FORM 10-Q
                                   UNITED STATES 
                         SECURITIES AND EXCHANGE COMMISSION
                               WASHINGTON, D.C. 20549


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



                        For the Quarter Ended March 31, 1997
                             Commission File No. 0-5200



                                    BONTEX, INC.
               (Exact name of registrant as specified in its charter)


                    VIRGINIA                        54-0571303
       (State or other jurisdiction of           (I.R.S. Employer
       incorporation or organization)            Identification No.)


    ONE BONTEX DRIVE, BUENA VISTA, VIRGINIA         24416-0751
    (Address of principal executive offices)        (Zip Code)



                    Registrant's telephone number:  540-261-2181

Georgia Bonded Fibers, Inc., 15 Nuttman Street, Newark, New Jersey 07013-3508
       (former name or former address, if changed since last report)


Indicate by checkmark whether the registrant (1) has filed all reports 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 description and number of shares outstanding of each of the
issuer's classes of common stock as of the latest practicable date.


            Class                                Outstanding at May 8, 1997
Common Stock - $.10 par value                              1,572,824

Preferred Stock - no par value                                None
<PAGE>
                                     BONTEX, INC.
                                       FORM 10-Q
                      FOR THE SECOND QUARTER ENDED MARCH 31, 1997


                                         INDEX



PART I.      FINANCIAL INFORMATION                                    Page No.

    Item 1.  Financial Statements

    CONDENSED CONSOLIDATED BALANCE SHEETS
    March 31, 1997 and 1996, June 30,1996 . . . . . . . . . . . . . . . . . . 3

    CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS) AND RETAINED EARNINGS
    Third Quarter Ended March 31, 1997 and 1996 . . . . . . . . . . . . . . . 4

    CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
    Third Quarter Ended March 31, 1997 and 1996 . . . . . . . . . . . . . . . 5

    CONDENSED NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS. . . .  6, 7

    Item 2.  Management's Discussion and Analysis of Financial Condition and
             Results of Operations. . . . . . . . . . . . . . . . . . . . .8-10


PART II.     OTHER INFORMATION

    Item 1.  Legal Proceedings. . . . . . . . . . . . . . . . . . . . . . . .11

    Item 2.  Changes in Securities. . . . . . . . . . . . . . . . . . . . . .11

    Item 3.  Defaults Upon Senior Securities. . . . . . . . . . . . . . . . .11

    Item 4.  Submission of Matters to Vote of Security Holders. . . . . . . .11

    Item 5.  Other Information. . . . . . . . . . . . . . . . . . . . . . . .11

    Item 6.  Exhibits and Reports on Form 8-K . . . . . . . . . . . . . . . .11

<PAGE>
                                            PART I.  FINANCIAL INFORMATION
Item 1.  Financial Statements
<TABLE>
<CAPTION>
                                             BONTEX, INC. AND SUBSIDIARIES
                                         CONDENSED CONSOLIDATED BALANCE SHEETS
                                                (Dollars in Thousands)

                                                         March 31,           June 30,
                                                        (unaudited)
                                                    1997          1996         1996
<S>                                            <C>            <C>         <C>
ASSETS
Current assets:
  Cash and cash equivalents                       $  1,096     $    286     $    715 
  Trade accounts receivable, less allowance
    for doubtful accounts of $244 ($138 at
    March '96, $134 at June '96)                    11,610       13,289       14,078 
  Other receivables                                    741          631          527 
  Inventories                                        5,801        6,937        5,495 
  Deferred income taxes                                320          450          676 
  Income taxes refundable                                5          357           14 
  Other current assets                                 419          309          116 
                                                   -------      -------      ------- 
      TOTAL CURRENT ASSETS                          19,992       22,259       21,621 
                                                   -------      -------      ------- 
Property, plant and equipment:
  Land                                                 284          293          298 
  Buildings and building improvements                4,571        4,297        4,785 
  Machinery, furniture and equipment                15,540       14,211       15,755 
  Construction in progress                           1,838        2,676          782        
                                                   -------      -------      ------- 
                                                    22,233       21,477       21,620 
  Less accumulated depreciation and amortization    11,506       11,056       11,165 
                                                   -------      -------      ------- 
      Net property, plant and equipment             10,727       10,421       10,455 
                                                   -------      -------      ------- 
  Deferred income taxes                                232          846          442 
  Other assets, at cost less applicable
    amortization                                       341          455          663 
                                                   -------      -------      ------- 
      TOTAL ASSETS                                $ 31,292     $ 33,981     $ 33,181 
                                                   =======      =======      ======= 
<PAGE>
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
  Short-term borrowings                           $  7,543     $  9,241     $  9,416 
  Accounts payable                                   6,967        8,755        8,047 
  Accrued expenses                                   2,436        2,748        2,345 
  Income taxes payable                                 154            -          169 
  Deferred income taxes                                  -            -            - 
  Long-term debt due currently                         588          589          566 
                                                   -------      -------      ------- 
      TOTAL CURRENT LIABILITIES                     17,688       21,333       20,543 


