<PAGE>
                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                    FORM 10-Q

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

For the Quarter Ended September 30, 2001         Commission file number: 2-22997



                                MILLS MUSIC TRUST
             (Exact name of registrant as specified in its charter)



        New York                                                 13-6183792
(State or other Jurisdiction of                               (I.R.S. Employer
incorporation or organization)                               Identification No.)



c/o HSBC Bank USA, Issuer Services, 452 Fifth Avenue,             10018-2706
New York, NY (Address of Principal executive offices)             (ZIP Code)


Registrant's telephone number, including area code               (212) 525-1349

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 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

Number of Trust Units Outstanding as of September 30, 2001 277,712
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                                                                          Page 2



                         PART 1 - FINANCIAL INFORMATION

Item 1. Financial Statements

                                MILLS MUSIC TRUST
                  STATEMENTS OF CASH RECEIPTS AND DISBURSEMENTS
         THREE MONTHS AND NINE MONTHS ENDED SEPTEMBER 30, 2001 AND 2000

                                   (UNAUDITED)

<TABLE>
<CAPTION>
                                     Three Months Ended           Nine Months Ended
                                     September 30                 September 30
                                     -------------------------------------------------------
                                     2001        2000             2001             2000
                                     ----        ----             ----             ----
<S>                                  <C>         <C>              <C>              <C>
Receipts;
Mills Music, Inc.                      -0-       $ 335,399        $ 577,562        $ 884,885

Undistributed cash at
beginning of the period                 51              31               51               31

Disbursements-
administrative expenses                -0-         (11,273)         (42,384)         (47,603)
                                     -------------------------------------------------------
Balance available for
distribution                            51         324,157          535,229          837,313

Cash distribution to unit
holders                                -0-        (324,118)        (535,178)        (837,274)

Undistributed cash at
end of the period                    $  51       $      39        $      51        $      39
                                     -------------------------------------------------------
Cash distribution per unit
(based on 277,712 units
outstanding)                         $ -0-       $    1.17        $    1.93        $    3.01
                                     -------------------------------------------------------
</TABLE>


See accompanying Notes to Statements of Cash Receipts and Disbursements.
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                                                                          Page 3



                                MILLS MUSIC TRUST

             NOTES TO STATEMENTS OF CASH RECEIPTS AND DISBURSEMENTS
         THREE MONTHS AND NINE MONTHS ENDED SEPTEMBER 30, 2001 AND 2000

                                   (UNAUDITED)


NOTE 1.  ACCOUNTING POLICIES AND GENERAL INFORMATION

                  Mills Music Trust ("the Trust") was created in 1964 for the
         purpose of acquiring the rights to receive payments of a deferred
         contingent purchase price contract obligation payable by Mills Music,
         Inc. ("Mills"). The contingent payments are determined quarterly, and
         are based on a formula which takes into account gross royalty income
         from certain music copyrights and licenses of Mills, less royalties
         paid and amounts deducted in accordance with contract terms.

                  Payments to the Trust are made in March, June, September, and
         December, and include net royalty income of the preceding calendar
         quarter. The Payments received are accounted for on a cash basis, as
         are expenses paid. The Declaration of Trust requires the distribution
         of all funds received by the Trust to the Unit Holders after payment of
         expenses.

                  The statements of cash receipts and disbursements reflect only
         cash transactions and do not present transactions that would be
         included in financial statements presented on the accrual basis of
         accounting, as contemplated by generally accepted accounting
         principles.

                  There is no book value per unit because cumulative
         distributions are in excess of the initial investments in the Trust.

NOTE 2.  RELATED PARTY TRANSACTIONS

                  The Declaration of Trust provides that each trustee shall
         receive reimbursement for expenses reasonably incurred in the
         performance of his duties and annual compensation of $2,500 per year
         for his services as trustee, provided that such aggregate compensation
         to the trustees as a group may not exceed 3% of the monies received by
         the Trust in a year. The Declaration of Trust further provides for
         reimbursement to the corporate trustee for its clerical and
         administrative services to the Trust. Accordingly, HSBC Bank USA
         ("HSBC") receives reimbursement for such services and for services
         performed as Registrar and Transfer Agent. The Declaration of Trust
         further provides that if any trustee performs unusual or extraordinary
         services, reasonable compensation for such services shall be paid,
         subject to certain limitations and to prior confirmation by a majority
         interest of Trust Certificate holders. Pursuant to these provisions,
         disbursements to related parties were made as follows for the nine
         months ended September 30, 2001 and 2000.
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                                                                          Page 4



