17
                 SECURITIES AND EXCHANGE COMMISSION

                       Washington, D.C. 20549

                             FORM 10-QSB

(Mark One)

[X]  Quarterly report under Section 13 or 15(d) of the Securities
   Exchange Act of 1934 for the quarterly period ended June 30,
   2000.

[    ] Transition report under Section 13 or 15(d) of the
   Securities  Exchange Act of 1934 for the transition period from -
   ----------- to --------------


     Commission file number:  000-29553


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



            Nevada                          86-0972776
(State or other jurisdiction of  (I.R.S. Employer Identification
incorporation or organization)                 No.)




             5505 N. Indian Trail, Tucson, Arizona 85750
             ------------------------------------------
         (Address of principal executive office) (Zip Code)


                           (520) 577-1516
                       ----------------------
                     (Issuer's telephone number)


      Check whether the issuer: (1) filed all reports required to be
filed  by Section 13 or 15(d) of the  Exchange  Act during the  past
12  months  (or  for  such shorter period that the   registrant  was
required  to  file such reports), and (2) has been subject  to  such
filing requirements for the past 90 days.

                    Yes XX                   No
                      -----                    -----

      The number of outstanding shares of the issuer's common stock,
$0.001 par value, as of June 30, 2000 was 1,000,000.

TABLE OF CONTENTS

                 PART I - FINANCIAL INFORMATION


ITEM 1.  FINANCIAL STATEMENTS..........................................3

     Condensed Balance Sheets as of September 30, 1999
          and June 30, 2000............................................5

     Condensed Statements of Operations
          for the Three and Nine Month Periods Ended
          June 30, 2000 and 1999.......................................6

     Condensed Statements of Cash Flows
          for the Nine Month Periods Ended
          June 30, 2000 and 1999.......................................7

     Notes to Unaudited Condensed Financial Statements.................9


ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS..........................10


                   PART II - OTHER INFORMATION

ITEM 1 LEGAL PROCEEDINGS...............................................12

ITEM 2 CHANGES IN SECURITIES...........................................12

ITEM 5 OTHER INFORMATION...............................................12


INDEX TO EXHIBITS......................................................13





         [THIS SPACE HAS BEEN INTENTIONALLY LEFT BLANK]



                               PAGE  2



                               PART I


ITEM 1.  FINANCIAL STATEMENTS

      As  used  herein,  the  term "Company"  refers  to  Obligation
Futures,  Inc.,  a  Nevada  corporation, and  its  subsidiaries  and
predecessors  unless  otherwise  indicated.   Unaudited,   condensed
interim  financial  statements including a  balance  sheet  for  the
Company  as  of  the quarter ended June 30, 2000 and  statements  of
operations and statements of cash flows for the interim period up to
the  date  of  such balance sheet and the comparable period  of  the
preceding year.



           [THIS SPACE HAS BEEN LEFT BLANK INTENTIONALLY]











                                       PAGE  3





                   INDEPENDENT ACCOUNTANTS' REPORT





Obligation Futures, Inc.
(A Development Stage Company)



      We have reviewed the accompanying balance sheets of Obligation
Futures, Inc. (a development stage company) as of June 30, 2000  and
December 31, 1999, and the related statements of operations for  the
three  and six month periods ended June 30, 2000 and 1999, and  cash
flows for the six month periods ended June 30, 2000 and 1999.  These
financial   statements  are  the  responsibility  of  the  Company's
management.

       We   conducted  our  review  in  accordance  with   standards
established   by   the  American  Institute  of   Certified   Public
Accountants.   A  review of interim financial  information  consists
principally of applying analytical procedures to financial data  and
making inquiries of persons responsible for financial and accounting
matters.   It is substantially less in scope than an audit conducted
in  accordance  with  generally  accepted  auditing  standards,  the
objective  of  which is the expression of an opinion  regarding  the
financial  statement  taken  as a whole.   Accordingly,  we  do  not
express such an opinion.

      Based  on  our  review,  we  are not  aware  of  any  material
modifications  that  should  be made to the  accompanying  financial
statements  for  them  to be in conformity with  generally  accepted
accounting principles.