  Long-term debt                                     2,813        2,444        2,330 
  Other long-term liabilities                            -           35            - 
                                                   -------      -------      ------- 
      TOTAL LIABILITIES                             20,501       23,812       22,873 
                                                   -------      -------      ------- 
Stockholders' equity:
  Common stock of $.10 par value. Authorized
    10,000,000 shares; issued 1,572,824 shares         157          157          157 
  Preferred stock of no par value. Authorized
    10,000,000 shares; issued no shares                  -            -            - 
  Additional capital                                 1,551        1,551        1,551 
  Retained earnings                                  8,474        7,382        7,611 
  Foreign currency translation adjustment              609        1,079          989 
                                                   -------      -------      ------- 
      TOTAL STOCKHOLDERS' EQUITY                    10,791       10,169       10,308 
                                                   -------      -------      ------- 
      TOTAL LIABILITIES & STOCKHOLDER'S EQUITY    $ 31,292     $ 33,981     $ 33,181 
                                                   =======      =======      ======= 

</TABLE>
See accompanying notes to condensed consolidated financial statements.
<PAGE>
<TABLE>
<CAPTION>
                                                     BONTEX, INC.
                                  CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS)
                                                 AND RETAINED EARNINGS
                                  (Dollars in Thousands Except for per Share Amounts)
                                                      (Unaudited)

                                                    Nine Months Ended           Quarter Ended
                                                         March 31,                 March 31,
                                                    1997         1996          1997         1996

<S>                                             <C>          <C>          <C>          <C>
Net Sales                                          $35,815      $34,389      $13,097      $13,117 
Cost of Sales                                       24,497       27,248        8,756        9,618 
                                                   -------      -------      -------      ------- 
    Gross Profit                                    11,318        7,141        4,341        3,499 

Selling, General and Administrative Expenses         8,957        8,091        3,360        2,895 
                                                   -------      -------      -------      ------- 
    Operating Income (Loss)                          2,361         (950)         981          604 
                                                   -------      -------      -------      ------- 
Other (Income) Expense:

  Interest expense                                     922          919          281          293 
  Interest income                                       (2)         (31)          (1)          (4)
  Foreign currency exchange (gain) loss                 (5)        (569)          33           25 
  Other, net                                             7          (70)          (8)          (9)
                                                   -------      -------      -------      ------- 
    Total Other                                        922          249          305          305 
                                                   -------      -------      -------      ------- 
Income (Loss) Before Income Taxes                    1,439       (1,199)         676          299 
Provision for Income Taxes                             576         (368)         274          187 
                                                   -------      -------      -------      ------- 
Net income (loss)                                      863         (831)         402          112 