                                MILLS MUSIC TRUST

             NOTES TO STATEMENTS OF CASH RECEIPTS AND DISBURSEMENTS
         THREE MONTHS AND NINE MONTHS ENDED SEPTEMBER 30, 2001 AND 2000
                                   (CONTINUED)

                                   (UNAUDITED)

<TABLE>
<CAPTION>
                                               2001              2000
                                              -----              ----
<S>                                           <C>               <C>
Trustee Fees:

Bernard D. Fischman (Deceased)                $1,250            $1,875

HSBC Bank USA                                  1,250             1,875

HSBC Bank USA

Transfer agent and registrar                  $   44            $5,367
</TABLE>



NOTE 3.  FEDERAL INCOME TAXES

                  No provision for income taxes has been made since the
         liability is that of the unit holders and not the Trust.

NOTE 4.  ROYALTIES

     a)  During the quarter ended September 30, 2001 the Trust did not receive
         any payment of the deferred contingent purchase price from EMI Music
         Publishing Co. (the current owner of Mills' Catalogue of songs, and the
         administrative entity for the copyright materials) ("EMI"). EMI charged
         the Trust with an adjustment for certain costs relating to copyright
         renewals and refunds of prior royalties received.

         The Trustee is reviewing in conjunction with the Trust's accountants
         the basis for the adjustment by EMI, the periods to which it applies as
         well as EMI's method of computing it. The Trustee is also reviewing
         with counsel the foregoing adjustment as well as the question of
         whether the $167,500 minimum distribution is applicable under the
         present circumstances. There are also discussions with EMI to resolve
         the minimum distribution issue.
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                                                                          Page 5



         Because the Trust received no income for the three months ended
         September 30, 2001, it was unable to pay outstanding invoices totaling
         $12,163.

     b)  The original (1964) sale agreement assumed by EMI provides for a
         revised royalty calculation when the remittance to the Trust is less
         than $167,500 for the quarter. This occurred in the quarter ended
         December 31, 1999, for which the remittance was $155,717. EMI did not
         calculate that quarter's payment using the revised royalty calculation,
         and has been notified about this matter. Additional monies due to the
         Trust, if any, under the revised calculation would be capped at an
         amount that, when added to the prior distribution, would not exceed
         $167,500. The timing of the receipt of any additional monies due to the
         Trust is dependent upon EMI's ability to provide the information
         required under the revised royalty calculation. EMI has chosen not to
         provide the revised calculation for the December 1999 quarter and has
         reimbursed the Trust by repaying $19,400 that it had previously
         deducted. The repayment is included in the receipts for the six months
         ended June 30, 2001.

     c)  A limited scope royalty engagement of EMI's record keeping and
         reporting processes was concluded by David Berdon & Co., LLP, the
         Trust's auditors, in 2001 without significant negative findings. EMI is
         the current owner and administrator of the copyrighted materials.
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                                                                          Page 6



                           PART 1 FINANCIAL STATEMENTS

Item 2.  Management's Discussion and Analysis of Results of Operations.



                  On October 10, 2001 the Trust filed a Form 8-K which indicated
         that as of that date EMI had failed to provide a statement or make a
         quarterly remittance for the quarter ended June 30, 2001. Such
         Statement and remittance were due by September 1, 2001. The Form 8-K
         also disclosed the death of Bernard Fischman on July 11, 2001 which
         left HSBC Bank USA as the sole trustee.

                  The adjustment reflected in the calculation made by EMI during
         the three months ended September 30, 2001 had a material effect on the
         Trust's operations for the period and the year to date. There are
         currently discussions with EMI to resolve the issue of a minimum
         distribution. The Trust is also reviewing with counsel, and its
         accountants, what, if any, rights it may have to compel EMI to remit at
         least the minimum royalty for the quarter. In addition, the Trust has
         requested details from EMI as to how the adjustment was computed and to
         which periods it pertains.

                  The Trust's receipts from EMI are derived from copyrights
         established prior to 1964 and such receipts fluctuate based upon public
         interest in the "nostalgia" appeal of older songs.

