U. S. 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, 2001

[  ]	TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT

For the transition period from _______________ to _______________

Commission File Number 0-15910

Control Chief Holdings, Inc.

(Exact name of small business issuer as specified in its charter)

New York 
16-0955704
(State or other jurisdiction of 
(I.R.S. Employer
incorporation or organization) 
Identification No.)

P.O. Box 141, 200 Williams Street, Bradford, Pennsylvania 16701

(Address of principal executive offices)

(814) 368-4132

(Issuer's telephone number)

Not Applicable

(Former name, former address and former fiscal year, if changed since last report)

 

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 period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes [X] No [  ]

 

APPLICABLE ONLY TO CORPORATE ISSUERS
****
The number of shares outstanding of issuer's Common Stock, par value $.50 per share, as of July 31, 2001 was 986,930 shares.

Transitional Small Business Format (Check one): Yes [  ] No [X]
** 

 

Control Chief Holdings, Inc. and Subsidiaries

Table of Contents**
 

 
 
Page**Part I    Financial Information   
Item 1     Financial Statements 
               Consolidated Balance Sheets
3
               Consolidated Statements of Operations and Retained Earnings
4
               Consolidated Statements of Cash Flows
5
               Notes to Financial Statements
6  
Item 2    Management's Discussion and Analysis or Plan of Operation
7  **Part II   Other Informations   
Item 4    Submission of Matters to a Vote of Security Holders
11
Item 6    Exhibits and Reports on Form 8-K
12  **Signatures
12** 

Part I - Financial Information

Item 1.  Financial Statements

Control Chief Holdings, Inc. and Subsidiary

Consolidated Balance Sheets** **June 30,**December 31, **2001**2000**Assets**(Unaudited) 
Current assets  
   Cash and cash equivalents
$   866,980
$   802,758
   Marketable securities, at fair value
176,918
201,699
   Accounts receivables, less allowance for  
      doubtful accounts of $38,355 and $40,000
757,756
809,641
   Inventories  
      Work in process
96,407
63,779
      Raw materials and subassemblies
1,317,847
1,440,505
   Deferred income taxes
100,911
106,451
   Other current assets
    155,456
    109,000   
            Total current assets
 3,472,275
 3,533,833   
Equipment and leasehold improvements, net
    703,394
    747,693   
            Total assets
$4,175,669
$4,281,526   **Liabilities and Stockholders' Equity  
Current liabilities  
   Current maturities of long-term debt
$      6,523
$      7,714
   Accounts payable trade
207,005
198,798
   Accrued items
   192,487
   313,515   
            Total current liabilities
   406,015
   520,027   
Long-term debt
14,501
--
Deferred income taxes
     72,289
     80,856   
            Total long-term liabilities
     86,790
     80,856   
Stockholders' equity  
   Common stock, $.50 par value, authorized  
     5,000,000 shares, issued 1,015,220 shares
507,610
507,610
   Capital in excess of par value
1,123,279
1,123,279
   Retained earnings
2,227,215
2,210,272
   Treasury stock, 28,290 shares, at cost
(115,772)
(115,772)
   Accumulated other comprehensive income  
     Unrealized gain (loss) on available-for-sale securities 
   (59,468)
   (44,746)   
            Total stockholders' equity
 3,682,864
 3,680,643   
            Total liabilities and stockholders' equity
$4,175,669
$4,281,526
See accompanying notes to financial statements.
**Control Chief Holdings, Inc. and Subsidiary

