<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 March 31, 2003 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,  New York, NY 10018-2706
--------------------------------------------------------------------------------
               (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 March 31, 2003    277,712
                                                          -------



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                                                                               2


                          PART I - FINANCIAL STATEMENTS
                          -----------------------------

Item 1. Financial Information

                                MILLS MUSIC TRUST
                                -----------------
                  STATEMENTS OF CASH RECEIPTS AND DISBURSEMENTS
                  ---------------------------------------------
                   THREE MONTHS ENDED MARCH 31, 2003 AND 2002
                   ------------------------------------------
                                   (UNAUDITED)

                                                      Three Months Ended
                                                           March 31
                                                    ------------------------
                                                     2003              2002
                                                     ----              ----
             Receipts from
             Mills Music, Inc.                    $  392,844       $  167,500(A)

             Undistributed cash at beginning
             of the period                                50          335,044


             Disbursements-
             administrative expenses                 (58,756)        (81,523)*
                                                   ----------      -----------


             Balance available for
             distribution                             334,138         421,021

             Cash distribution to unit holders
                                                      334,088
                                                                      420,977**
                                                 -------------    --------------

             Undistributed cash at end of the
             period                               $        50     $       44
                                                 =============    ==============

             Cash distribution per unit (based
             on 277,712 units outstanding)
                                                  $      1.20     $     1.52
                                                  ============    ==============

             Pro Forma**                                          $      .51
                                                                  ==============

See accompanying Notes to Statements of Cash Receipts and Disbursements.

(A) Minimum royalty payment

*   Includes $56,156 of administrative expenses paid in January 2002 pertaining
    to 2001 income received December 31, 2001.

**  Includes $278,844 distributed in January, 2002 pertaining to 2001 income
    received December 31, 2001. Pro Forma distribution per unit in 2002,
    reflects the $278,844 as if it were distributed in 2001.

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                                                                               3

                                MILLS MUSIC TRUST
             NOTES TO STATEMENTS OF CASH RECEIPTS AND DISBURSEMENTS
                   THREE MONTHS ENDED MARCH 31, 2003 AND 2002

                                   (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 payment 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 paid to composers, authors and others, and less
amounts deducted by Mills in accordance with contract terms.

     Payments from Mills to the Trust are due in March, June, September and
December and include net royalty income received during the preceding calendar
quarter. The payments received are accounted for on a cash basis, as are
expenses. 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 include transactions that would be recorded in financial
statements presented on the accrual basis of accounting, as contemplated by
accounting principles generally accepted in the United States of America.

NOTE 2.  FEDERAL INCOME TAXES

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

NOTE 3.  RELATED PARTY TRANSACTIONS

     The Declaration of Trust provides that each trustee shall receive annual
compensation of $2,500 per year for 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 any year, and reimbursement for expenses
reasonably incurred in the performance of their duties. 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, the corporate
trustee, also receives reimbursement for such services (including services
performed as Registrar and Transfer Agent of the Certificates representing
Units).

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                                                                               4

                                MILLS MUSIC TRUST
             NOTES TO STATEMENTS OF CASH RECEIPTS AND DISBURSEMENTS
                   THREE MONTHS ENDED MARCH 31, 2003 AND 2002
                                   (CONTINUED)

                                   (UNAUDITED)

     The Declaration of Trust also provides, that if in the future 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 in interest of Trust Certificate holders.

     Pursuant to these provisions, disbursements to related parties were made as
follows for the three months ended March 31, 2003 and 2002:


                                                       2003            2002
                                                   =============   =============

               Trustee Fees:
                  HSBC Bank USA                        $625            $625

               HSBC Bank USA
                  Transfer agent and registrar          $63          $  63



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. EMI charged the
Trust with an adjustment for certain costs relating to copyright renewals
incurred over several years and a retroactive adjustment relating to a recent
court decision, which negatively affected all holders of U.S. copyrights.

     For the quarter ended December 31, 2001, EMI applied the debit balance
arising from the adjustment of the previous quarter to amounts owing for that
quarter and initially remitted approximately $60,000 to the Trust.

