5,800,000 at the end of the comparable
quarter in 1999, an increase of 67.2%. The large increase in backlog is the
result of enhanced sales and marketing efforts in conjunction with increased
focus on quality and customer service.

         Gross profit decreased by $458,000 or 17.1% to $2,228,000 for the
nine-month period ended September 30, 2000 from $2,687,000 for the comparable
period in 1999. Gross profit decreased as a percentage of sales to 23.0% for the
nine-month period ended September 30, 2000 from 29.5% for the comparable period
in 1999. The 6.1% increase in the Company's cost of goods sold as a percentage
of net sales from the prior year was primarily caused by the manufacturing

                                       11
<PAGE>

inefficiencies as discussed in the comparison of the three months ended
September 30, 2000 and 1999. The Company continues to focus on improving plant
capacity utilization, increased plant mechanization through new equipment
purchases and other cost saving measures. An aggressive procurement program was
initiated earlier in the year that should deliver savings over the remainder of
the year. Management views the results for the nine months ended September 30,
2000 as having been caused by one-time operating inefficiencies that have been
identified and are being addressed. While the current year's nine-month results
were negatively impacted by various issues, a compensating factor was an
improvement in the level of quality and customer satisfaction, which the Company
believes will lead to increased future orders from the customers in question.
While several of these situations may have some lingering effect on the
Company's results of operations for the remainder of this fiscal year,
management anticipates that gross margins will return to the levels that had
been recorded during the first six months of the fiscal year.

         Selling and administrative expenses decreased by $195,000 or 10.2% to
$1,710,000 for the nine month period ended September 30, 2000 from $1,905,000
for the comparable period in 1999. As a percentage of revenues, selling and
administrative expenses decreased to 17.6% for the nine-month period ended
September 30, 2000 from 20.9% of total revenues for the comparable period in
1999. This decrease is primarily attributable to reduction of administrative
employees from earlier in 2000 with slight increases associated with the
development of ConMat's e-business platform and the costs associated with
ConMat's reporting obligations as a public company. The Company has also been
increasing its expenditures in the cultivation of additional business
opportunities throughout the Pacific Rim. The expenses incurred in the nine
month period ended September 30, 2000 are higher by approximately 15% than in
the year earlier period. Management believes that this is an excellent market
for its product line and that these expenditures are expected to produce
significant future sales orders.

              There have also been significant increases in Corporate Expenses
relating to increases in professional fees associated with the Company's status
as a publicly traded company as well as legal expenses in the defense of several
lawsuits that relate to ConMat's acquisition of Polychem. Approximately $50,000
of professional fees relate to the initial activity involved with the Company's
public filings that will not be repeated in future periods. Management believes
that the expenditures for professional fees in both of these areas will begin to
decrease over the next several quarters.

         Interest expense for the nine-month period ended September 30, 2000
decreased slightly by $2,000 or 0.6%, to $383,000 from $385,000 for the
comparable period in 1999. Interest costs as a percentage of total revenues
decreased to 3.9% in the nine-month period ended September 30, 2000 compared to
4.2% in the comparable period in 1999.

              ConMat recognized a loss of $65,000 for the nine-month period
ended September 30, 2000. For the comparable period in 1999, ConMat reported a
profit of $220,000. As a percentage of net revenues, net income decreased from
2.4% for the nine months ended September 30, 1999 as compared to (0.7%) for the
nine months ended September 30, 2000. As previously stated, Management believes
that the operating results delivered during the current quarter are not
indicative of the Company's prospective operations.

Liquidity and Capital Resources

         ConMat realized a net cash increase of $126,000 for the nine-month
period ended September 30, 2000. For the comparable period in 1999, ConMat
realized a net cash surplus of $26,000. ConMat's primary source of working
capital is a credit facility of up to $5 million, subject to a lending formula
limit, secured by Polychem's receivables and inventory. As of September 30,
2000, the maximum borrowing amount was $2,183,000 and the outstanding balance
was $1,928,000. Management believes that ConMat has sufficient assets, equipment
and facility to attain and absorb forecasted growth in revenues. ConMat has no
commitments for significant capital expenditures in the foreseeable future.
Management believes that ConMat's cash and capital resources, together with cash
flow from operations, will be sufficient to finance current and forecasted
operations including its capital spending and research and development needs.
ConMat is, however, actively seeking potential strategic acquisitions and,
depending on the size and terms of any such acquisitions, additional financing,
including equity infusions for ConMat, may be required.


