<PAGE>

                UNITED STATES SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                  FORM 10-QSB/A

                                 Amendment No. 1

(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, 2002
                               -------------

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

For the transition period from ______________  to  ______________

                          Commission file number 04863
                                                 -----

                    Southern Investors Service Company, Inc.
                    ----------------------------------------
        (Exact name of small business issuer as specified in its charter)

            Delaware                                      74-1223691
--------------------------------------------------------------------------------

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

   2727 North Loop West, Suite 200, Houston, Texas             77008
--------------------------------------------------------------------------------
    (Address of principal executive offices)                (Zip Code)

                                 (713) 869-7800
                                 --------------
                            Issuer's telephone number


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

                APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY
                   PROCEEDINGS DURING THE PRECEDING FIVE YEARS

     Check whether the registrant filed all documents and reports required to be
filed by Section 12, 13 or 15(d) of the Exchange Act after the distribution of
securities under a plan confirmed by a court. Yes___ No

                      APPLICABLE ONLY TO CORPORATE ISSUERS

     State the number of shares outstanding of each of the issuer's classes of
common equity, as of the latest practicable date: 3,168,929 as of August 12,
2002, Common Stock $1.00 Par Value

     Transitional Small Business Disclosure Format (Check One):
    Yes____; No  X
               -----

<PAGE>

                                PRELIMINARY NOTE

     This Amendment No. 1 to the registrant's Quarterly Report on Form 10-QSB
for the period ended June 30, 2002 is being filed solely to correct certain
clerical errors set forth in such Quarterly Report. No material revisions have
been made to the information set forth in the financial statements or any other
disclosure contained in such Quarterly Report.


                         PART I - FINANCIAL INFORMATION

Item 1. Financial Statements

     The Financial Statements included herein have been prepared by Southern
Investors Service Company, Inc., (the Company), without audit, pursuant to the
rules and regulations of the Securities and Exchange Commission. Certain
information and footnote disclosures normally included in financial statements
prepared in accordance with accounting principles generally accepted in the
United States have been condensed or omitted pursuant to such rules and
regulations, although the Company believes that the disclosures are adequate to
make the information presented not misleading. It is suggested that these
Financial Statements be read in conjunction with the Financial Statements and
notes thereto included in the Company's latest annual report on Form 10-KSB. In
the opinion of the management of the Company, all adjustments necessary to
present a fair statement of the results for the interim periods have been made.

<PAGE>

                    SOUTHERN INVESTORS SERVICE COMPANY, INC.
                                  BALANCE SHEET
                                 JUNE 30, 2002
                             (Thousands of Dollars)
                                  (Unaudited)

ASSETS
------

CASH                                                    $  2,232
EQUITY IN REAL ESTATE JOINT VENTURES, NET                    286
NOTES RECEIVABLE AND OTHER ASSETS                              8
                                                        --------

                                                        $  2,526
                                                        ========
LIABILITIES AND STOCKHOLDERS' DEFICIT
-------------------------------------

LIABILITIES:
  Notes payable                                         $  4,840
 Accounts payable and accrued expenses                     2,978
                                                        --------
    Total liabilities                                      7,818
                                                        --------

COMMITMENTS AND CONTINGENCIES

STOCKHOLDERS' DEFICIT:
  Preferred stock, $1 par, 1,000,000
    shares authorized, none issued                            --
  Common stock, $1 par, 10,000,000 shares authorized,
    3,281,331 shares issued                                3,281
  Additional paid-in capital                               3,031
  Retained deficit                                       (11,478)
  Less treasury stock, 112,402 shares, at cost           (   126)
                                                        --------
    Total stockholders' deficit                          ( 5,292)
                                                        --------

                                                        $  2,526
                                                        ========

         The accompanying notes are an integral part of this statement.

