United States
                       Securities and Exchange Commission
                             Washington, D.C. 20549

                                   FORM 10-QSB


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



For the fiscal quarter ended:               September 30, 2000
Commission file number:                     0-26449



                           DYNAMIC IMAGING GROUP, INC.
             (Exact name of registrant as specified in its charter)


  Florida                                                    65-0903895
  (State or other jurisdiction of                            (I.R.S. Employer
  incorporation or organization)                             Identification No.)




                           3418 North Ocean Boulevard
                         Fort Lauderdale, Florida 33308
                    (Address of principal executive offices)
                                   (Zip code)

                                 (954) 564-1133
              (Registrant's telephone number, including area code)


Indicate by check mark whether  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

Indicate the number of shares outstanding of each of the registrant's classes of
common stock, as of September 30, 2000:  8,493,687 shares of common stock, $.001
par value per share.


<PAGE>


                           DYNAMIC IMAGING GROUP, INC.
                                   FORM 10-QSB
                    QUARTERLY PERIOD ENDED September 30, 2000
                                      INDEX



                                                                            Page

PART I - FINANCIAL INFORMATION

 Item 1 - Consolidated Financial Statements

 Consolidated Balance Sheet (Unaudited)
   September 30, 2000..................................................        3
 Consolidated Statements of Operations (Unaudited)
   For the Nine Months Ended September 30, 2000 and 1999...............        4
 Consolidated Statements of Cash Flows (Unaudited)
   For the Nine Months Ended September 30, 2000 and 1999...............        5

 Notes to Consolidated Financial Statements............................     6-11

 Item 2 -Management's Discussion and Analysis of Financial
         Condition and Resultsof Operations............................    11-14


PART II - OTHER INFORMATION

      Item 1 - Legal Proceedings.......................................       15

      Item 4 - Submission of Matters to a Vote of Security Holders.....       15

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

      Signatures.......................................................       15

















                                       -2-


<PAGE>
<TABLE>
<CAPTION>
                          DYNAMIC IMAGING GROUP, INC. AND SUBSIDIARIES
                                   CONSOLIDATED BALANCE SHEET
                                       September 30, 2000
                                          (Unaudited)




                                             ASSETS

<S>                                                                              <C>
CURRENT ASSETS:
    Accounts Receivable                                                          $ 206,415
    Inventories                                                                     19,327
                                                                                 ----------

        Total Current Assets                                                       225,742

PROPERTY AND EQUIPMENT - Net                                                       142,256

MARKETABLE EQUITY SECURITIES                                                        24,000
DUE FROM RELATED PARTIES                                                            40,585
GOODWILL - Net                                                                     288,437
SECURITY DEPOSITS                                                                    2,990
                                                                                 ----------

        Total Assets                                                             $ 724,010
                                                                                 ==========


                      LIABILITIES AND STOCKHOLDERS' DEFICIT

CURRENT LIABILITIES:
    Note and Debenture Payable                                                   $ 100,000
    Accounts Payable and Accrued Expenses                                          436,696
   Accrued Salaries                                                                 21,092
    Payroll Taxes Payable                                                           31,906
    Customer Deposits                                                               16,749
    Due to Related Party                                                            26,500
                                                                                 ----------

        Total Current Liabilities                                                  632,943
                                                                                 ----------

STOCKHOLDERS' DEFICIT:
    Preferred Stock (No Par Value; 5,000,000 Shares
        Authorized; No Shares Issued and Outstanding)                                    -
    Common Stock ($.001 Par Value; 50,000,000 Shares Authorized;
        8,493,687 Shares Issued and Outstanding )                                    8,494
    Additional Paid-in Capital                                                   2,547,159
    Accumulated Deficit                                                         (2,457,086)
    Less: Subscription Receivable                                                   (7,500)
                                                                                 ----------

        Total Stockholders' Deficit                                                 91,067
                                                                                 ----------

        Total Liabilities and Stockholders' Deficit                              $ 724,010
                                                                                 ==========
</TABLE>


The  accompanying  notes  are  an  integral part of these consolidated financial
statements.
                                      -3-
<PAGE>
<TABLE>
<CAPTION>
                  DYNAMIC IMAGING GROUP, INC. AND SUBSIDIARIES
                      CONSOLIDATED STATEMENTS OF OPERATIONS
                                   (Unaudited)



                                                                     For the Three Months                  For the Nine Months
                                                                      Ended September 30,                   Ended September 30,
                                                              ----------------------------------    --------------------------------
                                                                   2000              1999               2000             1999
                                                              ---------------   ----------------    -------------   ----------------

<S>                                                           <C>               <C>                 <C>             <C>
NET SALES                                                     $      414,710    $       165,818     $    833,012    $       356,089

COST OF SALES                                                         80,611             71,842          262,228            180,285
                                                              ---------------   ----------------    -------------   ----------------

GROSS PROFIT                                                         334,099             93,976          570,784            175,804
                                                              ---------------   ----------------    -------------   ----------------

