|UNITED
        STATESSECURITIES
        AND EXCHANGE COMMISSION
      Washington,
        D.C. 20549



_____________

      FORM
        10-Q
      (Mark
        One)
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------

|x | QUARTERLY
      REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF
      1934For the quarterly period ended September 30, 2003        
|- | -------------------------------------------------------------------------------------------------------------------------------------------------------------
|o | TRANSITION
      REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF
      1934For
            the transition period from            to

|Commission File
        Number0-28536



_____________




NEW CENTURY EQUITY
HOLDINGS CORP. (Exact name of registrant as specified in its charter)
|---------------------------------------------------------------------------------------------------------------------------------------------------

|Delaware                                       | 74-2781950                  
|---------------------------------------------- | ----------------------------
|(State
      or other jurisdiction of          | (I.R.S.
      Employer      
|incorporation
      or organization)           | Identification
      Number)
|                                               |                             
|
|(Address
      of principal executive offices) | (Zip
      code)            

|(210) 302-0444
(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 periods that the registrant was required to file such reports), and
(2) has been subject to such filing requirements for the past 90 days. x Yes oNo


Indicate
by check mark whether the registrant is an accelerated filer (as defined in Rule 12b-2 of
the Exchange Act). o Yes x No


Indicated
below is the number of shares outstanding of the registrants only class of common
stock at November 11, 2003:
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|                                    | Number
      of Shares
|----------------------------------- | ----------------------
|
|                                    |                       
|Common
      Stock, $0.01 par value | 34,653,104            

|
|

|NEW
CENTURY EQUITY HOLDINGS CORP. AND SUBSIDIARIES


INDEX
|----------------------------------------------------------

|                                                                                      |  |  |  | PAGE | 
|------------------------------------------------------------------------------------- |  |  |  | ---- | 
|PART I
      FINANCIAL INFORMATION                                                    |  | 
|                                                                                      |  | 
|Item 1. Interim
      Condensed Consolidated Financial Statements                     |  | 
|                                                                                      |  | 
|Condensed
      Consolidated Balance Sheets - September 30, 2003 (Unaudited)          |  | 
|and
      December 31, 2002                                                           |  |  |  | 3    | 
|                                                                                      |  | 
|Unaudited
      Condensed Consolidated Statements of Operations - For the Three       |  | 
|and
      Nine Months ended September 30, 2003 and 2002                               |  |  |  | 4    | 
|                                                                                      |  | 
|Unaudited
      Condensed Consolidated Statements of Cash Flows - For the Nine        |  | 
|Months
      ended September 30, 2003 and 2002                                        |  |  |  | 5    | 
|                                                                                      |  |  |  |      | 
|Notes
      to Unaudited Interim Condensed Consolidated Financial Statements          |  |  |  | 6    | 
|                                                                                      |  | 
|Item 2. Management's
      Discussion and Analysis of Financial Condition and Results |  | 
|of
      Operations                                                                   |  |  |  | 12   | 
|                                                                                      |  |  |  |      | 
|Item 3. Quantitative
      and Qualitative Disclosure about Market Risk               |  |  |  | 15   | 
|                                                                                      |  |  |  |      | 
|Item 4. Controls
      and Procedures                                                 |  |  |  | 15   | 
|                                                                                      |  | 
|PART II
      OTHER INFORMATION                                                       |  | 
|                                                                                      |  |  |  |      | 
|Item 1. Legal
      Proceedings                                                       |  |  |  | 16   | 
|                                                                                      |  |  |  |      | 
|Item 6. Exhibits
      and Reports on Form 8-K                                        |  |  |  | 16   | 
|                                                                                      |  |  |  |      | 
|SIGNATURE                                                                             |  |  |  | 17   | 

|2
|-

|PART I FINANCIAL
INFORMATION




Item 1. Interim
Condensed Consolidated Financial Statements




NEW CENTURY EQUITY
HOLDINGS CORP. AND SUBSIDIARIESCONDENSED CONSOLIDATED BALANCE SHEETS(In thousands, except
share data)
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|                                                                      | September
      30,
      2003 |  | December
      31,
      2002 |        
|--------------------------------------------------------------------- | ------------------------------ |  | ----------------------------- | -------
|                                                                      |                                |  | (Unaudited)                   |        
|ASSETS                                                                |                                |  |                               |        
|Current assets:                                                       |                                | 
|Cash
      and cash equivalents                                       |                                |  | $                             | 6,040  
|Accounts
      receivable                                             |                                |  |                               | 88     
|Prepaid
      and other assets                                        |                                |  |                               | 261    
|Net
      current assets from discontinued operations                 |                                |  |                               |       
|                                                                      |                                |  |                               |        
|Total
      current assets                                            |                                |  |                               | 6,389  
|Property
      and equipment, net                                     |                                |  |                               | 132    
|Other non-current
      assets                                        |                                |  |                               | 53     
|Investments
      in affiliates                                       |                                |  |                               | 8,093  
|                                                                      |                                |  |                               |        
|Total
      assets                                                    |                                |  | $                             | 14,667 
|                                                                      |                                |  |                               |        
|                                                                      |                                | 
|LIABILITIES
      AND STOCKHOLDERS' EQUITY                            |                                | 
|                                                                      |                                | 
|Current liabilities:                                                  |                                | 
|Accounts
      payable                                                |                                |  | $                             | 36     
|Accrued
      liabilities                                             |                                |  |                               | 322    
|Net
      current liabilities from discontinued operations            |                                |  |                               |       
|                                                                      |                                |  |                               |        
|Total
      current liabilities                                       |                                |  |                               | 358    
|Other non-current
      liabilities                                   |                                |  |                               |       
|                                                                      |                                |  |                               |        
|Total
      liabilities                                               |                                |  |                               | 358    
|Commitments
      and contingencies                                   |                                |  |                               |       
|Stockholders'
      equity:                                           |                                | 
|Preferred
      stock, $0.01 par value, 10,000,000 shares authorized; |                                | 
|no
      shares issued or outstanding                                 |                                |  |                               |       
|Common
      stock, $0.01 par value, 75,000,000 shares authorized;    |                                | 
|34,653,104
      and 34,217,620 shares issued and outstanding         |                                |  |                               | 347    
|Additional
      paid-in capital                                      |                                |  |                               | 70,476 
|Accumulated
      deficit                                             |                                |  |                               | (56,514
|                                                                      |                                |  |                               |        
|Total
      stockholders' equity                                      |                                |  |                               | 14,309 
|                                                                      |                                |  |                               |        
|Total
      liabilities and stockholders' equity                      |                                |  | $                             | 14,667 
|                                                                      |                                |  |                               |        