<PAGE>

                    SOUTHERN INVESTORS SERVICE COMPANY, INC.
                               STATEMENTS OF LOSS
                  (Thousands of Dollars, Except Share Amounts)
                                   (Unaudited)

<TABLE>
<CAPTION>
                                    Three Months Ended         Six Months Ended
                                         June  30,                   June 30,
                                  ---------------------      ---------------------
                                   2002          2001           2002        2001
                                   ----          ----           ----        ----
<S>                          <C>           <C>            <C>           <C>
INTEREST INCOME                   $  11        $   25         $   23        $   57

OTHER REVENUES                       32             2             38            30
                             ----------    ----------     ----------    ----------
                                     43            27             61            87
                             ----------    ----------     ----------    ----------


INTEREST EXPENSE                     79            84            156           167

OTHER OPERATING EXPENSES             46            66             67            96
                             ----------    ----------     ----------    ----------

                                    125           150            223           263
                             ----------    ----------     ----------    ----------

NET LOSS                         ($  82)      ($  123)       ($  162)      ($  176)
                             ==========    ==========     ==========    ==========


BASIC AND DILUTED
 LOSS PER COMMON SHARE           ($ .03)      ($  .04)       ($  .05)      ($  .06)
                             ==========    ==========     ==========    ==========

AVERAGE NUMBER OF
  SHARES OUTSTANDING          3,168,929     3,168,929      3,168,929     3,168,929
                             ==========    ==========     ==========    ==========
</TABLE>

        The accompanying notes are an integral part of these statements.

<PAGE>

                    SOUTHERN INVESTORS SERVICE COMPANY, INC.

                            STATEMENTS OF CASH FLOWS

                             (Thousands of Dollars)
                                   (Unaudited)

<TABLE>
<CAPTION>
                                                                             Six Months
                                                                           Ended June 30,
                                                                           --------------
                                                                      2002                2001
                                                                      ----               -----
<S>                                                                 <C>                  <C>
Cash flows from operating activities:
  Net (loss)                                                       ($  162)            ($  176)
  Adjustments to reconcile net loss to net cash provided
   by operating activities:
  Recognition of deferred profit                                       (37)                (28)
  Change in assets and liabilities:
    Decrease in notes receivable and other assets                       52                  74
    Increase in accounts payable, accrued
      expenses and other                                               137                 111
                                                                   -------             -------
       Net cash used in operating activities                           (10)                (19)
                                                                   -------             -------

Cash flows from financing activities:
    Payments on notes payable, net                                     ---                 (12)
                                                                   -------             -------

Net decrease in cash                                                   (10)                (31)

Beginning cash                                                       2,242               2,334
                                                                   -------             -------

Ending cash                                                        $ 2,232             $ 2,303
                                                                   =======             =======
</TABLE>

        The accompanying notes are an integral part of these statements.

<PAGE>

                    SOUTHERN INVESTORS SERVICE COMPANY, INC.

                          NOTES TO FINANCIAL STATEMENTS

                                   (Unaudited)

(1)  CURRENT BUSINESS CONDITIONS

         Southern Investors Service Company, Inc., (the Company), was
incorporated under the laws of the State of Delaware in 1972. Prior to 1990, the
Company was engaged in the ownership and development of real estate primarily in
the Houston, Texas area. The operations of the Company were significantly
reduced during 1990, as a result of various debt settlements with lenders and
other creditors. These settlements resulted in the transfer of substantially all
of the Company's holdings to its creditors. The Company's operations since 1990
have been limited to attempts to settle or restructure the Company's remaining
liabilities. The Company's operations also included the management of
residential developments and two office buildings owned by others. During 1998,
the majority of these residential projects were sold by the owners and therefore
the Company no longer is managing these projects. Effective January 1, 1999, the
Company ceased all management activity and all employees related to this
activity were terminated.

The Company determined in late 1999 that the sale of Lajitas (a resort property
in west Texas), its sole remaining operating asset, would facilitate the
Company's ability to settle its existing liabilities most favorably. As a
result, the Company retained the National Auction Group, Inc., (National
Auction) to conduct an auction of Lajitas. The auction was conducted on February
24, 2000 and the property was sold for $3,950,000. The sale of Lajitas included
the sale of the capital stock of Lajitas Utility Co., Inc., (Lajitas Utility), a
company which provides water and related utility services to the resort town.
The Lajitas Utility facilities were in need of certain repairs and improvements
which were ordered by regulatory agencies. The transfer of the capital stock of
Lajitas Utility was also subject to the approval of a regulatory agency.
Subsequent to the auction, the estimated costs of these repairs increased and as
a result, the Company and the buyer entered into a series of discussions in
order to resolve this matter and to obtain the approvals necessary. As a result
of these negotiations, the Company agreed to a reduction in the purchase price
of $400,000. The sale of the Lajitas property closed on May 2, 2000. During
2000, the Company realized a gain on the sale of Lajitas of $755,000 and
received net cash proceeds of approximately $2.4 million, after the payment of a
mortgage note related to the property sold.