OPERATING EXPENSES:
    Consulting Fees                                                   33,300                  -          164,970                  -
    Contract Labor                                                   112,710             82,988          235,622            163,196
    Depreciation and Amortization                                     12,876              6,000           25,063              9,000
    Professional Fees                                                 10,061              8,076           47,326             23,641
    Rent                                                              19,683             24,124           75,137             56,002
    Salaries                                                         197,106            114,551          429,302            349,126
    Other Selling, General and Administrative                        149,570             53,943          385,367            224,081
                                                              ---------------   ----------------    -------------   ----------------

        Total Operating Expenses                                     535,306            289,682        1,362,787            825,046
                                                              ---------------   ----------------    -------------   ----------------

LOSS FROM OPERATIONS                                                (201,207)          (195,706)        (792,003)          (649,242)

OTHER EXPENSES:
     Interest Expense                                                 98,043                  -          175,030                  -
                                                              ---------------   ----------------    -------------   ----------------

LOSS BEFORE PROVISION FOR INCOME TAXES                              (299,250)          (195,706)        (967,033)          (649,242)
                                                              ---------------   ----------------    -------------   ----------------

PROVISION FOR INCOME TAXES:
     Current                                                               -                  -                -                  -
     Deferred                                                              -                  -                -                  -
                                                              ---------------   ----------------    -------------   ----------------

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

NET LOSS                                                      $     (299,250)   $      (195,706)    $   (967,033)   $      (649,242)
                                                              ===============   ================    =============   ================

BASIC AND DILUTED:
      Net Loss Per Common Share                                      $ (0.04)           $ (0.03)         $ (0.15)           $ (0.12)
                                                              ===============   ================    =============   ================

      Weighted Common Shares Outstanding                           7,146,944          5,598,406        6,416,707          5,487,660
                                                              ===============   ================    =============   ================
</TABLE>

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

                                      -4-
<PAGE>
<TABLE>
<CAPTION>
                 DYNAMIC IMAGING GROUP, INC. AND SUBSIDIARIES
                    CONSOLIDATED STATEMENTS OF CASH FLOWS
                                 (Unaudited)

                                                                                    For the Nine Months
                                                                                    Ended September 30,
                                                                               -------------------------------
                                                                                   2000             1999
                                                                               --------------   --------------

<S>                                                                            <C>              <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
    Net Loss                                                                   $    (967,033)   $    (649,242)
    Adjustments to Reconcile Net Loss to Net Cash Flows
        Used in Operating Activities:

           Depreciation and Amortization                                              25,063            9,000
           Recognition of  Officers Compensation on Donated Services                       -           60,000
           Common Stock Issued for Services                                          148,851            2,000
           Interest Expense Recognized for Issuance of Common Stock                  135,000                -

           (Increase) Decrease in:
             Accounts Receivable                                                    (178,629)         (53,208)
             Inventories                                                             (13,864)               -
             Due from Related Parties                                                 48,556         (195,190)
             Security Deposits                                                             -           (1,000)

           Increase (Decrease) in:
              Accounts Payable and Accrued Expenses                                  137,365          119,081
              Accrued Salaries                                                       237,094          210,000
              Payroll Taxes Payable                                                   31,906                -
              Customer Deposits                                                         (690)           8,768
              Due to Related Party                                                    26,500            6,671
                                                                               --------------   --------------

Net Cash Flows Used in Operating Activities                                         (369,881)        (483,120)
                                                                               --------------   --------------

CASH FLOWS FROM INVESTING ACTIVITIES:
    Cash from Acquisition                                                              1,276                -
    Acquisition of Property and Equipment                                            (29,945)        (129,159)
                                                                               --------------   --------------

Net Cash Flows Used in Investing Activities                                          (28,669)        (129,159)
                                                                               --------------   --------------

CASH FLOWS FROM FINANCING ACTIVITIES:
     Proceeds from Note and Debenture Payable                                        140,000           10,000
     Decrease in Subscriptions Receivable                                             30,500                -
     Proceeds from Issuance of Common Stock                                          224,700          595,735
                                                                               --------------   --------------

Net Cash Flows Provided by Financing Activities                                      395,200          605,735
                                                                               --------------   --------------

Net Increase (Decrease ) in Cash                                                      (3,350)          (6,544)

Cash - Beginning of Period                                                             3,350           10,047
                                                                               --------------   --------------

Cash - End of Period                                                           $           -    $       3,503
                                                                               ==============   ==============

SUPPLEMENTAL INFORMATION:
   Cash Paid During Year for:
       Interest and Taxes                                                      $           -    $           -
                                                                               ==============   ==============

NON-CASH INVESTING AND FINANCING ACTIVITIES:

Issuance of Common Stock for Acquisition                                       $     295,000    $           -
                                                                               ==============   ==============
Issuance of Common Stock for Subscription Receivable                           $           -    $     263,000
                                                                               ==============   ==============
Issuance of Common Stock for Marketable Equity Securities                      $      24,000    $           -
                                                                               ==============   ==============
Issuance of Common Stock in Exchange for Debt                                  $     378,502    $           -
                                                                               ==============   ==============

Details of Acquisition:
   Fair value of assets                                                        $      26,777    $           -
    Liabilities                                                                         (377)               -
    Common stock issued                                                              (26,400)               -
                                                                               --------------   --------------