Retained earnings, beginning of period               7,611        8,213        8,072        7,270 
                                                   -------      -------      -------      ------- 
Retained earnings, end of period                   $ 8,474      $ 7,382      $ 8,474      $ 7,382 
                                                   =======      =======      =======      ======= 
Income (Loss) per share                            $   .55      $  (.53)     $   .26      $   .07 
                                                   =======      =======      =======      ======= 
</TABLE>
See accompanying notes to condensed consolidated financial statements.
<PAGE>
<TABLE>
<CAPTION>
                                                     BONTEX, INC. 
                                    CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
                                                (Dollars In Thousands)
                                                      (unaudited)
                                                                       Nine Months Ended
                                                                            March 31,
                                                                        1997         1996
<S>                                                                <C>          <C>
Cash Flows from Operating Activities:
  Cash received from customers                                        $ 38,081     $ 38,660 
  Cash paid to suppliers and employees                                 (34,924)     (37,499)
  Interest received                                                         62          106 
  Interest paid                                                         (1,026)      (1,014)
  Income taxes paid, net of refunds                                       (106)        (248)
                                                                       -------      ------- 
      Net cash provided by operating activities                          2,087            5 
                                                                       -------      ------- 
Cash Flows from Investing Activities:
  Acquisition of property, plant and equipment                          (1,651)      (1,529)
  Other assets, net                                                          -           (8)
                                                                       -------      ------- 
      Net cash used in investing activities                             (1,651)      (1,537)
                                                                       -------      ------- 
Cash Flows from Financing Activities:
  Decrease in short-term borrowings, net                                  (594)      (2,062)
  Long-term debt incurred                                                2,551            - 
  Principal payments on long-term debt and capital lease obligations    (1,867)        (488)
                                                                       -------      ------- 
      Net cash provided by (used in) financing activities                   90       (2,550)
                                                                       -------      ------- 
Effect of Exchange Rate Changes on Cash                                   (145)         (11)
                                                                       -------      ------- 
Net Increase (Decrease) in Cash and Cash Equivalents                       381       (4,093)
Cash and Cash Equivalents at Beginning of Year                             715        4,379 
                                                                       -------      ------- 
Cash and Cash Equivalents at End of Period                            $  1,096     $    286 
                                                                       =======      ======= 
Reconciliation of Net Income (Loss) to Net Cash Provided by
  Operating Activities:
  Net income (loss)                                                   $    863     $   (831)
  Adjustments to reconcile net income (loss) to net cash provided by
    operating activities:
    Depreciation and amortization                                          911          796 
    Provision for bad debts                                                177           10 
    Deferred income taxes                                                  529         (532)
    Change in assets and liabilities:
      Decrease in trade accounts and other receivables                   1,258         1,325
      (Increase) decrease in inventories                                  (908)         557 
      Increase in other assets                                            (310)         (75)
      Decrease in accounts payable and accrued expenses                   (451)        (865)
      Increase (decrease) in income taxes                                   10         (239)
      Increase (decrease) in other liabilities                               8         (141)
                                                                       -------      ------- 
      Net cash provided by operating activities                       $  2,087     $      5 
                                                                       =======      ======= 
</TABLE>
See accompanying notes to consolidated financial statements.
<PAGE>
                                    BONTEX, INC.
           CONDENSED NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
                      MARCH 31, 1997 AND 1996 AND JUNE 30, 1996
                                     (Unaudited)



1.     The accompanying unaudited condensed consolidated financial statements
       have been prepared by Bontex, Inc. and its subsidiaries (the "Company")
       in accordance with generally accepted accounting principles for interim
       financial reporting information and the instructions to Form 10-Q and
       Article 10 of Regulation S-X.  Accordingly, they do not include all of
       the information and notes required by generally accepted accounting
       principles for complete financial statements.  In the opinion of
       management, all material adjustments, consisting of normal recurring
       accruals, considered necessary for a fair presentation of the results
       of operations, financial position and cash flows for each period shown,
       have been included.  Operating results for interim periods are not
       necessarily indicative of the results for the full year.  The unaudited
       condensed consolidated financial statements and condensed notes are
       presented as permitted by Form 10-Q and do not contain certain
       information included in the Company's annual consolidated financial
       statements and notes.  For further information, refer to the
       consolidated financial statements and notes thereto included in the
       Company's annual report on Form 10-K for the year ended June 30, 1996.

2.     The condensed consolidated balance sheets include the following related
       to European subsidiaries:
<TABLE>
<CAPTION>
                                            March 31,            June 30,
                                        1997         1996          1996
                                           (Dollars in Thousands)
             <S>                   <C>          <C>          <C>
             Current assets           $ 13,311     $ 15,088     $ 14,905
             Total assets               18,755       21,102       20,412
             Current liabilities        13,157       16,458       15,991
             Total liabilities          14,850       17,594       17,090
             Stockholders' equity        3,905        3,508        3,249
</TABLE>

             The condensed consolidated statements of income include the
             following related to European subsidiaries:
<TABLE>
<CAPTION>
                                   Nine Months Ended           Quarter Ended
                                        March 31,                 March 31,
                                   1997         1996         1997          1996
                                             (Dollars in Thousands)

             <S>              <C>          <C>          <C>            <C>
             Net Sales           $21,026      $21,792      $ 7,585        $8,364

             Net income (loss)       565         (419)         368          (16)
</TABLE>
<PAGE>
                                    BONTEX, INC.
           CONDENSED NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
                      MARCH 31, 1997 AND 1996 AND JUNE 30, 1996
                                     (Unaudited)