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



3
|--------------------------------------------------------------------------------------------------------------

|NEW CENTURY EQUITY
HOLDINGS CORP. AND SUBSIDIARIES             UNAUDITED CONDENSED CONSOLIDATED STATEMENTS
OF OPERATIONS                       (In thousands, except per share data)
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|                                                            |  |  | Three
      Months Ended
      September 30, |        | Nine
      Months Ended 
      September 30, |  
|----------------------------------------------------------- |  |  | -------------------------------------------- | ------ | -------------------------------------------- | -
|                                                            |  |  |                                              |        |                                              |  
|                                                            |  |  | 2003                                         |        | 2002                                         |  
|                                                            |  |  |                                              |        |                                              |  
|Operating
      revenues                                    |  |  | $                                            |       |                                              | $
|                                                            |  | 
|Operating
      expenses:                                   |  | 
|Selling,
      general and administrative expenses          |  |  |                                              | 502    |                                              |  
|Depreciation
      and amortization expenses                |  |  |                                              | 41     |                                              |  
|                                                            |  |  |                                              |        |                                              |  
|Operating
      loss from continuing operations             |  |  |                                              | (543   | )                                            |  
|                                                            |  | 
|Other income
      (expense):                               |  | 
|Interest
      income, net                                  |  |  |                                              | 16     |                                              |  
|Equity
      in net loss of affiliate                       |  |  |                                              | (756   | )                                            |  
|Consulting
      income                                     |  |  |                                              |       |                                              |  
|Litigation
      settlement                                 |  |  |                                              | (354   | )                                            |  
|Other
      (expense) income, net                           |  |  |                                              | (1     | )                                            |  
|                                                            |  |  |                                              |        |                                              |  
|Total other
      expense, net                              |  |  |                                              | (1,095 | )                                            |  
|                                                            |  |  |                                              |        |                                              |  
|Net loss
      from continuing operations                   |  |  |                                              | (1,638 | )                                            |  
|                                                            |  | 
|Discontinued
      operations:                              |  | 
|Net
      loss from discontinued operations                 |  |  |                                              |       |                                              |  
|Net
      income from disposal of discontinued              |  | 
|operations                                                  |  |  |                                              | 212    |                                              |  
|                                                            |  |  |                                              |        |                                              |  
|Net loss                                                    |  |  | $                                            | (1,426 | )                                            | $
|                                                            |  |  |                                              |        |                                              |  
|Basic and
      diluted net (loss) income per common share: |  | 
|Net
      loss from continuing operations                   |  |  | $                                            | (0.05  | )                                            | $
|Net
      loss from discontinued operations                 |  |  |                                              |       |                                              |  
|Net
      income from disposal of discontinued              |  | 
|operations                                                  |  |  |                                              | 0.01   |                                              |  
|                                                            |  |  |                                              |        |                                              |  
|Net
      loss                                              |  |  | $                                            | (0.04  | )                                            | $
|                                                            |  |  |                                              |        |                                              |  
|Weighted
      average common shares outstanding            |  |  |                                              | 34,426 |                                              |  
|                                                            |  |  |                                              |        |                                              |  

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



4
|--------------------------------------------------------------------------------------------------------------

|NEW CENTURY EQUITY
HOLDINGS CORP. AND SUBSIDIARIESUNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS(In thousands)
|-------------------------------------------------------------------------------------------------------------------------