   Net cash paid for acquisition                                               $           -    $           -
                                                                               ==============   ==============
</TABLE>

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

                                      -5-



<PAGE>


                  DYNAMIC IMAGING GROUP, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                               September 30, 2000
                                   (UNAUDITED)




NOTE 1 - BASIS OF PRESENTATION AND GOING CONCERN

The accompanying  unaudited consolidated financial statements have been prepared
in  accordance  with  generally  accepted  accounting   principles  for  interim
financial  information  and  pursuant  to  the  rules  and  regulations  of  the
Securities  and  Exchange  Commission  ("SEC").  The  accompanying  consolidated
financial  statements  for the  interim  periods are  unaudited  and reflect all
adjustments  (consisting only of normal recurring adjustments) which are, in the
opinion  of  management,  necessary  for a fair  presentation  of the  financial
position  and  operating  results for the periods  presented.  The  consolidated
financial  statements  include the accounts of the Company and its subsidiaries.
All significant  intercompany  accounts and  transactions  have been eliminated.
These consolidated  financial  statements should be read in conjunction with the
financial  statements  for the year ended  December  31, 1999 and notes  thereto
contained  in the Report on Form  10-KSB of Dynamic  Imaging  Group,  Inc.  (the
"Company") as filed with the Securities and Exchange Commission.  The results of
operations  for the nine months  ended  September  30, 2000 are not  necessarily
indicative of the results for the full fiscal year ending December 31, 2000.

The accompanying consolidated financial statements have been prepared on a going
concern basis,  which contemplates the realization of assets and satisfaction of
liabilities in the normal course of business.  Since its inception,  the Company
has continued to suffer  recurring  losses from operations  that to date,  total
$2,457,086.  At September 30, 2000, the Company had a working capital deficit of
$407,201.  These factors among others may indicate the Company will be unable to
continue as a going concern for a reasonable  period of time.  The  accompanying
consolidated financial statements do not include any adjustments relating to the
outcome of this uncertainty.

The Company's  continuation  as a going concern is dependent upon its ability to
generate  sufficient  cash flow to meet its  obligations on a timely basis.  The
Company's  primary  source of liquidity has been from the cash  generated by its
operations and through the private placement of equity and debt securities.  The
Company is presently  developing its infrastructure and ramping up operations of
its business in order to  eventually  achieve  profitable  operations.  However,
there can be no  assurance  that the Company  will be  successful  in  achieving
profitability  or  acquiring   additional  capital  or  that  such  capital,  if
available,  will be on terms and conditions favorable to the Company. Based upon
its current business plan, the Company believes it will generate sufficient cash
flow through  operations and external sources of capital to continue to meet its
obligations in a timely manner.

NOTE 2- LOSS PER SHARE

Basic  earnings per share is computed by dividing  net loss by weighted  average
number of shares of common stock  outstanding  during each period.  Diluted loss
per share is computed by dividing  net loss by the  weighted  average  number of
shares of common  stock,  common  stock  equivalents  and  potentially  dilutive
securities  outstanding during each period. Diluted loss per common share is not
presented because it is anti-dilutive.




                                       -6-
<PAGE>


                  DYNAMIC IMAGING GROUP, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                               September 30, 2000
                                   (UNAUDITED)



NOTE 3 - RELATED PARTY TRANSACTIONS

The  Company  advanced  funds to certain  companies  affiliated  through  common
ownership.  The advances are non-interest  bearing and are payable on demand. At
September 30, 2000, advances to these companies amounted to $40,585.

Certain  shareholders  of the  Company  and a  company  related  through  common
ownership from time to time, advanced funds to the Company for operations. These
amounts are non-interest bearing, non-collateralized, and are payable on demand.
As of  September  30, 2000,  amounts due to these  related  parties  amounted to
$26,500.

NOTE 4 - ACQUISITIONS

During January 2000, the Company acquired 100% of the outstanding  stock of Digi
of Fort  Lauderdale,  Inc. in exchange for 33,000 shares of Company stock with a
fair value of $26,400.  The Company  accounted  for this  acquisition  using the
purchase method of accounting.  The purchase price equaled the fair value of net
liabilities assumed. The results of operations of Digi of Fort Lauderdale,  Inc.
are  included in the  accompanying  financial  statements  from  January 1, 2000
(effective date of acquisition) to June 30, 2000. Digi of Fort Lauderdale,  Inc.
commenced operations subsequent to June 30, 1999. Therefore, unaudited pro forma
consolidated results of operations have not been presented. On July 1, 2000, the
Company  sold 50% of its  interest in Digi of Fort  Lauderdale,  Inc. to a third
party and entered into a joint venture agreement.  As consideration,  the sum of
$20,000 shall be paid to the Company.  The purchaser  surrendered to the Company
10,000  shares of the  Company's  stock to be held in the third party's name for
nine  months.  The common  shares may be sold by the Company at a value of $2.00
per share any time prior to the last day of the ninth month.