                              Respectfully submitted



                              /s/ Robison, Hill & Co.
                              Certified Public Accountants


Salt Lake City, Utah
August 9, 2000



                                     PAGE  4




                      OBLIGATION FUTURES, INC.
                    (A Development Stage Company)
                           BALANCE SHEETS


                                              June 30,      December 31,
                                                 2000            1999
                                            --------------    ------------
ASSETS:                                       $      -         $      -
                                           ==============    =============
LIABILITIES & STOCKHOLDERS'EQUITY
Current Liabilities:
Accounts Payable                              $     55         $      -
                                           --------------    -------------
Stockholders' Equity:
  Common Stock, Par value $.001
    Authorized 100,000,000 shares,
    Issued 1,000,000 Shares at
    June 30, 2000 and December 31, 1999          1,000            1,000
  Paid-In Capital                                1,230              350
  Retained Deficit                              (1,200)          (1,200)
  Deficit Accumulated During the
    Development Stage                           (1,085)            (150)
                                            -------------    -------------
    Total Stockholders' Equity                     (55)               -
                                            -------------    -------------

     Total Liabilities and
       Stockholders' Equity                   $      -         $      -
                                            =============    ==============





















         See accompanying notes and accountants' report.



                               PAGE 5


                      OBLIGATION FUTURES, INC.
                    (A Development Stage Company)
                      STATEMENTS OF OPERATIONS


                                                                    Cumulative
                                                                      since
                     For the Three Months    For the Six Months    October 20
                             Ended                 Ended          1999 Inception
                            June 30,              June 30,        of Development
                    --------------------  ---------------------       Stage
                        2000       1999       2000        1999    --------------
                        ----       ----       ----        ----

Revenues              $      -    $     -    $    -      $    -      $      -
                      ---------  ---------  --------   ---------  --------------

Expenses
   General and
Administrative              55          -        935          -          1,085
                      ---------  ---------  --------   ----------  -------------
       Net Loss       $    (55)   $     -    $  (935)    $     -     $  (1,085)
                      =========  =========   ========    ========= =============
Basic & Diluted
loss per share        $      -    $     -    $     -     $     -
                      =========  =========   ========    =========



























         See accompanying notes and accountants' report.


                               PAGE  6


                      OBLIGATION FUTURES, INC.
                    (A Development Stage Company)
                      STATEMENTS OF CASH FLOWS



                                                                     Cumulative
                                                                   Since October
                                  For the six months ended            20,1999
                                          June 30,                 Inception of
                                 --------------------------        Development
                                     2000           1999              Stage
                                 ------------  ------------      ---------------


CASH FLOWS FROM OPERATING
-------------------------
ACTIVITIES:
----------
Net Loss                          $    (935)      $     -         $   (1,085)

Increase (Decrease) in:
  Accounts Payable                       55             -               (145)
                                 ------------    ------------     --------------
Net Cash Used in operating
  activities                           (880)             -            (1,230)
                                 ------------    ------------     --------------

CASH FLOWS FROM INVESTING
-------------------------
ACTIVITIES:
-----------
Net cash provided by investing
activities                                 -             -                 -
                                  ------------    -----------      -------------

CASH FLOWS FROM FINANCING
-------------------------
ACTIVITIES:
-----------
Capital contributed by
shareholder                              880             -              1,230
                                  ------------    -----------      -------------
Net Cash Provided by
  Financing Activities                   880             -              1,230
                                  ------------    -----------      -------------

Net (Decrease) Increase in
  Cash and Cash Equivalents                -             -                  -
                                  ------------    -----------      -------------
Cash and Cash Equivalents
  at Beginning of Period                   -             -                  -
                                  ------------    -----------      -------------
Cash and Cash Equivalents
  at End of Period                 $       -       $     -          $       -
                                  ============    ===========      =============

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
------------------------------------------------
Cash paid during the year for:
  Interest                         $       -       $      -         $       -
  Franchise and income taxes       $       -       $      -         $      75

SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES: None
-----------------------------------------------------------------------










         See accompanying notes and accountants' report.