|                                                                               | Nine
      Months Ended 
      September 30,
|------------------------------------------------------------------------------ | --------------------------------------------
|                                                                               |                                             
|                                                                               | 2003                                        
|                                                                               |                                             
|Cash flows
      from operating activities:                                    |                                             
|Net loss
      from continuing operations                                      | $                                           
|Adjustments
      to reconcile net loss from continuing operations to net cash
|(used
      in) provided by operating activities:                             
|Depreciation
      and amortization expenses                                   |                                             
|Equity
      in net loss of affiliate                                          |                                             
|Litigation
      settlement                                                    |                                             
|Changes
      in operating assets and liabilities:                            
|(Increase)
      decrease in accounts receivable                               |                                             
|Decrease
      in prepaid and other assets                                     |                                             
|Increase
      in accounts payable                                             |                                             
|Decrease
      in accrued liabilities                                          |                                             
|Increase
      in other liabilities and other non-cash items                   |                                             
|                                                                               |                                             
|Net cash
      (used in) provided by continuing operating activities           |                                             
|Net cash
      provided by discontinued operating activities                   |                                             
|                                                                               |                                             
|Net cash
      (used in) provided by operating activities                      |                                             
|                                                                              
|Cash flows
      from investing activities:                                   
|Purchases
      of property and equipment                                      |                                             
|Investments
      in affiliates                                                |                                             
|Redemption
      of affiliate                                                  |                                             
|Other
      investing activities                                               |                                             
|                                                                               |                                             
|Net cash
      used in investing activities                                    |                                             
|                                                                              
|Cash flows
      from financing activities:                                   
|Proceeds
      from issuance of common stock                                   |                                             
|                                                                               |                                             
|Net cash
      provided by financing activities                                |                                             
|                                                                               |                                             
|Net (decrease)
      increase in cash and cash equivalents                     |                                             
|Cash and
      cash equivalents, beginning of period                           |                                             
|                                                                               |                                             
|Cash and
      cash equivalents, end of period                                 | $                                           
|                                                                               |                                             
|Supplemental
      disclosure of financial information:                       
|Cash
      paid for interest                                                   | $                                           
|Cash
      paid for income taxes                                               | $                                           

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



5
|--------------------------------------------------------------------------------------------------------------

|NEW CENTURY EQUITY
HOLDINGS CORP. AND SUBSIDIARIESNOTES TO INTERIM CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS (UNAUDITED)


Note 1. Basis of
Presentation


The
interim condensed consolidated financial statements included herein have been prepared by
New Century Equity Holdings Corp. and subsidiaries (collectively, the
Company), without audit, pursuant to the rules and regulations of the
Securities and Exchange Commission (SEC). Certain information and footnote
disclosures normally included in financial statements prepared in accordance with
accounting principles generally accepted in the United States of America have been
condensed or omitted pursuant to such rules and regulations. In the opinion of the
Companys management, the accompanying interim condensed consolidated financial
statements reflect all adjustments, of a normal recurring nature, that are necessary for a
fair presentation of the Companys financial position, results of operations and cash
flows for such periods. It is recommended that these interim condensed consolidated
financial statements be read in conjunction with the consolidated financial statements and
the notes thereto included in the Companys Annual Report on Form 10-K for the year
ended December 31, 2002. Results of operations for the interim periods are not necessarily
indicative of results that may be expected for any other interim periods or the full
fiscal year.


Note 2. Stock Based
Compensation


The
Company adopted Statement of Financial Accounting Standards (SFAS) No. 123
Accounting for Stock-Based Compensation, but elected to apply Accounting
Principles Board (APB) Opinion No. 25 Accounting for Stock Issued to
Employees and related interpretations in accounting for its stock option plans. The
following table illustrates the effect on net loss and net loss per common share had
compensation expense for the Companys stock option grants and Employee Stock
Purchase Plan (ESPP) purchases been determined based on the fair value at the
grant dates consistent with the methodology of SFAS No. 123. For purposes of the pro forma
disclosures, the estimated fair value of options is amortized to pro forma compensation
expense over the options vesting periods.
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|                                                       | Three
      Months Ended 
      September 30, |        |   | Nine Months
      Ended
      September 30, |  
|------------------------------------------------------ | --------------------------------------------- | ------ | - | ------------------------------------------- | -
|                                                       |                                               |        |   |                                             |  
|                                                       | 2003                                          |        |   | 2002                                        |  
|(in
      thousands, except per share data)            |                                               |        |   |                                             |  
|Net loss,
      as reported                            | $                                             | (1,426 | ) |                                             | $
|Less: Total
      stock based employee compensation   
|expense
      determined under fair value based method
|for
      all awards, net of related tax effects       |                                               | (71    | ) |                                             |  
|                                                       |                                               |        |   |                                             |  
|Net loss,
      pro forma                              | $                                             | (1,497 | ) |                                             | $
|                                                       |                                               |        |   |                                             |  
|Basic and
      diluted net loss per common share:    
|Net
      loss, as reported                            | $                                             | (0.04  | ) |                                             | $
|Net
      loss, pro forma                              | $                                             | (0.04  | ) |                                             | $

|The
fair value for these options was estimated at the respective grant date using the
Black-Scholes option-pricing model with the following weighted average assumptions for the
nine months ended September 30, 2003: expected volatility of 96.3%, no dividend yield,
expected life of 2.5 years and risk-free interest rate of 1.8%.

6
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|Note 3. Investments in
Affiliates



Investments
in affiliates is comprised of the following:
|---------------------------------------------------------------------------------------------

| |                                                    |  |  | September
      30, |         |   | December 31, |  
| | -------------------------------------------------- |  |  | ------------------- | ------- | - | ------------ | -
| |                                                    |  |  | 2003                |         |   | 2002         |  
| | (in
      thousands)                               |  |  |                     |         |   |              |  
| | Investment
      in Princeton eCom Corporation:    |  | 
| | Cash
      investments                             |  |  | $                   | 77,276  |   |              | $
| | In-process
      research and development costs    |  |  |                     | (4,465  | ) |              |  
| | Amortization
      and equity loss pick-up         |  |  |                     | (62,432 | ) |              |  
| | Impairment
      of investment                     |  |  |                     | (1,777  | ) |              |  
| | Other                                              |  |  |                     | (1,481  | ) |              |  
| |                                                    |  |  |                     |        
| | Net
      investment in Princeton eCom Corporation |  |  |                     | 7,121   |   |              |  
| | Investment
      in Sharps Compliance Corp.:       |  | 
| | Cash
      investments                             |  |  |                     | 970     |   |              |  
| | Other                                              |  |  |                     | 2       |   |              |  
| |                                                    |  |  |                     |        
| | Net
      investment in Sharps Compliance Corp.    |  |  |                     | 972     |   |              |  
| | Investment
      in Microbilt Corporation:         |  | 
| | Equity
      investments                           |  |  |                     |        |   |              |  
| | Other                                              |  |  |                     |        |   |              |  
| |                                                    |  |  |                     |        
| | Net
      investment in Microbilt Corporation      |  |  |                     |        |   |              |  
| |                                                    |  |  |                     |        
| | Total
      investments in affiliates              |  |  | $                   | 8,093   |   |              | $
| |                                                    |  |  |                     |        