On May 15 2000, the Company  acquired 100% of the outstanding  stock of Peerless
Solutions,  Inc. (Peerless) in exchange for 350,000 shares of Company stock with
a fair value of $175,000. As part of the acquisition,  Peerless changed its name
to DIGI eSolutions, Inc. (eSolutions). In addition to these shares, the Peerless
shareholders  shall be entitled  to receive  from the Company no later than June
30, 2003, his or her  proportionate  shares of contingent shares of common stock
of the Company.  Said shares shall bear a restrictive  Rule 144 legend according
to the Securities Act of 1933. The number of contingent  shares is determined by
dividing the Contingent Sum by the Stipulated Value. The Contingent Sum is equal
to Five (5) times the average annual net earnings of DIGI eSolutions  determined
for each of the following  thirteen (13) and twelve (12) month periods beginning
on May 1, 2000 and ending on May 31, 2003.  Peerless provides  businesses with a
wide range of e-commerce services including  development of business to business
applications,  state of the art web technology and staff augmentation  services.
The  Company  accounted  for this  acquisition  using  the  purchase  method  of
accounting.  The  purchase  price  exceeded  the fair  value of net  liabilities
assumed  by  $175,000.  As of May 15,  2000,  eSolutions  did not  have  assets,
liabilities or operations.  The excess has been applied to goodwill and is being
amortized on a straight-line basis over 10 years.

On August 24, 2000, the Company  acquired 100% of ePublishing,  Inc. in exchange
for 300,000  shares of common stock with a fair value of $120,000.  These shares
bear a  restrictive  Rule 144 legend  according to the  Securities  Act of 1933.
ePublishing  is a  concept  company  that will  provide a service  acknowledging
professionals in assorted  categories  through  Who'sWhoDigest.com.  The Company
accounted for this  acquisition  using the purchase method of accounting.  As of
August 24, 2000,  ePublishing  did not have assets or liabilities  but currently
has a website under construction. The excess has been applied to goodwill and is
being amortized on a straight-line basis over 10 years.

                                       -7-

<PAGE>

                  DYNAMIC IMAGING GROUP, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                               September 30, 2000
                                   (UNAUDITED)


NOTE 5 - MARKETABLE EQUITY SECURITIES

Marketable  equity  securities  are  classified  into one of  three  categories:
trading,  available-for-sale,   or  held-to-maturity.   Trading  securities  are
acquired and held  principally for the purpose of selling them in the near term.
Held-to-maturity  securities  are  those  securities  that the  Company  has the
ability and intent to hold to maturity. All other securities not included in the
trading  and  held-to-maturity  categories  are  available-for-sale  securities.
Management  determines  the  appropriate  classifications  of marketable  equity
securities  at  the  time  they  are  acquired  and  evaluates  the   continuing
appropriateness  of the  classification at each balance sheet date. At September
30,  2000,  the  Company  held  only  available-for-sale  securities,  which are
reported at fair value with  unrealized  gains and losses excluded from earnings
and reported as a separate component of stockholders' deficit.

NOTE 6 - NOTES AND DEBENTURES PAYABLE

The Company  has a note  payable to an  unaffiliated  third  party.  The note is
non-interest  bearing,  non-collateralized,  and due on  April  1,  2000.  As of
September 30, 2000, the note payable to this third party amounted to $50,000. In
connection with the note payable,  the Company issued 50,000  restricted  common
shares in 1999. The value of the consideration,  $40,000 based on the fair value
price per share of $.80,  was  reflected  as  interest  expense  and  charged to
operations  in the year ended  December 31,  1999.  If the note is not repaid on
April 1, 2000,  a penalty of 50,000  shares per month shall be paid to the third
party. During the quarter ended June 30, 2000, the Company issued 150,000 shares
of common stock in accordance with this note agreement. These shares were valued
at fair value of $.50 per share.  During the quarter  ended  September 30, 2000,
the Company issued  150,000 shares of common stock in accordance  with this note
agreement.  These  shares  were valued at fair value of  approximately  $.40 per
share. As of November 1, 2000, the note had not been repaid.

On July 10,  2000,  the Company  signed a  convertible  debenture  and  borrowed
$27,826  from  a  third  party.  The  entire   outstanding  debt  plus  interest
aggregating  $65,000 shall be due and payable on October 10, 2000. The aggregate
debt amounting to $65,000 shall be convertible,  upon default,  at the option of
the lender,  into shares of the Company's  common stock.  On September 22, 2000,
the third party  converted the entire  debenture  into 226,087  shares of common
stock at a conversion price of $.285, which represents fair value.

On September 7, 2000,  the Company  signed a convertible  debenture and borrowed
$50,000  from a third party.  Interest  has been  imputed at 12% per annum.  The
entire outstanding debt plus interest shall be due and payable on March 7, 2001.
The aggregate  debt shall be  convertible,  upon  default,  at the option of the
lender, into shares of the Company's common stock at a conversion price of $1.00
per share.

NOTE 7- STOCKHOLDERS' EQUITY (DEFICIT)

Preferred Stock

The Company is authorized to issue 5,000,000 shares of Preferred Stock with such
designations,  rights and  preferences as may be determined from time to time by
the Board of Directors.