                               PAGE  7


                      OBLIGATION FUTURES, INC.
                    (A Development Stage Company)
                    NOTES TO FINANCIAL STATEMENTS
  FOR THE THREE AND SIX MONTH PERIODS ENDED JUNE 30, 2000 AND 1999


NOTE 1 - ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

      This  summary  of accounting policies for Obligation  Futures,
Inc. is presented to assist in understanding the Company's financial
statements.   The accounting policies conform to generally  accepted
accounting  principles  and have been consistently  applied  in  the
preparation of the financial statements.

      The unaudited financial statements as of June 30, 2000 and for
the  three  and  six months then ended reflect, in  the  opinion  of
management,  all  adjustments (which include only  normal  recurring
adjustments)  necessary to fairly state the financial  position  and
results  of  operations  for the three and  six  months.   Operating
results  for interim periods are not necessarily indicative  of  the
results which can be expected for full years.

Organization and Basis of Presentation

      The  Company was incorporated under the laws of the  State  of
Nevada   on  March  3,  1997.   The  Company  ceased  all  operating
activities during the period from March 3, 1997 to October 20,  1999
and was considered dormant.  Since October 20, 1999, the Company  is
in  the  development stage, and has not commenced planned  principal
operations.

Nature of Business

      The  Company has no products or services as of June 30,  2000.
The Company was organized as a vehicle to seek merger or acquisition
candidates.   The  Company intends to acquire interests  in  various
business  opportunities,  which in the opinion  of  management  will
provide a profit to the Company.

Cash and Cash Equivalents

      For  purposes  of  the statement of cash  flows,  the  Company
considers  all  highly  liquid  debt instruments  purchased  with  a
maturity  of  three  months or less to be cash  equivalents  to  the
extent the funds are not being held for investment purposes.

Pervasiveness of Estimates

      The  preparation  of financial statements in  conformity  with
generally accepted accounting principles required management to make
estimates and assumptions that affect the reported amounts of assets
and  liabilities and disclosure of contingent assets and liabilities
at  the date of the financial statements and the reported amounts of
revenues  and expenses during the reporting period.  Actual  results
could differ from those estimates.

Loss per Share

      The reconciliations of the numerators and denominators of  the
basic loss per share computations are as follows:


                                 PAGE  8


                      OBLIGATION FUTURES, INC.
                    (A Development Stage Company)
                    NOTES TO FINANCIAL STATEMENTS
  FOR THE THREE AND SIX MONTH PERIODS ENDED JUNE 30, 2000 AND 1999
                             (Continued)

NOTE 1 - ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(Continued)


                             Income           Shares        Per-Share
                           -----------    -------------    ----------
                           (Numerator)    (Denominator)      Amount

                           For the three months ended June 30, 2000
                           ----------------------------------------
Basic & Diluted Loss  Per Share
Loss to common shareholders   $   (55)        1,000,000     $    -
                            ===========      ===========    ========

                            For the six months ended June 30, 2000
                            ---------------------------------------
Basic & Diluted Loss Per Share
Loss to common shareholders   $  (935)        1,000,000     $    -
                            ===========      ===========    ========


                             For the three months ended June  30, 1999
                            ------------------------------------------
Basic & Diluted Loss Per Share
Loss to common shareholders   $     -         1,000,000     $    -
                            ===========      ===========    ========

                              For  the  six  months  ended  June 30,1999
                             -------------------------------------------

Basic & Diluted Loss Per Share
Loss to common shareholders   $     -         1,000,000     $    -
                            ============     ===========    ========


      The  effect of outstanding stock equivalents are anti-dilutive
for June 30, 2000 and 1999 and are thus not considered.

Reclassification

      Certain reclassifications have been made in the 1999 financial
statements to conform with the June 30, 2000 presentation.