3.     The last in, first out (LIFO) method of inventory pricing is used by
       the United States company.  Inventories of the European subsidiaries
       are valued at the lower of cost or market using the first-in, first-out
       (FIFO) and weighted average bases.  Inventories are summarized as
       follows:
<TABLE>
<CAPTION>
                                            March 31,            June 30,
                                        1997         1996          1996
                                           (Dollars in Thousands)
             <S>                   <C>          <C>          <C>
             Finished goods            $ 3,341      $ 3,792      $ 3,731
             Raw Materials               2,204        3,218        1,791
             Supplies                      635          575          603
                                        ------       ------       ------
               Inventories at FIFO       6,180        7,585        6,125
             LIFO reserves                 379          648          630
                                        ------       ------       ------
                                       $ 5,801      $ 6,937      $ 5,495
                                        ======       ======       ======
</TABLE>

4.     Per share calculations are based on shares outstanding of 1,572,824
       common shares for all periods.

<PAGE>
                                    BONTEX, INC.
              ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
                         CONDITION AND RESULTS OF OPERATIONS
                FOR THE NINE MONTHS AND QUARTER ENDED MARCH 31, 1997
                                     (Unaudited)


On January 2, 1997, the Company completed a reorganization plan which
changed, among several items, the Company's name to Bontex, Inc. (formerly
Georgia Bonded Fibers, Inc.).  For further information see REORGANIZATION
below.


RESULTS OF OPERATIONS

Except for historical data set forth herein, the following discussion
contains certain forward-looking information.  The Company's actual results
may differ significantly from the projected results.  Factors that could
cause or contribute to such differences include, but are not limited to,
level of sales to key customers, actions by competitors, and fluctuations in
the price of primary raw materials and foreign currency exchange rates.

The results of operations for the third quarter of fiscal 1997 reflect
continued improvement and profitability.  During the third quarter, the
Company generated a consolidated operating profit of $981,000, and net income
of $402,000 or $.26 per share, as compared to the operating profit of
$604,000 and net income of $112,000 or $.07 per share last year.  For the
nine months ending March 31, 1997, the Company generated an operating profit
of $2.4 million and net income of $863,000 or $.55 per share, an improvement
of $1.7 million and $461,000, respectively, as compared to the prior year. 
Consolidated net sales increased $1.4 million or 4.1 percent to $35.8 million
for the nine months ended March 31, 1997.

The higher consolidated sales reflect both increased volume and higher
average selling prices.  The fluctuation in foreign currency exchange rates
resulted in a $100,000 translation decrease in net sales.

Seasonality exists in that the first half of each fiscal year is typically
lower in volume than the second half, which is largely due to customer's
scheduled vacations, shutdowns, holidays and purchasing cycles.

Gross profit as a percentage of net sales (i.e., Gross Margin) for the first
nine months of fiscal 1997 improved significantly over the same period last
year from 20.8 percent to 31.6 percent.  These positive operating conditions
are expected to continue during the remainder of fiscal 1997.  

The overall decline in operating margins during the last quarter of fiscal
1995 and first half of fiscal 1996 is mainly attributed to the increase in
raw material costs.  Selling price increases implemented in fiscal 1996,
coupled with various cost control measures and the moderation of certain raw
material costs, helped restore the Company's operating margins, as noted
during the last six months of fiscal 1996, and the first three quarters of
fiscal 1997.  However, the Company's operating margins remain under pressure
from continued increasing environmental control costs and we have noted
slight increases in domestic pulp prices.

Selling, General & Administrative (SG&A) expenses as a percent of net sales
increased from 23.5 percent to 25.0 percent, as compared to the corresponding
prior year.  The increase in SG&A percentage is mainly due to management
increasing certain marketing expenses.
<PAGE>
The prior year first nine months includes a higher than normal exchange gain,
because during the first quarter last year, the Company recovered a large
portion of the foreign exchange losses incurred during fiscal 1995.  Future
exchange gains or losses are not expected to be material due to the
implementation of the revised risk management program.


FINANCIAL CONDITION

The consolidated financial condition of the Company continues to improve as a
result of positive operating results due to, among other things, management's
continued efforts to control costs and increase sales.  Consolidated equity
increased from June 30, 1996 and totaled $10.8 million at the end of March
1997.  The increase in consolidated equity was partially offset by a
translation decrease in equity of $380,000, resulting from an increase in the
value of the US dollar relative to the Belgian franc and Italian lire. 
Financial ratios at March 31, 1997 generally improved from June 30, 1996
because of the improved operating results.  Working capital increased to $2.3
million from $1.1 million, because of a decrease in short-term borrowings,
accounts payable, accrued expenses and improved operating results.  The
fluctuation in foreign currency exchange rates resulted in a translation
decrease of $2.1 million in total assets as compared to the prior year. 