                                       -8-

<PAGE>

                  DYNAMIC IMAGING GROUP, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                               September 30, 2000
                                   (UNAUDITED)


NOTE 7- STOCKHOLDERS' EQUITY (DEFICIT) (Continued)

Common Stock

During July 2000,  the Company  issued 32,000 shares of common stock in exchange
for professional services rendered.  These shares were valued at a fair value of
$.50 per share and charged to operations.

During August 2000, the Company issued 11,500 shares of restricted  common stock
in exchange for professional  services  rendered.  These shares were valued at a
fair value $.40 per share and charged to operations.

During August 2000, the Company issued 150,000 shares of restricted common stock
as payment of interest  expense on a note  payable.  These shares were valued at
approximately $.40 per share, the fair values and charged to operations.

During August 2000, the Company issued 78,800 shares of restricted  common stock
for proceeds of $19,700.

On August 24, 2000, the Company  acquired 100% of ePublishing,  Inc. in exchange
for 300,000  restricted  shares of common  stock.  These shares were valued at a
fair value of $.40 per share.

On August 28, 2000,  the Company issued 62,500  restricted  shares of its common
stock in full satisfaction of certain indebtedness  amounting to $25,000.  These
shares were valued at approximately $.40 per share, the fair values.

On September  22, 2000,  the Company  issued  226,087  restricted  shares of its
common stock in full satisfaction of certain indebtedness  amounting to $65,000.
These shares were valued at approximately $.285 per share, the fair values.

On September  30, 2000,  the Company  issued  759,215  restricted  shares of its
common stock in full  satisfaction  of accrued  salaries  amounting to $288,502.
These shares were valued at approximately $.38 per share, the fair values.

The Company has reserved  310,650 shares of common stock in the name of a vendor
as  collateral  for an  accounts  payable  balance  amounting  to  approximately
$255,000 as of September 30, 2000.

NOTE 8 -COMPREHENSIVE INCOME

The Company uses  Statement of Financial  Accounting  Standards  (SFAS) No. 130,
"Reporting Comprehensive Income." This pronouncement sets forth requirements for
disclosure  of  the  Company's   comprehensive   income  and  accumulated  other
comprehensive  items. In general,  comprehensive  income combines net income and
"other  comprehensive  items," which represent certain amounts that are reported
as  components  of  stockholders'  equity  in the  accompanying  balance  sheet,
including foreign currency translation  adjustments.  For the nine months ending
September 30, 2000, the Company had no comprehensive income.







                                       -9-

<PAGE>

                  DYNAMIC IMAGING GROUP, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                               September 30, 2000
                                   (UNAUDITED)


NOTE 9 - SEGMENT INFORMATION

The Company  operates in two  reportable  business  segments - (1) sale of trade
show displays and graphics, and (2) e-commerce services including development of
business to business  applications,  state of the art web  technology  and staff
augmentation  services. The Company's reportable segments are strategic business
units that offer different  products.  They are managed  separately based on the
fundamental differences in their operations.

Information with respect to these reportable  business segments for the nine and
three months ended September 30, 2000 is as follows:

<TABLE>
<CAPTION>
                                                              For the Nine Months Ended September 30, 2000
                                                      -------------------------------------------------------------
                                                         Trade Show
                                                        Displays and          E-commerce           Consolidated
                                                          Graphics            Solutions               Total
                                                      -----------------    -----------------    -------------------
<S>                                                   <C>                  <C>                  <C>
Net Sales                                             $        555,905     $        277,107     $          833,012
Costs and Operating Expenses                                 1,478,704              146,311              1,625,015
Interest Expense                                               175,030                    -                175,030
                                                      -----------------    -----------------    -------------------
Net Income (Loss)                                     $     (1,097,829)    $        130,796     $         (967,033)
                                                      =================    =================    ===================
</TABLE>

<TABLE>
<CAPTION>
                                                             For the Three Months Ended September 30, 2000
                                                      -------------------------------------------------------------
                                                         Trade Show
                                                        Displays and          E-commerce           Consolidated
                                                          Graphics            Solutions               Total
                                                      -----------------    -----------------    -------------------
<S>                                                   <C>                  <C>                  <C>
Net Sales                                             $        137,603     $        277,107     $          414,710
Costs and Operating Expenses                                   469,606              146,311                615,917
Interest Expense                                                98,043                    -                 98,043
                                                      -----------------    -----------------    -------------------

Net Income (Loss)                                     $       (430,046)    $        130,796     $         (299,250)
                                                      =================    =================    ===================
</TABLE>
<TABLE>
<CAPTION>
                                                              For the Nine Months Ended September 30, 2000
                                                      -------------------------------------------------------------
                                                         Trade Show
                                                        Displays and          E-commerce           Consolidated
                                                          Graphics            Solutions               Total
                                                      -----------------    -----------------    -------------------
<S>                                                   <C>                  <C>                  <C>
Net Sales                                             $        555,905     $        277,107     $          833,012
Costs and Operating Expenses                                 1,478,704              146,311              1,625,015
Interest Expense                                               175,030                    -                175,030
                                                      -----------------    -----------------    -------------------
Net Income (Loss)                                     $     (1,097,829)    $        130,796     $         (967,033)
                                                      =================    =================    ===================
</TABLE>