|In
September 2003, the Company invested $1.2 million, of a total $5.0 million equity
financing, in Princeton eCom Corporation (Princeton). In exchange for its
investment, the Company received 4.0 million shares of Princetons mandatorily
redeemable convertible preferred stock. Subsequent to the financing, the Company owned
34.0%, 36.2% and 31.8% of the preferred stock, the outstanding stock and the fully diluted
stock, respectively, of Princeton.


In
April 2003, the Company received notice that Bristol Investments, Ltd.
(Bristol) and Microbilt Corporation (Microbilt) filed suit against
the Company and one of its officers alleging breach of contract and misrepresentation in
conjunction with the October 2001 merger of a former subsidiary, FIData, Inc., into
Microbilt. In October 2003, the Company settled the suit by surrendering its ownership of
the common stock of Microbilt to Bristol. This settlement resolves all claims brought by
and against the Company and one of its officers.


Note 4. Accrued
liabilities





Accrued
liabilities is comprised of the following:
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| |                                  |  |  | September 30, |     | December 31, |  
| | -------------------------------- |  |  | ------------- | --- | ------------ | -
| |                                  |  |  | 2003          |     | 2002         |  
| | (in
      thousands)             |  |  |               |     |              |  
| | Accrued
      income taxes       |  |  | $             |    |              | $
| | Accrued
      vacation           |  |  |               | 139 |              |  
| | Accrued
      audit fees         |  |  |               | 60  |              |  
| | Accrued
      annual report fees |  |  |               | 40  |              |  
| | Other                            |  |  |               | 83  |              |  
| |                                  |  |  |              
| | Total
      accrued liabilities  |  |  | $             | 322 |              | $
| |                                  |  |  |              

|7
|-

|Note 5. Commitments and
Contingencies


During
the year ended September 30, 1999, the Company entered into an agreement to guarantee the
terms of Princetons lease for office space at 650 College Road East, Princeton, New
Jersey. This guarantee terminates should Princeton raise $25.0 million of capital through
an initial public offering. The landlord of the office space has agreed, subject to lender
approval, to replace the Companys guarantee with an alternative security equal to
rent payments for approximately one year. Although no assurances can be made, it is
Princetons intention to provide sufficient security in order to eliminate the need
for the Companys guarantee. The Company does not believe it is probable that it will
be required to perform under the lease guarantee. Through December 2009, the payments
remaining under the terms of the lease approximate $9.1 million.


Note 6. Investment in
Unconsolidated Affiliate


The
Company accounts for its investment in Princeton under the equity method of accounting (as
the Company does not exhibit control over Princeton) and records the equity in net loss of
Princeton on a three-month lag. As of September 30, 2003, the Companys ownership
percentage of the preferred stock, the outstanding stock and the fully diluted stock of
Princeton was 34.0%, 36.2% and 31.8%, respectively. As of December 31, 2002, the
Companys ownership percentage of the preferred stock, the outstanding stock and the
fully diluted stock of Princeton was 35.6%, 38.0% and 32.9%, respectively.


Princetons
summarized balance sheets as of June 30, 2003 and September 30, 2002, are as follows:
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| |                                          |  |  | June
      30, |        | September
      30, |  
| | ---------------------------------------- |  |  | -------------- | ------ | ------------------- | -
| |                                          |  |  | 2003           |        | 2002                |  
| | (in
      thousands)                     |  |  |                |        |                     |  
| | Current
      assets                     |  |  | $              | 25,614 |                     | $
| | Non-current
      assets                 |  |  |                | 14,041 |                     |  
| | Current
      liabilities                |  |  |                | 25,382 |                     |  
| | Non-current
      liabilities            |  |  |                | 1,065  |                     |  
| | Mandatorily
      redeemable convertible |  | 
| | preferred
      stock                    |  |  |                | 33,877 |                     |  

|Princetons statements
of operations for the three and nine months ended June 30, 2003 and 2002 have been used to
calculate the equity in net loss recorded in the Companys statements of operations
for the three and nine months ended September 30, 2003 and 2002, respectively.
Princetons summarized statements of operations are as follows:
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| |  |                            |  |  | Three
      Months Ended 
      June 30, |        | Nine Months
      Ended 
      June 30,
| |  | -------------------------- |  |  | ---------------------------------------- | ------ | ---------------------------------------
| |  |                            |  |  |                                          |        |                                        
| |  |                            |  |  | 2003                                     |        | 2002                                   
| |  |                            |  |  |                                          |        |                                        
| |  | (in thousands)             |  |  |                                          |        |                                        
| |  | Total revenues             |  |  | $                                        | 9,192  |                                        
| |  | Gross profit               |  |  |                                          | 4,519  |                                        
| |  | Loss from
      operations |  |  |                                          | (2,121 | )                                      
| |  | Net loss                   |  |  |                                          | (2,122 | )                                      

|For
the nine months ended June 30, 2002, loss from operations of $27.0 million included
special charges totaling $10.6 million. Approximately $7.4 million of the special charges
relate to the implementation of a strategic restructuring plan to streamline
Princetons operations by reducing operating expenses primarily through workforce
reductions ($4.1 million) and renegotiating significant contracts and leases ($3.3
million). The additional charges relate to the write-down of a portion of the asset value
of Princetons property and equipment. The impairment was recognized as the future
undiscounted cash flows related to these assets were estimated to be insufficient to
recover the related carrying values of the property and equipment.
8
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|Note 7. Related Party
Transactions