The Company has attempted to use the net proceeds from the sale of Lajitas to
settle or restructure existing debt, of which approximately $4,840,000 (plus
accrued interest) has matured and is currently past due, and to realize the
carrying amount of its remaining assets. On March 26 2002, the Board of
Directors of the Company determined that the best alternative to settle the
Company's existing debt was to file a voluntary petition for relief under
Chapter 11 of Title 11 of the United States Bankruptcy Code (Chapter 11) with
the United States Bankruptcy Court (Bankruptcy Court). The Company currently
anticipates that it will file its voluntary petition with the Bankruptcy Court
during 2002 and

<PAGE>

that any plan of liquidation submitted to the Bankruptcy Court in connection
therewith will call for the disposition of the Company's remaining assets and
the distribution of all the net proceeds therefrom to the Company's creditors.
These financial statements have been prepared using the historical cost basis of
accounting. Management of the Company believes the historical cost basis of
accounting states assets at approximately their liquidation values and states
the Company's liabilities at their historical amounts. It is not presently
determinable what amounts the creditors will agree to accept in settlement of
the obligations due them. These financial statements do not include any
adjustments that might result from the outcome of this uncertainty. Accordingly,
the Company believes the equity of the Company has, and will continue to have,
no value and that any Chapter 11 plan confirmed by the Bankruptcy Court will
result in the elimination of the equity interests of all of the Company's
stockholders. The Company anticipates that it will take approximately nine
months after the plan is filed to complete its liquidation process; however, any
and all Chapter 11 plans that may be proposed will be subject to obtaining all
necessary approvals, including but not limited to creditor votes and judicial
determinations of confirmability. There can be no assurance, therefore, as to
how long it may take to complete the Company's liquidation process.

 (2)     SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

         The accompanying unaudited financial statements have been prepared in
accordance with the significant accounting policies included in the notes to the
Company's latest annual report on Form 10-KSB. These financial statements should
be read in conjunction with those notes.

Item 2.  Management's Discussion and Analysis or Plan of Operation.

Results of Operations

         The net (loss) for the first six months of 2002 was ($162,000) or
($.05) per share compared to a net (loss) of ($176,000) or ($.06) per share
during the first six months of 2001.

The decrease in interest income is due to decreased interest rates in 2002.

The decrease in other expenses is due to a decrease in legal and professional
fees.

Current Business Conditions, Operations, Certain Events and Uncertainties

       The Company has attempted to use the net proceeds from the sale of
Lajitas to settle or restructure existing debt, of which approximately
$4,840,000 (plus accrued interest) has matured and is currently past due, and to
realize the carrying amount of its remaining assets. On March 26, 2002, the
Board of Directors of the Company determined that the best alternative to settle
the Company's existing debt was to file a voluntary petition for relief under
Chapter 11 with the Bankruptcy Court. The Company currently anticipates that it
will file its voluntary petition during 2002 and that any plan of liquidation
submitted to the Bankruptcy Court in connection therewith will call for the
disposition of the Company's remaining assets and the distribution of all the
net proceeds therefrom to the

<PAGE>

Company's creditors. The Financial Statements have been prepared using the
historical cost basis of accounting. Management of the Company believes the
historical cost basis of accounting states assets at approximately their
liquidation values and states the Company's liabilities at their historical
amounts. It is not presently determinable what amounts the creditors will agree
to accept in settlement of the obligations due them. The financial statements do
not include any adjustments that might result from the outcome of this
uncertainty. Accordingly, the Company believes that the equity of the Company
has, and will continue to have, no value and that any Chapter 11 plan confirmed
by the Bankruptcy Court will result in the elimination of the equity interests
of all of the Company's stockholders. The Company anticipates that it will take
approximately nine months after the plan is filed to complete its liquidation
process; however, any and all Chapter 11 plans that may be proposed will be
subject to obtaining all necessary approvals, including but not limited to
creditor votes and judicial determinations of confirmability. There can be no
assurance, therefore, as to how long it may take to complete the Company's
liquidation process.