<TABLE>
<CAPTION>
                                                             For the Three Months Ended September 30, 2000
                                                      -------------------------------------------------------------
                                                         Trade Show
                                                        Displays and          E-commerce           Consolidated
                                                          Graphics            Solutions               Total
                                                      -----------------    -----------------    -------------------
<S>                                                   <C>                  <C>                  <C>
Net Sales                                             $        137,603     $        277,107     $          414,710
Costs and Operating Expenses                                   469,606              146,311                615,917
Interest Expense                                                98,043                    -                 98,043
                                                      -----------------    -----------------    -------------------

Net Income (Loss)                                     $       (430,046)    $        130,796     $         (299,250)
                                                      =================    =================    ===================
</TABLE>


During the nine and three  months  ended  September  30,  1999,  the  e-commerce
segment was not in operations.

                                      -10-
<PAGE>


                  DYNAMIC IMAGING GROUP, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                               September 30, 2000
                                   (UNAUDITED)

NOTE 10 - FUTURE EFFECTS OF RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS

In  June  1998,  the  FASB  issued  SFAS  No.  133  "Accounting  for  Derivative
Instruments and Hedging Activities." This statement  establishes  accounting and
reporting  standards  for  derivative  instruments  embedded in other  contracts
(collectively  referred to as "derivatives"),  and for hedging  activities.  The
statement  requires  companies to recognize all  derivatives as either assets or
liabilities,  with the  instruments  measured at fair value.  The accounting for
changes in fair  value,  gains or losses,  depends  on the  intended  use of the
derivative and its resulting designation. In June 1999, the FASB issued SFAS No.
137, which defers the effective  date of SFAS No. 133 to fiscal years  beginning
after June 15, 2000. The company  expects no immediate  impact from SFAS No. 133
as it currently has no derivatives.

In  March  2000,   the  Financial   Accounting   Standards   Board  issued  FASB
Interpretation  No. 44,  "Accounting  for Certain  Transactions  Involving Stock
Compensation,  an  Interpretation  of APB Opinion No. 25". With the exception of
certain  provisions that required earlier  application,  this  interpretation is
effective  for all  applicable  transactions  beginning  July 1, 2000. We do not
expect that the adoption of this  interpretation  will have a material impact on
our financial statements.

ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS

Results of Operations

This report on Form 10-QSB contains certain  forward-looking  statements,  which
are  subject to risks and  uncertainties  which could  cause  actual  results to
differ  materially  from those discussed in the  forward-looking  statements and
from historical results of operations.  Among the risks and uncertainties  which
could cause such a difference are those relating to our dependence  upon certain
key personnel, our ability to manage its growth, our success in implementing the
business strategy,  our success in arranging  financing where required,  and the
risk of economic and market factors  affecting the us or our customers.  Many of
such risk factors are beyond our control.

Nine months ended September 30, 2000 compared to nine months ended September 30,
1999.

Net sales for the nine months ended September 30, 2000 were $833,012 as compared
to net sales for the nine months  ended  September  30, 1999 of  $356,089.  This
increase in net sales of $476,923 for the nine months ended  September  30, 2000
is  principally  due to net  sales  from our  e-commerce  segment  amounting  to
$277,107 that was primarily  derived from web site  development.  Net sales from
our trade show displays and graphics  segment  increased by $199,816 as compared
to the nine months ended  September  30, 2000.  We  attribute  this  increase to
increased sales and marketing efforts.

Cost of sales is attributable  to our trade show display and graphics  segments.
For the nine months ended September 30, 2000, cost of sales amounted to $262,228
or 47% of net sales  from our  display  and  graphics  segment  as  compared  to
$180,285 or 51% of net sales for the nine months ended  September  30, 1999.  We
recognize  a greater  gross  profit  margin  from  graphic  sales as compared to
display sales.  Net sales and gross profits depend in part on the volume and mix
of display sales, graphic sales and rental sales. Graphic products have a higher
gross  margin with a relatively  lower sales  transaction  amount per  customer,
while  display  sales  have  a  comparably  lower  gross  profit  margin  with a
relatively higher sales transaction amount per customer.  During the nine months
ended September 30, 2000,  display sales accounted for  approximately 48% of net
sales as compared to  approximately  80% of net sales for the nine months  ended
September 30, 1999.  Accordingly,  we recognized gross profit margins of 53% for
the nine months ended  September 30, 2000 as compared to gross profit margins of
49% for the nine months ended September 30, 1999.

                                      -11-

<PAGE>

ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS (continued)

Results of Operations (Continued)

Nine months ended September 30, 2000 compared to nine months ended September 30,
1999 (Continued)

Consulting  fees were  $164,970 for the nine months ended  September 30, 2000 as
compared to $-0- for the nine months ended  September 30, 1999.  The increase is
primarily  attributable  to  investment  banking  and  other  fees  incurred  in
connection  with our stock  sales.  Additionally,  during May and June 2000,  we
issued  101,500  shares  of  common  stock  in  exchange  for  professional  and
consulting  services  rendered.  These shares were valued at $.50 per share, the
fair values, and charged to consulting fees.