In
August 2003, the Company issued 435,484 shares of its common stock to its Chief Executive
Officer (CEO) in exchange for a salary reduction of $135,000 for the
employment period of October 1, 2003 to September 30, 2004. These shares were issued under
the New Century Equity Holdings Corp. 1996 Employee Comprehensive Stock Plan, which allows
for this type of issuance without any material amendments.


In
April 2000, the Board of Directors of the Company approved a restricted stock grant to the
Companys CEO. The restricted stock grant consists of Princeton stock equal to 2% of
Princetons fully diluted shares. The restricted stock grant vested on April 30,
2003. The Company expensed the fair market value of the restricted stock grant over the
three-year period ended April 30, 2003. The Company recognized $150,000 during the nine
months ended September 30, 2003, $150,000 during the three months ended September 30, 2002
and $450,000 during the nine months ended September 30, 2002, as compensation expense
related to the stock grant.


The
Companys CEO served as Chairman of the Board of Tanisys Technology, Inc.
(Tanisys) at the time of the Companys investment in Tanisys and until
his resignation in February 2002. A member of the Companys Board served as
Tanisys Chairman of the Board and CEO from February 2002 until February 2003 and as
a member of Tanisys Board from February 2002 to March 2003. This Board member
received approximately $15,000 per month from Tanisys as compensation for services as
Chairman of the Board and CEO. The Company also appointed the Companys Chief
Financial Officer (CFO) and another one of its Board members to the
Board of Tanisys. This Board member resigned from the Board of Tanisys in February 2003
and the Companys CFO resigned from the Board of Tanisys in March 2003.


The
CEO of the Company has served on the Board of Princeton since September 1998. The CEO
served as Chairman of the Board of Princeton from January 2002 until December 2002. The
Companys CFO served as a member of the Board of Princeton from August 2001 until
June 2002.


The
Companys CEO and one of its Board members serve on the Board of Sharps
Compliance Corp. (Sharps) and did so at the time the Company invested in
Sharps. The Companys CFO was appointed CFO of Sharps in February 2003. In March
2003, Sharps began reimbursing the Company for certain expenses incurred by the
Companys CFO. As of September 30, 2003, approximately $79,000 was due to the Company
by Sharps for the unpaid portion of these expenses, of which approximately $62,000 was
received in October 2003.


Note 8. Discontinued
Operations


Tanisys


In
August 2001, the Company invested $1,060,000 in Tanisys. In February 2003, the Company
sold its preferred stock in Tanisys to ATE Worldwide LLC, whose majority shareholder is a
leader in the semiconductor testing equipment market. Accordingly, the operations of
Tanisys have been classified as discontinued operations. The Company received
approximately $0.2 million in exchange for its preferred stock, which is reported as net
income from disposal of discontinued operations during the nine months ended September 30,
2003.


For
accounting purposes, the Company consolidated Tanisys into the financial statements of the
Company under the purchase method of accounting. As the Company consolidated Tanisys on a
three-month lag (due to the difference in fiscal year ends of the Company and Tanisys),
Tanisys balance sheet as of September 30, 2002, including adjustments made under the
purchase method of accounting, was consolidated with the Companys balance sheet as
of December 31, 2002, as follows (in thousands):

9
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| |                                                             
| | ------------------------------------------------------------
| | Cash
      and cash equivalents                             
| | Accounts
      receivable, net                              
| | Inventory:                                                  
| | Raw
      materials                                         
| | Work
      in process                                       
| | Finished
      goods                                        
| |                                                             
| | Total
      inventory                                       
| | Prepaid
      and other assets                              
| |                                                             
| | Total
      current assets                                  
| | Property
      and equipment, net                           
| | Other
      non-current assets, net                         
| |                                                             
| | Total
      assets                                          
| |                                                             
| | Accounts
      payable                                      
| | Accrued
      liabilities                                   
| | Revolving
      credit note                                 
| | Note
      payable to minority stockholders, net of discount
| |                                                             
| | Total
      current liabilities                             
| | Other
      non-current liabilities                         
| |                                                             
| | Total
      liabilities                                     
| |                                                             
| | Minority
      interest in consolidated affiliate           
| | Accumulated
      deficit                                   