Forward Looking Statements

         This report contains "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. All statements other than
statements of historical fact included in this section and elsewhere in this
report are forward looking statements and, although the Company believes that
the expectations reflected in such forward looking statements are reasonable, it
can give no assurance that such expectations will prove to have been correct.
The Company's business and financial results are subject to various risks and
uncertainties, including the Company's ability to settle or restructure its
remaining debt and other obligations and to generate positive cash flow to cover
its operating expenses, that may cause actual results to differ materially from
the Company's expectations. The Company does not intend to provide updated
information other than as otherwise required by applicable law. All subsequent
written and oral forward looking statements attributable to the Company or
persons acting on its behalf are expressly qualified in their entirety by the
cautionary statements contained in this paragraph and elsewhere in this report.

<PAGE>

                           PART II - OTHER INFORMATION

ITEM 1.  Legal Proceedings

None

ITEM 2.  Changes in Securities

None

ITEM 3.  Default upon Senior Securities

None

ITEM 4.  Submission of Matters to a Vote of Security Holders

The Company held its annual meeting of stockholders on May 21, 2002, at which
time the stockholders elected the Company's directors. The results were as
follows:

<TABLE>
<CAPTION>
                                                       Against/                                Broker
                                       For             Withheld            Abstain           Non-Votes
                                       ---             --------            -------           ---------
<S>                                     <C>             <C>                 <C>                  <C>
Directors:

Walter M. Mischer, Sr.              1,602,125               -                 -                    -

Walter M. Mischer, Jr.              1,602,125               -                 -                    -

Eric Schumann                       1,602,125               -                 -                    -
</TABLE>

ITEM 5.  Other Information

     Pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of
the Sarbanes-Oxley Act of 2002, each of the Chief Executive Officer and the
Senior Vice President - Finance and Principal Financial and Accounting Officer
of the Company has certified that the Quarterly Report of the Company on Form
10-QSB for the period ended June 30, 2002 (the "Report") fully complies with the
requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934
and that the information contained in the Report fairly presents, in all
material respects, the financial condition and results of operations of the
Company.

<PAGE>

ITEM 6.  Exhibits and Reports on Form 8-K


A.  Exhibits Required by Item 601 of Regulation S-B.

                                                      *Filed Herein or
                                                  Incorporated by Reference
                      Exhibit                          from Exhibit

(3)      (a) Certificate of Incorporation, as       3(a) 1989 Form 10-K
             Amended, through June 6, 1989
         (b) Articles of Amendment to Certificate   3(b) 1989 Form 10-K
             of Incorporation dated June 7, 1989
         (c) Articles of Amendment to Certificate   3(c) 1993  Form 10-K
             of Incorporation dated May 21, 1993
         (d) Bylaws, as Amended, through date       3(d) June 30, 1989 Form 10-K
             hereof Form 10-Q


(99.1)       Certifications Pursuant to 18 U.S.C. Section 1350, As    *
             Adopted Pursuant to Section 906 of the Sarbanes-Oxley
             Act of 2002


B.  Reports on Form 8-K.

    The Company filed no reports of Form 8-K during the quarter ended June 30,
2002.

<PAGE>

                                   SIGNATURES
                                   ----------

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

                                      SOUTHERN INVESTORS SERVICE COMPANY, INC.




                                      /s/ Walter M. Mischer, Jr.
                                      ------------------------------------------
                                      WALTER M. MISCHER, JR.
                                      President - Principal Executive Officer



                                      /s/ Eric Schumann
                                      ------------------------------------------
                                      ERIC SCHUMANN
                                      Senior Vice President - Finance
                                      Principal Financial and Accounting Officer


                                      DATE: August 19, 2002