                                       12
<PAGE>


PART II

Item 1.    Legal Proceedings.

         ConMat is currently a defendant in a Pennsylvania state court action
filed on January 28, 1999, captioned John R. Thach v. The Eastwind Group, et al.
(Montgomery County C.C.P., Civil Action No. 99- 01195). Plaintiff maintains that
Eastwind, his former employer, breached the terms of his severance agreement and
that the sale of Polychem to ConMat was part of a conspiracy to avoid payments
to him and has violated Pennsylvania's Uniform Fraudulent Transfer Act. The
plaintiff seeks damages of at least $350,0000 and punitive damages of at least
$500,000. In addition, the plaintiff seeks to have the acquisition of Polychem
declared null and void and to have a receiver appointed to oversee the affairs
of Eastwind, Polychem and ConMat. Among the other named defendants is Paul A.
DeJuliis, President of ConMat and the former Chief Executive Officer of
Eastwind.

         Initially, the plaintiff sought a temporary restraining order and
preliminary injunction seeking to set aside the sale of Polychem to ConMat. By
Order dated February 19, 1999, the court denied plaintiff's request for
injunctive relief. ConMat and Paul A. DeJuliis answered the plaintiff's
complaint on May 12, 2000 and the parties have engaged in fact discovery since
that date.

         ConMat is currently a defendant in a federal district court action
filed on April 11, 2000, captioned ProFutures Special Equities Fund, L.P. v. The
Eastwind Group, Inc., et al. (U.S.D.C., E. D. Pa. Civil Action No. 00-CV-1888).
ProFutures maintains that Eastwind and others violated federal and state
securities laws and committed common law fraud in connection with the June 1998
Purchase by ProFutures of $750,000 in Series C Convertible Preferred Stock of
Eastwind. ProFutures seeks damages in the amount of $750,000 and seeks to have
the acquisition of Polychem by ConMat declared null and void. Among other named
defendants is Paul A. DeJuliis, President of ConMat and former Chief Executive
Officer of Eastwind.

         ConMat, Paul A. DeJuliis and two other former officers of Eastwind
filed a Motion to Dismiss the Complaint on May 25, 2000. The Motion has been
fully briefed and is currently awaiting disposition by the court.

Item 2.    Changes in Securities.

                  Not Applicable.

Item 3.    Defaults Upon Senior Securities.

                  Not Applicable.

Item 4.    Submission of Matters to a Vote of Security Holders.

                  Not Applicable.

Item 5.    Other Information.

                  Not Applicable.



                                       13
<PAGE>

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

             (a) Exhibits

             Exhibit No.    Description
             -----------    -----------
             11             Statement re: computation of per share earnings
                            (included on pages 7-8 of this report)

             27             Financial Data Schedule

             (b) ConMat did not file any current reports on Form 8-K during the
                 period covered by this report.









                                       14
<PAGE>

                                   SIGNATURES

         In accordance with Section 13 or 15(d) of the Securities Exchange Act
of 1934, the Registrant has duly caused this Report to be signed on its behalf
by the undersigned, hereunto duly authorized.


                                CONMAT TECHNOLOGIES, INC.


Date: November 20, 2000         By: /s/ Paul A. DeJuliis
                                    ---------------------
                                     Paul A. DeJuliis,
                                     President and Chief Executive Officer
                                     (Principal Executive Officer)




Date: November 20, 2000         By: /s/ Thomas C. Morral, Jr.
                                    -------------------------
                                   Thomas C. Morral, Jr.,
                                   Vice President and Chief Financial Officer
                                   (Principal Financial and Accounting Officer)








                                       15
<PAGE>

                                  Exhibit Index

Exhibit
Number                   Description
------                   -----------

27                       Financial Data Schedule













                                       16