|Tanisys
statements of operations for the three and nine months ended June 30, 2002, including
adjustments made under the purchase method of accounting, were consolidated in the
Companys statement of operations for the three and nine months ended September 30,
2002, respectively, as follows (in thousands):
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| |                                                    |  |  | Three
      months        |      | Nine
      months | 
| | -------------------------------------------------- |  |  | ------------------------- | ---- | ----------------- | 
| |                                                    |  |  | Ended
      June 30, 2002 |     
| |                                                    |  |  |                           |     
| | Operating
      revenues                           |  |  | $                         | 889  |                   | 
| | Cost of revenues                                   |  |  |                           | 983  |                   | 
| |                                                    |  |  |                           |     
| | Gross
      (loss) profit                          |  |  |                           | (94  | )                 | 
| | Selling,
      general and administrative expenses |  |  |                           | 381  |                   | 
| | Research
      and development expenses            |  |  |                           | 285  |                   | 
| | Depreciation
      and amortization expenses       |  |  |                           | 35   |                   | 
| |                                                    |  |  |                           |     
| | Operating
      loss from discontinued operations  |  |  |                           | (795 | )                 | 
| | Other income
      (expense):                      |  | 
| | Interest
      expense, net                        |  |  |                           | (203 | )                 | 
| | Other
      income, net                            |  |  |                           | 35   |                   | 
| | Minority
      interest in consolidated affiliate  |  |  |                           | 543  |                   | 
| |                                                    |  |  |                           |     
| | Total
      other income, net                      |  |  |                           | 375  |                   | 
| |                                                    |  |  |                           |     
| | Net loss                                           |  |  | $                         | (420 | )                 | 
| |                                                    |  |  |                           |     
| | Net loss                                           |  |  | $                         | (420 | )                 | 
| | Preferred
      stock dividend                     |  |  |                           | (63  | )                 | 
| | Minority
      interest in consolidated affiliate  |  |  |                           | 63   |                   | 
| |                                                    |  |  |                           |     
| | Net
      loss applicable to common stockholders   |  |  | $                         | (420 | )                 | 
| |                                                    |  |  |                           |     

|10
|--

|Advances


During
2002, the Company advanced $43,000 to Tanisys. These advances were due to the Company
under the terms of a promissory note which bore interest at twelve percent (12%) and
matured in March 2003. This promissory note was repaid in February 2003.


Income Tax Refund


In
June 2002, the Company filed its federal income tax return with the Internal Revenue
Service (IRS) for the tax fiscal year ended September 30, 2001. The Company
received a refund claim totaling $2.2 million in July 2002. The income tax refund is
reflected as net income from disposal of discontinued operations in the nine months ended
September 30, 2002, as the refund relates to those companies sold in the Transaction. In
August 2003, the IRS completed its review, with no adjustments, of the Companys tax
returns for all open tax years through 2001.


Note 9. New Accounting
Standards


In
May 2003, the Financial Accounting Standards Board issued SFAS No. 150, Accounting
for Certain Financial Instruments with Characteristics of both Liabilities and
Equity. SFAS No. 150 establishes standards on the classification and measurement of
financial instruments with characteristics of both liabilities and equity. The Company
does not believe the adoption of SFAS No. 150 will have a material impact on the
Companys consolidated financial statements.

11
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|Item 2.


This
Quarterly Report on Form 10-Q contains
certain forward-looking statements as such
term is defined in the Private Securities
Litigation Reform Act of 1995 and information
relating to the Company and its
subsidiaries that are based on the beliefs
of the Companys management as well
as assumptions made by and information currently
available to the Companys management. When
used in this report, the words
anticipate, believe, estimate,
expect and intend and words or
phrases of similar import, as they relate
to the Company or its subsidiaries or
Company management, are intended to identify
forward-looking statements. Such statements reflect
the current risks, uncertainties and assumptions
related to certain factors including, without
limitation, competitive factors, general economic
conditions, customer relations, relationships with
vendors, the interest rate environment, governmental
regulation and supervision, seasonality, distribution
networks, products introductions and acceptance,
technological change, changes in industry practices,
onetime events and other factors described
herein and in other filings made by the
Company with the Securities and Exchange
Commission. Based upon changing conditions, should
any one or more of these risks or
uncertainties materialize, or should any underlying
assumptions prove incorrect, actual results may
vary materially from those described herein
as anticipated, believed, estimated, expected or
intended. The Company does not intend to
update these forward-looking statements.


      MANAGEMENTS
        DISCUSSION AND ANALYSIS OF FINANCIAL
        CONDITION AND RESULTS OF OPERATIONS


General


The
following is a discussion of the interim condensed consolidated financial condition and
results of operations for New Century Equity Holdings Corp. and subsidiaries
(collectively, the Company), for the three and nine months ended September 30,
2003. It should be read in conjunction with the Unaudited Interim Condensed Consolidated
Financial Statements of the Company, the notes thereto and other financial information
included elsewhere in this report, and the Companys Annual Report on Form 10-K for
the year ended December 31, 2002. For purposes of the following discussion, references to
year periods refer to the Companys fiscal year ended December 31 and references to
quarterly periods refer to the Companys fiscal quarter ended September 30.


Results of Operations


Continuing Operations


Selling,
general and administrative (SG&A) expenses are comprised of all selling,
marketing and administrative costs incurred in direct support of the business operations
of the Company. For the three months ended September 30, 2003, SG&A expenses totaled
$0.5 million, compared to $0.7 million for the three months ended September 30, 2002. For
the nine months ended September 30, 2003, SG&A expenses totaled $1.7 million, compared
to $2.6 million for the nine months ended September 30, 2002. The decrease in SG&A
expenses relates to an overall reduction in expenditures and corporate personnel. The cash
portion of the SG&A expenses was $0.5 million (no non-cash SG&A expenses) for the
three months ended September 30, 2003 and $0.5 million (total SG&A expenses of $0.7
million, less non-cash compensation expense of $0.2 million) for the three months ended
September 30, 2002. For the nine months ended September 30, 2003 and 2002, the cash
portion of the SG&A expenses was $1.5 million (total SG&A expenses of $1.7
million, less non-cash compensation expense of $0.2 million) and $2.0 million (total
SG&A expenses of $2.6 million, less non-cash compensation expense of $0.6 million),
respectively.