     After discussion between EMI and the Trust and the Trust's counsel, EMI
remitted an additional amount which brought the total for the each of the
quarters ended September 30, 2001 and December 31, 2001 to the $167,500 minimum
quarterly distributions. (See note 4(b)) EMI has taken the position that the
additional distributions would be considered advances against the future
contingent portion of earnings and the unrecouped copyright renewals. The Trust
has taken the position that such minimum distributions are due regardless of the
adjustment based upon the inclusion of gross royalty income of Related Companies
as defined in the relevant agreement. If EMI's position is correct, then future
income of the Trust will be impacted by the amount of such advances.

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                                                                               5
                                MILLS MUSIC TRUST
             NOTES TO STATEMENTS OF CASH RECEIPTS AND DISBURSEMENTS
                   THREE MONTHS ENDED MARCH 31, 2003 AND 2002
                                   (CONTINUED)

                                   (UNAUDITED)


NOTE 4.  ROYALTIES (Continued)

     The Trust's former auditors evaluated the recasting of the adjustment to
years to which it pertains and the Trust submitted a letter to EMI, which
recasts the amount of future contingent royalty payment reductions from $275,000
claimed by EMI to $155,000. The revision does not include the unresolved
contract issue of advance (EMI's position) versus entitlement (the Trust's
position). The Trust has yet to receive a response from EMI.

     In the quarter ended September 30, 2002, the amount paid to the Trust by
EMI was net of approximately $244,000 of the balance of the adjustment claimed
by EMI. The Trust believes that the deduction should have been reduced by
approximately $120,000.

     (b) The Trust received additional royalties from EMI on December 31, 2001
relating to the quarters ended September 30, 2001 and December 31, 2001. The
Trust made royalties based upon its receipt of the additional royalties from EMI
in January, 2002, after complying with the NASDAQ distribution notification
requirements. In January 2002, the Trust made the distribution to unit holders
of $278,844 ($1.00 per unit), as well as paying Trustee fees, printing and legal
and professional fees totaling $56,156, (of which approximately $33,000 relates
to the EMI matter previously discussed), resulting in undistributed cash of $44
at the end of January. The distribution and administrative fees have been
reported in the Trust's 2002 fiscal year. For federal income tax purposes, the
January 2002 distribution of cash received in 2001 was includable in the unit
holder's 2001 taxable income.

     (c) In 2000, the Trustees requested Berdon LLP the Trust's former
independent auditors, to undertake a limited-scope royalty engagement to
evaluate certain of the record keeping and reporting processes of EMI, the
current owner and administrative entity for the copyrighted materials, subject
to the Trust agreement. This limited scope engagement did not indicate any
differences from reported amounts.


     (d) In March 2003, the Trust notified EMI of errors they made in computing
the contingent payment to the Trust in two quarters over the past three years.
The amount being claimed by the Trust as owing in connection with these errors
aggregates approximately $60,000. The Trust has not yet received an answer from
EMI concerning the computation of these amounts.

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                                                                               6
                          PART I - FINANCIAL STATEMENTS


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


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

     The Trust's contingent fee income over the last three years has averaged
approximately $949,000 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 generally provided an additional 20 years of
copyright protection. For works created by identified natural persons the term
now lasts from creation until 70 years after the author's death. For anonymous
works, pseudonymous works, and works made for hire, the term is 95 years from
publication or 120 years from creation whichever expires first. For works
published before 1978 with existing copyrights as of the effective date of the
Act, the Act extends the term to 95 years from publication. In January 2003, the
U.S. Supreme Court upheld the constitutionality of the Act in the Eldred v.
Ashcroft decision, which affirmed a 2001 decision of the U.S. Court of Appeals
for the District of Columbia Circuit.

     The copyright laws provide that renewals vest 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,
renewals vest 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, 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

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                                                                               7


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 2002, 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 1962. This song listing indicates that
only one copyright of the top 50 songs will reach the 95 year expiration within
the next five years. 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.

     During the quarter ended September 30, 2001 the Trust did not receive any
payment of the deferred contingent purchase price from EMI. EMI charged the
Trust with an adjustment for certain costs relating to copyright renewals
incurred over several years and a retroactive adjustment relating to a recent
court decision, which negatively affected all holders of U.S. copyrights.

     For the quarter ended December 31, 2001, EMI applied the debit balance
arising from the adjustment of the previous quarter to amounts owing for that
quarter and initially remitted approximately $60,000 to the Trust.