                  The Trust's contingent fee income over the last three years
         has averaged over $1,000,000 per year. In addition to the above, there
         are a number of factors, which create uncertainties with respect to the
         ability of the Trust to continue to generate that level of income on a
         continuing, long-term basis. Those factors include the effect that
         foreign and domestic copyright laws and any changes therein have or
         will have on both licensing fees and renewal rights, ultimately,
         copyright expirations under such laws and the effect of electronic
         copying of materials without permission.

                  In 1976, the copyright law was changed for works that were
         within renewal terms between December 31, 1976 and December 31, 1978 to
         add an extension of 19 years to the 28 year renewal term. The original
         copyright term is 28 years. That amendment made the copyright term 75
         years. The Copyright Act of 1976 provided for a single term of life
         plus 70 years after author's death (with some variations in different
         circumstances) for works created after January 1, 1978. The 1976 act
         provided that the writer and his heirs could terminate a transfer or
         license of the renewal copyright that was executed before 1978, so long
         as the termination was effected in a five-year period following the end
         of the initial 56-year period.

                  The copyright laws were modified by the Sonny Bono 1998
         Copyright Term Extension Act (the "Act"), which provided an additional
         20 years of copyright protection, such that the term of copyrights is
         now 95 years.
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                                                                          Page 7



                  The copyright laws provide that renewal vests in any person
         who is entitled under the rules of statutory succession to the renewal
         and extension of the copyright at the time the application to renew is
         made. If no renewal is made, renewal vests in any person entitled under
         the rules of statutory extension as of the last day of the original
         term of copyright to the renewal and extension of copyright. The writer
         (and not the publisher to whom the copyright was originally assigned)
         owns the renewal right. The laws name specified classes of persons (the
         writer's wife, his children, etc.) who will succeed to the renewal
         right if the writer dies before the end of the original term. The Act
         does not distinguish between composers and lyricists. However, if the
         composer and lyricist are not the same, each owns a portion of the
         renewal rights. The composer and the lyricist may, and frequently do,
         assign their respective interests in the renewal rights to a publisher
         at the time of the assignment of the original copyright term. Such an
         assignment of the renewal term is effective, however, only if the
         assignor survives the original term. If he does not, his heirs will
         succeed to his share of the renewal rights; and, in such event, these
         heirs are not obligated by the assignment of the rights to the
         publisher to whom the original assignment was made unless they joined
         in the assignment. In addition, the 1998 Copyright Extension Act allows
         writers (or their heirs) to elect, after either a 35 or 40 year period
         as specified in the statute, to terminate a transfer of license or
         renewal within five years of the expiration.

                  In 2000, the trustees were able to obtain a listing of the top
         50 songs in the subject copyrighted songs of EMI (the current owner and
         administrative entity for the copyright materials) with the original
         copyright dates listed. The copyright dates range from 1922 to 1960.
         One song was placed in the public domain in 1998. The trust could still
         receive income for its pre-1998 contingent rights with respect to that
         song.

                  The song listing indicated that the copyright of 13 of the top
         50 songs will reach 75 years in the next five years (with one song
         reaching 75 years in 2001 and another in 2002). The listing does not
         provide an indication of the percentage of income earned by each
         copyright to total income.

                  The trust cannot determine EMI's ability to secure renewals of
         the copyrighted material; however, under the trust agreement, EMI must
         use its best efforts to do so.

                  The receipts for the nine months ended September 20, 2001
         include additional payments of $19,400 which is a reimbursement for
         monies withheld in 2000 related to a 1999 royalty computation and
         repaid during the current year.

                  The disbursements for the nine months ended September 30, 2001
         include $9,000 for a royalty engagement on EMI's recordkeeping
         performed in 2000 by David Berdon & Company, LLP.

Item 3.  Is not applicable.
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                                                                          Page 8



                           PART II - OTHER INFORMATION

                Items 1 through 5, inclusive, are not applicable.

Item 6.  Exhibits and Reports on Form 8-K

         a.       Exhibits: None

         b.       Reports on Form 8-K: No reports on Form 8-K were filed during
                  the quarter ended September 30, 2001.
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                                                                          Page 9



                                   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, there unto duly authorized.

                                                     MILLS MUSIC TRUST
                                                     ---------------------------
                                                     (Registrant)







Date: November 14, 2001                              By:   MARCIA MARKOWSKI
                                                     ---------------------------
                                                            HSBC Bank USA
                                                            Corporate Trustee