Net
other expense totaled $1.1 million during the three months ended September 30, 2003,
compared to $0.2 million during the three months ended September 30, 2002. Net other
expense totaled $2.4 million during the nine months ended September 30, 2003, compared to
$14.2 million during the nine months ended September 30, 2002. The fluctuations in net
other expense for the three and nine months ended September 30, 2003, primarily related to
decreases in the equity in net loss of affiliate and consulting income from Platinum
Holdings (Platinum).

12
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|A
litigation settlement of $0.3 million is included in net other expense for the three and
nine months ended September 30, 2003. This amount represents the return of the
Companys investment in Microbilt Corporation (Microbilt) to Bristol
Investments, Ltd. (Bristol). In April 2003, the Company received notice that
Bristol and Microbilt filed suit against the Company and one of its officers alleging
breach of contract and misrepresentation in conjunction with the October 2001 merger of a
former subsidiary, FIData, Inc., into Microbilt. In October 2003, the Company settled the
suit by surrendering its ownership of the common stock of Microbilt to Bristol. This
settlement resolves all claims brought by and against the Company and one of its officers.


Princeton eCom Corporation


Princeton
eCom Corporations (Princeton) revenues increased to $9.2 million during
the three months ended June 30, 2003, from $8.2 million during the three months ended June
30, 2002. Princetons revenues increased to $27.0 million during the nine months
ended June 30, 2003, from $20.4 million during the nine months ended June 30, 2002. The
increase in revenue is a result of an increase in the number of financial institution and
biller customers coupled with an increase in bill presentment and payment transactions.
Princetons net loss of $2.1 million for the three months ended June 30, 2003,
decreased from the $2.6 million net loss for the three months ended June 30, 2002.
Princetons net loss of $6.1 million for the nine months ended June 30, 2003,
decreased from the $29.2 million net loss for the nine months ended June 30, 2002. The
decreases in Princetons net losses are the result of the increase in revenues as
well as the reductions made to operating expenses during 2002. The net loss for the nine
months ended June 30, 2002, included impairment charges totaling $10.6 million related to
the impairment of property and equipment, employee separations and contract settlements.


Earnings
before interest, taxes, depreciation and amortization (EBITDA) is a financial
measurement used by management and investors to assess the value of a technology-related
company such as Princeton. EBITDA is not a financial measurement pursuant to generally
accepted accounting principles (GAAP), nor is it acceptable or considered an
alternative measure of cash flows from operations under GAAP. Princetons EBITDA is
calculated as follows:
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| |                                             |  |  | Three
      Months Ended
      June 30, |        | Nine Months
      Ended 
      June 30,
| | ------------------------------------------- |  |  | --------------------------------------- | ------ | ---------------------------------------
| |                                             |  |  |                                         |        |                                        
| |                                             |  |  | 2003                                    |        | 2002                                   
| |                                             |  |  |                                         |        |                                        
| | (in thousands)                              |  |  |                                         |        |                                        
| | Net loss                                    |  |  | $                                       | (2,122 | )                                      
| | Less:                                       |  | 
| | Depreciation
      and amortization expense |  |  |                                         | (1,476 | )                                      
| | Interest
      (expense) income             |  |  |                                         | (1     | )                                      
| | Income
      tax benefit                    |  |  |                                         |       |                                        
| |                                             |  |  |                                         |        |                                        
| |                                             |  |  |                                         | (1,477 | )                                      
| |                                             |  |  |                                         |        |                                        
| | EBITDA                                      |  |  | $                                       | (645   | )                                      
| |                                             |  |  |                                         |        |                                        

|During
the second half of this year, Princetons revenues will be adversely affected by the
loss of certain customers. As a result, the management team of Princeton has intensified
its new sales efforts and implemented a channel partner strategy with the goal of
replacing the loss of revenues as quickly as possible. There can be no assurances as to
when Princeton will replace the revenues attributable to the lost customers.


Discontinued Operations


In
September 2003, the Company recognized income from the disposal of discontinued operations
of $0.2 million, thereby reducing the accruals related to discontinued operations to $0 as
no known future liabilities exist.


In
February 2003, the Company sold its preferred stock in Tanisys Technology, Inc. to ATE
Worldwide LLC, whose majority shareholder is a leader in the semiconductor testing
equipment market.

13
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|The Company received approximately
$0.2 million in exchange for its preferred stock, which is reported as net income from
disposal of discontinued operations during the nine months ended September 30, 2003.


In
June 2002, the Company filed its federal income tax return with the Internal Revenue
Service (IRS) for the tax fiscal year ended September 30, 2001. The Company
received a refund claim totaling $2.2 million in July 2002. The income tax refund is
reflected as net income from disposal of discontinued operations in the three and six
months ended June 30, 2002, as the refund relates to those companies sold to Platinum in
October 2000. In August 2003, the IRS completed its review, with no adjustments, of the
Companys tax returns for all open tax years through 2001.


Liquidity and Capital
Resources


The
Companys cash balance decreased to $6.0 million at September 30, 2003, from $8.7
million at December 31, 2002. This decrease relates to the receipt of $0.2 million from
the sale of Tanisys preferred stock, offset by the $1.2 million invested in
Princeton in August 2003, the $0.2 million invested in Sharps Compliance Corp. in January
2003 and the cash portion of corporate expenses. Capital expenditures totaled $6,000
during the nine months ended September 30, 2003. The Company anticipates minimal capital
expenditures before acquisitions, if any, during the three months ending December 31,
2003.