The increase in cash mainly reflects the Company's financing and hedging
position at European Operations, as well as intercompany payments in-transit.

Trade Accounts Receivables decreased by $2.5 million to $11.6 million, mainly
because of the collection of higher sales from the fourth quarter of fiscal
1996 and improved aging.

Inventories at March 31, 1997 increased $306,000 to $5.8 million, as compared
to June 30, 1996, mainly due to the forward purchasing of certain raw
materials to defer price increases.

The $613,000 increase in property, plant and equipment is largely due to
additions relating to the wastewater treatment project at the Company's
Belgian manufacturing facility and production process improvements at Bontex
USA.

The decrease in deferred income taxes mainly reflects the utilization of net
operating losses to offset taxable income.  The decrease in income taxes
refundable is because the Company received the refund for losses carried-back
to offset income taxes previously paid.  The ultimate realization of deferred
tax assets is dependent upon the generation of future taxable income. 
Management believes that it is more likely than not that the Company will
realize these deferred tax assets.

Accounts Payable, accrued expenses and short-term borrowings decreased $2.9
million, which primarily corresponds to a reduction in accounts receivable,
and positive operating results.  Management believes that existing credit
facilities will be sufficient to meet anticipated operating and capital
requirements.

<PAGE>
REORGANIZATION

On January 2, 1997, the Company received the final State regulatory approvals
of its proposal, which was adopted by the Company's stockholders at the
Annual Meeting of Stockholders held on November 7, 1996, to change the state
of incorporation of the Company to Virginia and effect Amended and Restated
Articles of Incorporation (the "Reorganization").  

As a result of the Reorganization, the Company is now a Virginia corporation,
with its principal place of business at One Bontex Drive, Buena Vista,
Virginia 24416-0751, and the name of the Company has been changed to "Bontex,
Inc."  The Company's common stock continues to be traded on the Nasdaq-NMS
under the symbol "BOTX."  The Reorganization did not result in any change in
the business, management, assets, liabilities, or net worth of the Company. 
For further information, refer to Report on Form 8-K, Reorganization of
Georgia Bonded Fibers, Inc., filed January 30, 1997, and Proxy Statement for
meeting of Shareholders held on November 7, 1996.


ENVIRONMENTAL

As with all manufacturers, the Company is subject to regulation by various
regulatory agencies concerning compliance with environmental control
statutes.  The facility in USA is impacted by regulations concerning air
emissions and has entered into a consent order with the Virginia Department
of Environmental Quality, pursuant to which the Company has committed to take
appropriate action with respect to air quality emissions.  This consent order
has been amended requiring the Company to achieve compliance by December 31,
1997 rather than by September 30, 1997.  The cost of air control technologies
based on current information is expected to be approximately $250,000.  The
waste water treatment facility in Belgium is under construction and is
anticipated to be completed in 1997 at an estimated cost of $1.5 million.

<PAGE>
                             PART II.  OTHER INFORMATION

                                    BONTEX, INC.
                                      FORM 10-Q
                        FOR THE QUARTER ENDED MARCH 31, 1997



Item 1.      Legal Proceedings

             None.

Item 2.      Changes in Securities

             None.

Item 3.      Defaults Upon Senior Securities

             None.

Item 4.      Submission of Matters to Vote of Security Holders

             None.


Item 5.      Other Information

             None.


Item 6.      Exhibits and Reports on Form 8-K

(a.)         Exhibits:

             10(i)  Executive Compensation Agreement dated January 22, 1997,
             between Bontex, Inc. and James C. Kostelni.

             27     Financial Data Schedule

(b.)         Reports on Form 8-K:

             Reorganization of Georgia Bonded Fibers, Inc., filed January 30,
             1997.
<PAGE>
                                     SIGNATURES

Pursuant to 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.



                                                          BONTEX, INC.
                                                          (Registrant)

         5-8-97                                       /s/James C. Kostelni
       -----------                                    --------------------
         (Date)                                          James C. Kostelni
                                                      Chairman of the Board
                                                          and President

         5-8-97                                       /s/David A. Dugan
       -----------                                    --------------------
         (Date)                                          David A. Dugan
                                                         Controller and
                                                      Corporate Secretary
<PAGE>
                                    Exhibit Index


10(i)        Executive Compensation Agreement dated January 22, 1997, between
             Bontex, Inc. and James C. Kostelni.

27           Financial Data Schedule


<PAGE>