NOTE 2 - INCOME TAXES

      As  of  June  30, 2000, the Company has a net  operating  loss
carryforward  for  income  tax reporting purposes  of  approximately
$2,000  that  may  be offset against future taxable  income  through
2011.   Current  tax laws limit the amount of loss available  to  be
offset  against future taxable income when a substantial  change  in
ownership occurs.  Therefore, the amount available to offset  future
taxable income may be limited.  No tax benefit has been reported  in
the  financial statements, because the Company believes there  is  a
50%  or  greater  change  the  carry-forwards  will  expire  unused.
Accordingly,  the potential tax benefits of the loss  carry-forwards
are offset by a valuation allowance of the same amount.

NOTE 3 - DEVELOPMENT STAGE COMPANY

     The Company has not begun principal operations and as is common
with  a  development stage company, the Company  has  had  recurring
losses during its development stage.


                              PAGE  9


                      OBLIGATION FUTURES, INC.
                    (A Development Stage Company)
                    NOTES TO FINANCIAL STATEMENTS
  FOR THE THREE AND SIX MONTH PERIODS ENDED JUNE 30, 2000 AND 1999
                             (Continued)

NOTE 4 - COMMITMENTS

      As  of  June 30, 2000 all activities of the Company have  been
conducted by corporate officers from either their homes or  business
offices.   Currently, there are no outstanding  debts  owed  by  the
Company for the use of these facilities and there are no commitments
for future use of the facilities.

NOTE 5 - STOCK SPLIT

      On October 20, 1999 the Board of Directors authorized 1,000 to
1   stock  split,  changed  the  authorized  number  of  shares   to
100,000,000  shares  and the par value to $.001  for  the  Company's
common stock.  As a result of the split, 999,000 shares were issued.
All  references  in  the accompanying financial  statements  to  the
number of common shares and per-share amounts for 1999 and 1998 have
been restated to reflect the stock split.


ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION

This  Quarterly  Report contains certain forward-looking  statements
within the meaning of Section 27A of the Securities Act of 1933,  as
amended, and Section 21E of the Securities Exchange Act of 1934,  as
amended,  which  are  intended to be covered  by  the  safe  harbors
created  thereby.  Investors are cautioned that all  forward-looking
statements   involve  risks  and  uncertainty,   including   without
limitation,  the  ability of the Company to continue  its  expansion
strategy,  changes  in costs of raw materials, labor,  and  employee
benefits,  as  well  as general market conditions,  competition  and
pricing.    Although  the  Company  believes  that  the  assumptions
underlying  the  forward-looking  statements  contained  herein  are
reasonable,  any  of  the  assumptions  could  be  inaccurate,   and
therefore,  there  can  be  no assurance  that  the  forward-looking
statements  included  in  this Quarterly Report  will  prove  to  be
accurate.  In light of the significant uncertainties inherent in the
forward-looking statements including herein, the inclusion  of  such
information  should  not  be regarded as  are  presentation  by  the
Company  or  any other person that the objectives and plans  of  the
Company will be achieved.

As  used  herein  the  term "Company" refers to Obligation  Futures,
Inc.,  a Nevada corporation and its predecessors, unless the context
indicates otherwise.  The Company is currently a shell company whose
purpose is to acquire operations through an acquisition or merger or
to begin its own start-up business.

The  Company is in the process of attempting to identify and acquire
a  favorable  business opportunity.  The Company  has  reviewed  and
evaluated a number of business ventures for possible acquisition  or
participation by the Company.  The Company has not entered into  any
agreement, nor does it have any commitment or understanding to enter
into  or  become  engaged in a transaction as of the  date  of  this
filing.   The Company continues to investigate, review, and evaluate
business  opportunities as they become available and  will  seek  to
acquire or become engaged in business opportunities at such time  as
specific opportunities warrant.


                                PAGE  10


Results of Operations

The  Company  had no sales or sales revenues for the three  and  six
months  ended  June 30, 2000 or 1999 because it is a  shell  company
that has not had any business operations for the past three years.

The  Company  had no costs of sales revenues for the three  and  six
months  ended  June 30, 2000 or 1999 because it is a  shell  company
that  has not had any business operations for the past three  years.
The  Company had $55 and $935 in general and administrative expenses
for  the three and six month periods ended June 30, 2000 and $0  for
the same periods in 1999.