      Princeton


During
the year ended September 30, 1999, the Company entered into an agreement to guarantee the
terms of Princetons lease for office space at 650 College Road East, Princeton, New
Jersey. This guarantee terminates should Princeton raise $25.0 million of capital through
an initial public offering. The landlord of the office space has agreed, subject to lender
approval, to replace the Companys guarantee with an alternative security equal to
rent payments for approximately one year. Although no assurances can be made, it is
Princetons intention to provide sufficient security in order to eliminate the need
for the Companys guarantee. The Company does not believe it is probable that it will
be required to perform under the lease guarantee. Through December 2009, the payments
remaining under the terms of the lease approximate $9.1 million.


Recent Developments


On
October 8, 2003, the Company received notice from the NASDAQ Stock Market, Inc.
(Nasdaq) that the Companys common stock would be delisted from the
Nasdaq SmallCap Market, effective with the open of business on October 10, 2003. The
delisting was a result of the Companys failure to regain compliance with the minimum
$1.00 closing bid price per share requirement. The Companys common stock began
trading on the Over-the-Counter Bulletin Board under the ticker symbol NCEH (or NCEH.OB on
some internet-based quotation systems) at that time.

14
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|Item 3. Quantitative and
Qualitative Disclosure about Market Risk


The
Company is exposed to interest rate risk primarily through its portfolio of cash
equivalents and short-term marketable securities. The Company does not believe that it has
significant exposure to market risks associated with changing interest rates as of
September 30, 2003, because the Companys intention is to maintain a liquid portfolio
to take advantage of investment opportunities. The Company does not use derivative
financial instruments in its operations.




Item 4. Controls and
Procedures


Within
the ninety days prior to the date of this report, the Company carried out an evaluation,
under the supervision and with the participation of the Companys management,
including the Companys Chief Executive Officer and Chief Financial Officer, of the
effectiveness of the design and operation of the Companys disclosure controls and
procedures pursuant to Exchange Act Rule 13a-14. Based upon that evaluation, the Chief
Executive Officer and Chief Financial Officer concluded that the Companys disclosure
controls and procedures are effective in timely alerting them to material information
relating to the Company (including its consolidated subsidiaries) required to be included
in the Companys periodic SEC filings.
15
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|PART
        II OTHER INFORMATION




Item 1. Legal Proceedings


In
April 2003, the Company received notice that Bristol Investments, Ltd.
(Bristol) and Microbilt Corporation (Microbilt) filed suit against
the Company and one of its officers alleging breach of contract and misrepresentation in
conjunction with the October 2001 merger of a former subsidiary, FIData, Inc., into
Microbilt. In October 2003, the Company settled the suit by surrendering its ownership of
the common stock of Microbilt to Bristol. This settlement resolves all claims brought by
and against the Company and one of its officers.




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

| | (a) | Exhibits:
| | --- | ---------

| | 31.1 | Certification
      of Chief Executive Officer in Accordance with Section 302 of the Sarbanes-Oxley
      Act (filed herewith)
| | ---- | ------------------------------------------------------------------------------------------------------------------------------

| | 31.2 | Certification
of Chief Financial Officer in Accordance with Section 302 of the Sarbanes-Oxley Act
(filed herewith)
| | ---- | ------------------------------------------------------------------------------------------------------------------

| | 32.1 | Certification
of Chief Executive Officer in Accordance with Section 906 of the Sarbanes-Oxley Act
(filed herewith)
| | ---- | ------------------------------------------------------------------------------------------------------------------

| | 32.2 | Certification
of Chief Financial Officer in Accordance with Section 906 of the Sarbanes-Oxley Act
(filed herewith)
| | ---- | ------------------------------------------------------------------------------------------------------------------

| | (b) | Current
Reports on Form 8-K:
| | --- | ----------------------------

| | Form
8-K, dated July 23, 2003, filed July 24, 2003, announcing the receipt from The Nasdaq
Stock Market, Inc. of a 60-day extension to regain compliance with the minimum $1.00 bid
price per share requirement.
| | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | Form
8-K, dated and filed August 11, 2003, announcing the Companys results of operations
for the three and six months ended June 30, 2003.
| | -------------------------------------------------------------------------------------------------------------------------------------------

| | Form
8-K, dated August 18, 2003, filed August 19, 2003, announcing an arrangement with the
Companys Chief Executive Officer for a reduction in salary in exchange for the
issuance of shares of common stock of the Company.
| | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | Form
8-K, dated October 8, 2003, filed October 9, 2003, announcing the delisting of the Companys
common stock from the Nasdaq SmallCap Market effective October 10, 2003. The Companys
common stock was immediately eligible for and began trading on the Over-The-Counter
Bulletin Board on October 10, 2003.
| | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | Form
8-K, dated October 31, 2003, filed November 3, 2003, announcing the settlement of the
lawsuit brought against the Company and one of its officers by Bristol Investments Ltd.
and Microbilt Corp.
| | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | Form
8-K, dated November 4, 2003, filed November 5, 2003, announcing the Companys
results of operations for the three and nine months ended September 30, 2003.
| | ----------------------------------------------------------------------------------------------------------------------------------------------------------------

|Items 2, 3,
4 and 5 are not applicable and
have been omitted.

16
|-----------------------------------------------------------------

|SIGNATURE


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

|Date: November 11, 2003 |  | NEW CENTURY
      EQUITY HOLDINGS CORP. 
                                  (Registrant)
      By:              /s/
      DAVID P. TUSA
            
                                David
      P. TusaExecutive Vice President, Chief Financial
                   Officer
      and Corporate Secretary
      (Duly authorized and principal financial officer)
|----------------------- |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|17
|--