Consolidated Statements of Operations and Retained Earnings

(Unaudited)** **Three Months Ended**Six Months Ended **June 30,**June 30, **2001**2000**2001**2000     
Net sales
$1,299,954
$1,550,289
$2,618,396
$3,438,733     
Cost of products sold
    617,242
    770,530
 1,301,552
 1,626,266     
Gross margin
    682,712
    779,759
 1,316,844
 1,812,467     
Operating expenses    
   Selling expenses
334,366
363,352
649,518
695,645
   General and administrative
264,020
238,305
518,652
583,895
   Research and development
33,600
22,201
65,519
79,249
   Environmental remediation (credit)
     (5,989)
    345,236
     (5,989)
    382,409     
Total operating expenses
    625,997
    969,094
 1,227,700
 1,741,198     
Earnings (loss) from operations
56,715
(189,335)
89,144
71,269     
Other income (expense)    
   Interest expense
(235)
(4,337)
(287)
(5,113)
   Other income (expense), net
      10,414
   (36,605)
     48,525
   (16,637)     
Earnings (loss) before income taxes
66,894
(230,277)
137,382
49,519     
Provision for income taxes (credit)
      29,335
 (102,984)
     61,223
     13,516     
Net earnings (loss)
37,559
(127,293)
76,159
36,003     
Retained earnings, beginning of period
2,189,656
1,982,368
2,210,272
1,819,072     
Cash dividends paid
               --
               --
    (59,216)
               --     
Retained earnings, end of period
$2,227,215
$1,855,075
$2,227,215
$1,855,075     
Earnings (loss) per common share    
   Basic
$ .04
$(.13)
$ .08
$ .04
   Diluted
$ .04
$(.13)
$ .08
$ .04     
Dividends paid per common share
$ .00
$  .00
$ .06
$ .00     
Weighted average number of common shares outstanding        
   Basic
986,930
993,910
986,930
994,009
   Diluted
994,305
1,003,160
994,305
1,003,259
See accompanying notes to financial statements.
**Control Chief Holdings, Inc. and Subsidiary

Consolidated Statements of Cash Flows

(Unaudited)	
**Six Months Ended**June 30, **2001**2000**Cash flows from operating activities  
   Net earnings
$   76,159
$   36,003
   Adjustments to reconcile net earnings to net cash  
     provided by (used in) operating activities:  
      Depreciation and amortization
84,981
110,435
      Provision (credit) for bad debts
--
(803)
      Deferred income taxes
7,032
(139,274)
      Loss on sale of marketable securities
--
46,606
      Change in assets and liabilities:  
        (Increase) decrease in receivables
51,885
90,341
        (Increase) decrease in inventories
90,030
85,859
        (Increase) decrease in other current assets
(46,456)
(4,574)
        Increase (decrease) in accounts payable and accruals
  (112,821)
   113,365   
          Net cash provided by operating activities
    150,810
    337,958   **Cash flows from investing activities  
   Purchase of marketable securities
--
(453,394)
   Sales of marketable securities
--
153,394
   Purchase of equipment and leasehold improvements
(40,682)
(86,083)
   Change in other assets
               --
      (3,038)   
         Net cash used in investing activities
    (40,682)
  (389,121)   **Cash flows from financing activities  
   Proceeds from long-term borrowing
17,023
--
   Repayments of long-term debt
(3,713)
(64,949)
   Proceeds from issuance of common stock
--
3,255
   Purchase of treasury stock
--
(7,113)
   Dividends paid
    (59,216)
               --   
         Net cash used in financing activities
    (45,906)
    (68,807)   
Net increase (decrease) in cash
64,222
(119,970)   
Cash at beginning of period
    802,758
    790,451   
Cash at end of period
$  866,980
$  670,481   **Cash paid during the period for:  
   Interest
$         287
$      5,760
   Income taxes
110,831
166,463
 

See accompanying notes to financial statements.
**Control Chief Holdings, Inc. and Subsidiary

Notes to Financial Statements****1.  Basis of Presentation**
The financial statements include the accounts of Control Chief Holdings, Inc. and its wholly owned subsidiary, Control Chief Corporation, (the "Company"). All significant intercompany accounts are eliminated upon consolidation. The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements, the disclosure of contingent assets and liabilities, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from the estimates. In the opinion of management, all adjustments, consisting only of normal recurring adjustments, necessary for a fair presentation of the financial information for the periods indicated, have been included. Interim results are not necessarily indicative of results for a full year.