The  Company recorded net loss of $55 and $935 for the three and six
months  ended June 30, 2000 compared to $0 loss for the same periods
in 1999.

Capital Resources and Liquidity

At  June  30, 2000, the Company had total current assets of  $0  and
total  assets  of $0 as compared to $0 current assets and  $0  total
assets  at December 31, 1999.  The Company had a net working capital
deficit of $55 and $0 at June 30, 2000 and December 31, 1999.

Net  stockholders' deficit in the Company was $55 and $0 as of  June
30, 2000 and December 31, 1999.


                                     PAGE  11


                      PART II-OTHER INFORMATION


ITEM 1.  LEGAL PROCEEDINGS

None.


ITEM 2.  CHANGES IN SECURITIES AND USE OF PROCEEDS

None.


ITEM 3.  DEFAULTS UPON SENIOR SECURITIES

None/Not Applicable.


ITEM 4.  SUBMISSION OF MATTERS TO A VOTE OF SECURITIES HOLDERS

None/Not Applicable.


ITEM 5.  OTHER INFORMATION

None.


ITEM 6.  EXHIBITS

(a)  Exhibits.   Exhibits required to be attached  by  Item  601  of
     Regulation S-B are listed in the Index to Exhibits on  page  12
     of this Form 10-QSB, and are incorporated herein by reference.

(b)  Reports on Form 8-K.  No reports on Form 8-K were filed  during
     the period covered by this Form 10-QSB.


                             SIGNATURES

      In  accordance with the requirements of the Exchange Act,  the
registrant  caused  this report to be signed on its  behalf  by  the
undersigned,  thereunto duly authorized, this  9th  day  of  August,
2000.

Obligation Futures, Inc.



/s/  Daniel L. Hodges
  Daniel L. Hodges                                       August 9, 2000
  President/CFO and Director


                              PAGE  12


                            EXHIBIT INDEX


Exhibit No.    Page No.       Description

27        12             Financial Data Schedule "CE"







                                PAGE   13



THIS  SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED
FROM  THE  UNAUDITED FINANCIAL STATEMENTS FOR THE PERIOD ENDED  JUNE
30,  2000  THAT WERE FILED WITH THE COMPANY'S REPORT ON FORM  10-QSB
AND  IS  QUALIFIED  IN ITS ENTIRETY BY REFERENCE TO  SUCH  FINANCIAL
STATEMENTS.


[CIK]                         0001105309
[NAME]                   OBLIGATION FUTURES, INC.
[MULTIPLIER]                       1,000
[CURRENCY]                         U.S. Dollars
[PERIOD-TYPE]                      6-MOS
[FISCAL-YEAR-END]                  DEC-31-2001
[PERIOD-START]                     APR-1-2000
[PERIOD-END]                      JUN-30-2000
[EXCHANGE-RATE]                   1
[CASH]                            0
[SECURITIES]                      0
[RECEIVABLES]                     0
[ALLOWANCES]                      0
[INVENTORY]                       0
[CURRENT-ASSETS]                  0
[PP&E]                            0
[DEPRECIATION]                    0
[TOTAL-ASSETS]                    0
[CURRENT-LIABILITIES]             0
[BONDS]                           0
[PREFERRED-MANDATORY]             0
[PREFERRED]                       0
[COMMON]                          1
[OTHER-SE]                        (1)
[TOTAL-LIABILITY-AND-EQUITY]      0
[SALES]                           0
[TOTAL-REVENUES]                  0
[CGS]                             0
[TOTAL-COSTS]                     0
[OTHER-EXPENSES]                   1
[LOSS-PROVISION]                  0
[INTEREST-EXPENSE]                0
[INCOME-PRETAX]                   (1)
[INCOME-TAX]                      0
[INCOME-CONTINUING]               (1)
[DISCONTINUED]                    0
[EXTRAORDINARY]                   0
[CHANGES]                         0
[NET-INCOME]                      (1)
[EPS-BASIC]                       0
[EPS-DILUTED]                     0



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                                 PAGE  14