Contract labor expenses include costs and commissions related to our sales force
that is comprised of both direct employees of the Company (included in salaries)
and  independent  sales  representatives.  Contract labor also includes costs of
certain  individuals related to administration and purchasing who are engaged on
a contractual  basis.  Contract labor expenses were $235,622 for the nine months
ended  September  30, 2000 as compared  to  $163,196  for the nine months  ended
September 30, 1999. The increase in contract labor is attributable to our growth
and need to support our  existing  products  and service  business as well as to
provide the  infrastructure  for future  growth.  Additionally,  our  e-commerce
segment uses  independent  contractors to perform  certain web site  development
services.

Professional  fees were $47,326 for the nine months ended  September 30, 2000 as
compared to $23,641 for the nine months ended  September 30, 1999.  The increase
is  attributable  to the fact that we incurred  additional  legal and accounting
fees in connection with the filing of our registration  statement on Form 10-SB,
as filed and subsequently amended, during fiscal 2000.

Rent  expense  was  $75,137  for the nine  months  ended  September  30, 2000 as
compared to $56,002 for the nine months ended  September 30, 1999.  The increase
was directly  attributable  to the  acquisition of our wholly owned  subsidiary,
Digi of Fort  Lauderdale,  Inc. in January  2000. On July 1, 2000, we sold a 50%
interest in this subsidiary to a third party. Accordingly, we ceased paying rent
on this facility.

Salaries were $429,302 for the nine months ended  September 30, 2000 as compared
to $349,126 for the nine months ended September 30, 1999. The increase in salary
was directly  attributable  to the addition of our  e-commerce  subsidiary  with
salaries  amounting  to $79,165.  Salary  figures  for our display and  graphics
business have remained comparatively steady over the periods. We anticipate head
count to remain consistent.  We will continue to use contract labor as necessary
to complete projects and to generate sales.

Other selling,  general and  administrative  expenses,  which include travel and
entertainment,  insurance, auto, telephone and other expenses, were $385,367 for
the nine months  ended  September  30, 2000 as compared to $224,081 for the nine
months ended  September  30, 1999.  The  increase is primarily  attributable  to
increased selling and marketing efforts. Additional, we have incurred additional
travel and entertainment expenses related to our SEC filings, stock registration
and investment banking activities.

Interest  expense was  $175,030 for the nine months  ended  September  30, 2000,
respectively,  as compared to $-0- for the nine months ended September 30, 1999.
The increase was directly  attributable to our issuance 300,000 shares of common
stock as payment of interest expense on a note payable. These shares were valued
at prices ranging from $.50 to $.40 per share, the fair values.





                                      -12-
<PAGE>


ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS (continued)

Results of Operations (Continued)

Three months ended  September 30, 2000 compared to three months ended  September
30, 1999.

Net sales  for the three  months  ended  September  30,  2000 were  $414,710  as
compared to net sales for the three months ended September 30, 1999 of $165,818.
This increase in net sales of $248,892 for the three months ended  September 30,
2000 is principally  due to net sales from our e-commerce  segment  amounting to
$259,562 that was primarily  derived from web site  development.  Net sales from
our trade show displays and graphics segment decreased by $10,670 as compared to
the three months ended September 30, 2000.

Cost of sales is attributable  to our trade show display and graphics  segments.
For the three months ended September 30, 2000, cost of sales amounted to $80,611
or 52% of net sales from our display and graphics segment as compared to $71,842
or 43% of net sales for the three months ended September 30, 1999.

Consulting  fees were $33,300 for the three months ended  September  30, 2000 as
compared to $-0- for the three months ended  September 30, 1999. The increase is
primarily  attributable  to  investment  banking  and  other  fees  incurred  in
connection with our stock sales.

Contract labor expenses include costs and commissions related to our sales force
that is comprised of both direct employees of the Company (included in salaries)
and  independent  sales  representatives.  Contract labor also includes costs of
certain  individuals related to administration and purchasing who are engaged on
a contractual basis.  Contract labor expenses were $112,710 for the three months
ended  September  30, 2000 as compared  to $82,988  for the three  months  ended
September 30, 1999. The increase in contract labor is attributable to our growth
and need to support our  existing  products  and service  business as well as to
provide the  infrastructure  for future  growth.  Additionally,  our  e-commerce
segment uses  independent  contractors to perform  certain web site  development
services.

Professional  fees were $10,061 for the three months ended September 30, 2000 as
compared to $8,076 for the three months ended  September 30, 1999.  The increase
is  attributable  to the fact that we incurred  additional  legal and accounting
fees in connection with the filing of our registration  statement on Form 10-SB,
as filed and subsequently amended, during fiscal 2000.

Salaries were $197,106 for the three months ended September 30, 2000 as compared
to $114,551  for the three  months ended  September  30,  1999.  The increase in
salary was directly  attributable  to the addition of our e-commerce  subsidiary
with salaries amounting to $79,165.  Salary figures for our display and graphics
business have remained comparatively steady over the periods. We anticipate head
count to remain consistent.  We will continue to use contract labor as necessary
to complete projects and to generate sales.