The financial statements and notes are presented as permitted by Form 10-QSB, and do not contain certain information included in the Company's annual financial statements and notes. Accordingly, these statements should be read in conjunction with the consolidated financial statements and notes thereto appearing in the annual report of the Company on Form 10-KSB for the six-month transition period ended December 31, 2000.
**2.  Change in Fiscal Year to December 31**
On June 29, 2000, the Executive Committee of the Board of Directors changed the Company's fiscal year end from June 30 to December 31, effective June 30, 2000. Accordingly, the Company reported a transition period from July 1, 2000 through December 31, 2000. The Company elected to change its fiscal year in order to more closely correspond to its current business cycle.
**3.  Earnings Per Common Share**
Basic earnings per share are computed by dividing net earnings by the weighted average number of common shares outstanding. Diluted earnings per share assumes the exercise of stock options using the treasury stock method, if dilutive.
**4.  Cash Dividends Paid**
The Board of Directors of the Company approved a cash dividend totaling $59,216 ($.06 per share) payable on March 26, 2001 to holders of record at the close of business on March 5, 2001.
**4.  Environmental Matters**
The Company formerly owned and operated a manufacturing facility in the Borough of Lewis Run, Pennsylvania. The facility and surrounding property were sold in 1997. Subsequent to the sale, the purchaser of the property conducted certain environmental testing, and detected contamination of the soil and groundwater on the property. In addition, the Pennsylvania Department of Environmental Protection ("DEP") sampled the nearby municipal well, available for use as a secondary source of water supply for the Borough of Lewis Run, and detected contamination in the well. In addition, several remediations of adjacent and upgradient properties had previously been conducted by current and former owners of those properties to address contamination at those locations.

On February 1, 2000, the Company entered into a Consent Order and Agreement ("Agreement") with the DEP. The Agreement required the Company to conduct an investigation of the contamination on and adjacent to its former property, and to evaluate remedial alternatives to address the contamination found. The Agreement also required the Company to identify and evaluate both interim and permanent options to replace or treat the water from the municipal well. The Company did not commit in the Agreement to remediate contamination found on the property or to implement any permanent solution to replace the municipal well. One of the purposes of the investigation was, in fact, to try and determine if the source of some or all of the contamination is one or more of the upgradient properties.

The Company's consultant, Civil and Environmental Consultants, Inc. ("CEC"), subsequently submitted to the DEP a Work Plan for the investigation and conducted a soil, groundwater, and surface water investigation. Upon completion they presented their report and findings to the DEP. In February 2001, the DEP reviewed the information developed by CEC on behalf of the Company, related to the groundwater contamination at the municipal well site in Lewis Run, Pennsylvania. Based upon the findings and review by the DEP, the Company does not consider itself a responsible party. The DEP notified the Company through correspondence, dated February 23, 2001, that it has decided to pursue additional site investigation, including a study of potential sources of groundwater contamination, upgradient of the Company's former manufacturing facility. In addition, the DEP rescinded the February 1, 2000 Consent Order and Agreement. Accordingly, the Company is no longer responsible for carrying out any additional requirements of that Agreement.

During the three-month periods ended June 30, 2001 and 2000, the Company charged (credited) to operating expenses ($5,989) and $345,236, respectively, relating to this environmental matter, and charged (credited) ($5,989) and $382,409, respectively during the six-month periods ended June 30, 2001 and 2000, respectively.
**Part I - Financial Information

Item 2.  Management's Discussion and Analysis or Plan of Operations**
The following discussion and analysis may be understood more fully by reference to the consolidated financial statements, notes to the consolidated financial statements, and management's discussion and analysis or plan of operations contained in the Control Chief Holdings, Inc. and Subsidiary annual report on Form 10-KSB for the six-month transition period ended December 31, 2000.
**Forward-Looking Information**
This Form 10-QSB contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. For this purpose any statements contained in this Form 10-QSB that are not statements of historical fact may be deemed to be forward-looking statements. Without limiting the foregoing, words such as "may," "will," "expect," "believe," "anticipate," "estimate" or "continue" or comparable terminology is intended to identify forward-looking statements. These statements by their nature involve substantial risks and uncertainties, and actual results may differ materially depending on a variety of factors, many of which are not within the Company's control. These factors include but are not limited to economic conditions generally and in the industries in which the Company's customers participate; competition within the Company's industry, including competition from much larger competitors; technological advances which could render the Company's products less competitive or obsolete; failure by the Company successfully to develop new products or to anticipate current or prospective customers' products needs; environmental investigation, remediation and monitoring costs relating to the Company's former facility in Lewis Run, PA; price increases or supply limitations for components purchased by the Company for use in its products; and delays, reductions, or cancellations of orders previously placed with the Company.
**General**
The Company's common stock trades on the NASDAQ Small-Cap Market under the symbol DIGM. The symbol DIGM relates to the Company's former name "Digimetrics, Inc.", which was changed in November 1992 to its present name, "Control Chief Holdings, Inc." Control Chief Holdings, Inc. ("the Company") functions as a holding company and is the sole shareholder of Control Chief Corporation ("Control Chief"). Control Chief designs, engineers and produces remote control devices for material handling equipment and other industrial applications. These controls use either radio or infrared waves as communications media to transmit control data from portable units to receivers mounted on various types of apparatus. All models of products are microprocessor-based systems. These devices are utilized in concert with material handling equipment, industrial machines, process equipment and mobile apparatus. Control Chief markets its products through a network of independent manufacturers' representatives located in key geographical centers throughout the United States, Canada, Central and South America. Products are also sold through direct efforts, distributors, private labeling agreements and licensees.
**Results of Operations**
The following table sets forth certain financial data, as a percentage of net sales, for the three and six-month periods ended June 30, 2001 and 2000.

 
Three Months Ended
Six Months Ended 
June 30,
June 30, 
2001
2000
2001
2000     
Net sales
100.0%
100.0%
100.0%
100.0%     
Cost of products sold
 47.5%
 49.7%
 49.7%
 47.3%     
Gross margin
 52.5%
 50.3%
 50.3%
 52.7%     
Operating expenses    
   Selling expenses
25.7%
23.4%
24.8%
20.2%
   General and administrative
20.3%
15.4%
19.8%
17.0%
   Research and development
2.6%
1.4%
2.5%
2.3%
   Environmental remediation (credit)
 (0.5%)
 22.3%
 (0.2%)
 11.1%     
Total operating expenses
 48.1%
 62.5%
 46.9%
 50.6%     
Earnings (loss) from operations
4.4%
(12.2%)
3.4%
2.1%     
Other income (expense), net
   0.8%
 (2.6%)
   1.8%
 (0.7%)     
Earnings (loss) before income taxes
5.2%
(14.8%)
5.2%
1.4%     
Provision for income taxes (credit)
   2.3%
 (6.6%)
   2.3%
 (0.4%)     
Net earnings (loss)
   2.9%
 (8.2%)
   2.9%
   1.0%

 
*NET SALES. Net sales were $1,299,954 for the three months ended June 30, 2001. This compares to net sales of $1,550,289 for the three months ended June 30, 2000. The decrease in net sales totaled $250,335 or 16.1%. For the six months ended June 30, 2001 and 2000, net sales were $2,618,396 and $3,438,733, respectively, representing a decrease of $820,337 or 23.8% in net sales for the six month ended June 30, 2001. The decrease in net sales reflects a downturn in demand for the Company's products resulting from the slowdown in the economy.
*COST OF PRODUCTS SOLD AND GROSS MARGIN. Cost of products sold decreased by $153,288 for the three months ended June 30, 2001 compared to the three months ended last year. For the six months ended June 30, 2001, cost of products sold decreased by $324,714 compared to the six months ended June 30, 2000. This decrease corresponds with the decline in net sales for the three and six months ended June 30, 2001. Gross margin for the three months ended June 31, 2001 was $682,712, or 52.5%. For the three months ended June 30, 2000, gross margin was $779,759, or 50.3%. For the six months ended June 30, 2001, gross margin was $1,316,844 or 50.3%, compared to $1,812,466 or 52.7% for the six months ended June 30, 2000. Overall, the Company's gross margin percentage decreased by 2.4% for the six months ended June 30, 2001 compared to the six months ended June 30, 2000.
*OPERATING EXPENSES. For the three months ended June 30, 2001, operating expenses decreased by $343,097 or 35.4%, compared to the same three months ended last year, and decreased by $513,498 or 29.5% for the six months ended June 30, 2001 compared to the six months ended June 30, 2000. A significant amount of the decrease in operating expenses relates to the Company's reduction in its provision for environmental remediation expenses in the amounts of $351,225 and $388,398 for the three and six month ended June 30, 2001. Selling, general and administrative expenses, expressed as a percentage of net sales were 46.0% and 38.8% for the three months ended June 30, 2001 and 2000, respectively, and decreased by $3,271 for the three months ended June 30, 2001 when compared to the three months ended June 30, 2000. For the six months ended June 30, 2001 and 2000, selling, general and administrative expenses expressed as a percentage of net sales were 44.6% and 37.2%, respectively, and decreased by $111,370 for the six months ended June 30, 2001 compared to six months ended June 30, 2000. Research and development expenses increased by $11,399 for the three months ended June 30, 2001 compared to the same three months ended last year, and for the six months ended June 30, 2001, decreased by $13,730 compared to the six months ended June 30, 2000. Total operating expenses expressed as a percentage of net sales were 48.1% and 46.9% for the three and six months ended June 30, 2001 versus 62.5% and 50.6% for the three and six months ended June 30, 2000.