Other selling,  general and  administrative  expenses,  which include travel and
entertainment,  insurance, auto, telephone and other expenses, were $149,570 for
the three months ended  September  30, 2000 as compared to $53,943 for the three
months ended  September  30, 1999.  The  increase is primarily  attributable  to
increased sale and marketing efforts.  Additionally, we have incurred additional
travel and entertainment expenses related to our SEC filings, stock registration
and investment banking activities.





                                      -13-

<PAGE>

ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS (continued)

Results of Operations (Continued)

Three months ended  September 30, 2000 compared to three months ended  September
30, 1999 (Continued)

Interest  expense was $98,043 for the three months ended  September  30, 2000 as
compared to $-0- for the three months ended September 30, 1999. The increase was
directly  attributable to our issuance 150,000 shares of common stock during the
three month period ended September 30, 2000 as payment of interest  expense on a
note  payable.  These  shares  were valued at $.40 per share,  the fair  values.
Additionally, we incurred interest expense on a debenture payable.

As a result of the foregoing  factors,  we incurred losses of $967,033 or ($.15)
per share for the nine months ended  September 30, 2000 as compared to a loss of
$649,242 or ($.12) per share for the nine months ended September 30, 1999.

LIQUIDITY AND CAPITAL RESOURCES

Since our inception,  we have incurred losses of approximately  $2,457,159.  Our
operations  and growth have been  funded by the sale of common  stock with gross
proceeds of approximately $1,049,000 and working capital borrowings amounting to
$50,000.   Additionally,   we  signed   convertible   debentures   and  borrowed
approximately  $125,000 from third parties and related parties. These funds were
used for working capital and capital  expenditures.  During August and September
2000,  we issued  common  stock in exchange  for debt  aggregating  $90,000.  On
September  30, 2000,  we issued  common  stock in exchange for accrued  salaries
amounting to $288,502.  We believe  that the  conversion  of this debt to equity
will help our cash flow position.

We have no other material commitments for capital expenditures.  We believe that
we have sufficient  liquidity to meet all of our cash  requirements for the next
twelve months through cost reductions and increased  marketing  efforts together
with additional  proceeds from common stock sales. A key element of our strategy
is to continue to expand our sales force and to evaluate opportunities to expand
through  acquisition of companies  engaged in similar and related  complementary
businesses.  During  May 2000,  we  acquired  100% of the  outstanding  stock of
Peerless  Solutions,  Inc.  (Peerless) in exchange for 350,000 shares of Company
stock  with a fair  value  of  $175,000.  As part of the  acquisition,  Peerless
changed its name to DIGI  eSolutions,  Inc.  (eSolutions).  Esolutions  provides
businesses  with a wide range of e-commerce  services  including  development of
business to business  applications,  state of the art web  technology  and staff
augmentation  services.  We expect eSolutions to generate revenues and cash flow
aggregating  $400,000  during  the  fourth  quarter of the  calendar  year.  Any
additional acquisitions may require additional capital, although there can be no
assurances  that any  acquisitions  will be  completed.  Also,  we believe  that
additional funding will be necessary to expand our market share.

During the nine months ended September 30, 2000, our operating cash  requirement
was  $369,881  attributable  to a net loss of  $967,033  mitigated  by  non-cash
charges for depreciation and amortization of $25,063,  stock based  compensation
of $148,851 and interest  expense of $135,000.  The net remaining  shortfall was
primarily  funded by the net sale of common stock for $255,200 and proceeds from
notes and debentures  payable for $140,000 received during the nine months ended
September 30, 2000.  Partially offsetting this funding were capital expenditures
of $29,945.

During the nine months ended September 30, 1999, our operating cash  requirement
was  $483,120  attributable  to a net loss of  $649,242  mitigated  by  non-cash
charges for depreciation and amortization of $9,000, stock based compensation of
$2,000 and the  recognition  of  officers  compensation  on donated  services of
$60,000.  The net remaining shortfall was primarily funded by the sale of common
stock for $595,735  received  during the nine months ended  September  30, 1999.
Partially  offsetting  this  funding were  capital  expenditures  related to the
acquisitions of trade show displays to be used in our display rental business of
$129,159.


                                      -14-

<PAGE>

                           PART II - OTHER INFORMATION


Item 1.  Legal Proceedings

         We are not involved in any material litigation

Item 4.  Submission of Matters to Vote of Security Holders

         None

Item 6.  Exhibits and Reports on Form 8-K

         (a)    Exhibits

                (27) Financial Data Schedule

         (b)    There were no current reports on Form 8-K filed by us during the
                nine months ended September 30, 2000.
 .



                                   SIGNATURES


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

                                            DYNAMIC IMAGING GROUP, INC.


Dated:   November 15, 2000                  By:/s/Gary Morgan
                                            ------------------------------------

                                            Gary Morgan, Chief Executive Officer

Dated:   November 15, 2000                  By:/s/Roland Breton
                                            ------------------------------------

                                            Roland Breton, President

                                      -15-
<PAGE>

                                  EXHIBIT INDEX



EXHIBIT
NUMBER                     DESCRIPTION

     1                     Financial Data Schedule