*OTHER INCOME (EXPENSE), NET. Other income, net of other (expense) was $10,179 for the three months ended June 30, 2001 versus ($40,942) compared to the same three months ended last year. For the six months ended June 30, 2001 and 2000, other income, net of (expense) was $48,238 and ($21,750), respectively. The increase results from the investment earnings of the Company's cash and cash equivalents.
*EARNINGS (LOSS) BEFORE INCOME TAXES. Earnings (loss) before income taxes were $66,894 for the three months ended June 30, 2001 as compared to a loss of ($127,293) for the three months ended June 30, 2000. For the six months ended June 30, 2001 and 2000, earnings before income taxes were $137,382 and $49,519, respectively.
*INCOME TAXES. The Company's effective income tax rate was 43.9% and 44.6% for the three and six months ended June 30, 2001, respectively. For the three and six months ended June 30, 2000, the Company's effective tax rate (credit) was (44.7%) and 27.3%, respectively.
*NET EARNINGS. Overall earnings, after income taxes, were $37,559 for the three months ended June 30, 2001 as compared to a loss, after income taxes, of ($127,293) for the three months ended June 30, 2000. For the six months ended June 30, 2001 and 2000, net earnings were $76,159 and $36,003, respectively.
*EARNINGS (LOSS) PER COMMON SHARE. The Company's basic and diluted earnings (loss) per common share was $.04 for the three months ended June 30, 2001 as compared to a loss of ($.13) per common share for the three months ended June 30, 2000. For the six months ended June 30, 2001 and 2000, the Company's basic and diluted earnings per common share were $.08 and $.04, respectively.
**Liquidity, Capital Resources and Financial Condition**
The Company funds its needs for liquidity and capital resources through cash from operations, and the availability of short-term and long-term borrowings.

The Company has a commercial demand line of credit in the amount of $1,000,000, with a variable interest rate equal to the lender's prime rate or the Euro-Rate plus 2%. The line of credit is used to finance accounts receivable and inventory of the Company. The line of credit is subject to an annual review by the lending bank each February. At June 30, 2001, no amount was outstanding under the line of credit.

The Company also has term loans used to finance the purchase of vehicles. The balance of these loans at June 30, 2001 was $21,024.

At June 30, 2001, the Company's net working capital was $3,066,260, compared to $3,013,806 at December 31, 2000. At June 30, 2001, the Company's ratio of current assets to current liabilities was 8.55 to 1 compared to 6.79 to 1 at December 31, 2000.

During the six months ended June 30, 2001, the Company's cash expenditures for equipment totaled $40,682. In addition, during the six months ended June 30, 2001, the Company repaid principal on term loans of $3,713 and paid cash dividends totaling $59,216. During the six months ended June 30, 2001, the Company received proceeds from a long-term borrowing in the amount of $17,023.

Current financial resources, including working capital and the existing line of credit, and anticipated funds from operations, are expected to be sufficient to meet the Company's cash requirements throughout the remainder of the year, including scheduled long-term debt repayment and planned capital expenditures. There can be no assurance, however, that unplanned capital replacement or other future events will not require the Company to seek additional debt or equity financing and, if required, will be available on terms that are acceptable and favorable to the Company.

During the six months ended June 30, 2001, the Company's net cash provided by operating activities was $150,810. Net cash provided by operating activities was $337,958 for the three months ended June 30, 2000.
**Environmental Matters**
The Company formerly owned and operated a manufacturing facility in the Borough of Lewis Run, Pennsylvania. The facility and surrounding property were sold in 1997. Subsequent to the sale, the purchaser of the property conducted certain environmental testing, and detected contamination of the soil and groundwater on the property. In addition, the Pennsylvania Department of Environmental Protection ("DEP") sampled the nearby municipal well, available for use as a secondary source of water supply for the Borough of Lewis Run, and detected contamination in the well. In addition, several remediations of adjacent and upgradient properties had previously been conducted by current and former owners of those properties to address contamination at those locations.

On February 1, 2000, the Company entered into a Consent Order and Agreement ("Agreement") with the DEP. The Agreement required the Company to conduct an investigation of the contamination on and adjacent to its former property, and to evaluate remedial alternatives to address the contamination found. The Agreement also required the Company to identify and evaluate both interim and permanent options to replace or treat the water from the municipal well. The Company did not commit in the Agreement to remediate contamination found on the property or to implement any permanent solution to replace the municipal well. One of the purposes of the investigation was, in fact, to try and determine if the source of some or all of the contamination is one or more of the upgradient properties.

The Company's consultant, Civil and Environmental Consultants, Inc. ("CEC"), subsequently submitted to the DEP a Work Plan for the investigation and conducted a soil, groundwater, and surface water investigation. Upon completion they presented their report and findings to the DEP. In February 2001, the DEP reviewed the information developed by CEC on behalf of the Company, related to the groundwater contamination at the municipal well site in Lewis Run, Pennsylvania. Based upon the findings and review by the DEP, the Company does not consider itself a responsible party. The DEP notified the Company through correspondence, dated February 23, 2001, that it has decided to pursue additional site investigation, including a study of potential sources of groundwater contamination, upgradient of the Company's former manufacturing facility. In addition, the DEP rescinded the February 1, 2000 Consent Order and Agreement. Accordingly, the Company is no longer responsible for carrying out any additional requirements of that Agreement.

During the three and six-month periods ended June 30, 2001, the Company credited to operating expenses ($5,989) relating to this environmental matter. For the three and six-month periods ended June 30, 2000, the Company charged to operating expenses $345,236 and $382,409, respectively, relating to this environmental matter.
**Part II - Other Information****Item 4.  Submission of Matters to a Vote of Security Holders**
An annual meeting of the Shareholders of the Company was held on May 25, 2001.

Election of six Directors.

Director
For
Withhold   
Douglas S. Bell
881,097
19,831
David I. Cohen
881,097
19,831
Mark A. George
881,097
19,831
Craig A. Hartburg
881,097
19,831
C. Lawrence Shields
880,941
19,987
Michael A. Zurat
881,066
19,862

Approve the appointment of Diefenbach Delio Kearney & DeDionisio as independent certified public accountants of the Company.

For
Against
Abstain   
900,782
69
77
** 

Item 6.  Exhibits and Reports on Form 8-K**
(a) Exhibits

The following Exhibits are filed herewith or incorporated by reference herein.

**No.**Exhibit**Location   
3-1
Certificate of Incorporation of Digimetrics, Inc.
Incorporated by reference from Digimetrics, Inc.'s Registration Statement on Form 10 File No. 0-15919 ("Form 10")   
3-2
By-laws of Digimetrics, Inc.
Incorporated by reference from Digimetrics, Inc.'s Form 10   
3-3
Certificate of Amendment of the Certificate of Incorporation of Digimetrics, Inc.
Incorporated by reference from Form 10-KSB File No. 0-15919 for the fiscal year ended June 30, 1993 as Exhibit 3-3   
4-1
Specimen of Common Stock Certificate
Incorporated by reference from Digimetrics, Inc.'s Form 10

(b) Reports on Form 8-K.

The Registrant filed no Reports on Form 8-K during the reporting period.
** 

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.

Control Chief Holdings, Inc.

(Registrant)

Date: August 3, 2001					By: \s\ *Douglas S. Bell
Douglas S. Bell

Chairman of the Board,

Chief Executive Officer and President*********************************************************************