     After discussion between EMI and the Trust and the Trust's counsel, EMI
remitted an additional amount which brought the total for the each of the
quarters ended September 30, 2001 and December 31, 2001 to the $167,500 minimum
quarterly distributions. EMI has taken the position that the additional
distributions would be considered advances against the future Contingent Portion
of earnings and the unrecouped copyright renewals. The Trust has taken the
position that such minimum distributions are due regardless of the adjustment
based upon the inclusion of the gross royalty income of Related Companies as
defined in the relevant agreement. If EMI's position is correct, then future
income of the Trust will be impacted by the recognition and amount of such
advances.

     The Trust's former auditors evaluated the recasting of the adjustment to
years to which it pertains and the Trust submitted a letter to EMI, which
recasts the amount of future contingent royalty payment reductions from $275,000
claimed by EMI to $155,000. The revision does not include the unresolved
contract issue of advance (EMI's position) versus entitlement (the Trust's
position). The Trust has yet to receive a response from EMI.
<PAGE>
                                                                               8

     In the quarter ended September 30, 2002, the amount paid to the Trust by
EMI was net of approximately $244,000 of the balance of the adjustment claimed
by EMI. The Trust believes that the deduction should have been reduced by
approximately $120,000.

     The Trust received additional royalties from EMI on December 31, 2001
relating to the quarters ended September 30, 2001 and December 31, 2001. The
Trust made distributions based upon the additional royalties from EMI in January
2002 after complying with the NASDAQ distribution notification requirements. In
January 2002, the Trust made the distribution to unit holders of $278,844 ($1.00
per unit), as well as paying Trustee fees, printing and legal and professional
fees totaling $56,156, (of which approximately $33,000 relates to the EMI matter
previously discussed), resulting in undistributed cash of $44 at the end of
January. These transactions are reported in the Trust's 2002 fiscal year. For
federal income tax purposes, the January 2002 distribution of cash received in
2001 will be includable in the unit holder's 2001 taxable income.

     In March 2003, the Trust notified EMI of errors they made in computing the
contingent payment to the Trust in two quarters over the past three years. The
amount being claimed by the Trust as owing in connection with these errors
aggregates approximately $60,000. The Trust has not yet received an answer from
EMI concerning the computation of these amounts.



                           PART II - OTHER INFORMATION

                Items 1 through 6, inclusive, are not applicable.


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                                                                               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:  April 29, 2003                       By: /s/ Marcia Markowski
       ------------------------                ---------------------------------
                                                        HSBC Bank USA
                                                      Corporate Trustee


I, Joel Faden, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Mills Music Trust;

2. Based on my knowledge, this quarterly report does not contain any untrue
statement of a material fact or omit to state a material fact necessary to make
the statements made, in light of the circumstances under which such statements
were made, not misleading with respect to the period covered by this quarterly
report;

3. Based on my knowledge, the financial statements, and other financial
information included in this quarterly report, fairly present in all material
respects the financial condition, *results of operations and cash flows of the
registrant as of, and for, the periods presented in this quarterly report; 4.
The registrant's other certifying officer and I are responsible for establishing
and maintaining disclosure controls and procedures (as defined in Exchange Act
Rules 13a-14 and 15d-14) for the registrant and we have:

a) designed such disclosure controls and procedures to ensure that material
information relating to the registrant, including its consolidated subsidiaries,
is made known to us by others within those entities, particularly during the
period in which this quarterly report is being prepared;

b) evaluated the effectiveness of the registrant's disclosure controls and
procedures as of a date within 90 days prior to the filing date of this
quarterly report (the "Evaluation Date"); and

c) presented in this quarterly report our conclusions about the effectiveness of
the disclosure controls and procedures based on our evaluation as of the
Evaluation Date;
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                                                                              10

5. The registrant's other certifying officer and I have disclosed, based on our
most recent evaluation, to the registrant's auditors and the audit committee of
registrant's board of directors (or persons performing the equivalent function):

a) all significant deficiencies in the design or operation of internal controls
which could adversely affect the registrant's ability to record, process,
summarize and report financial data and have identified for the registrant's
auditors any material weaknesses in internal controls; and

b) any fraud, whether or not material, that involves management or other
employees who have a significant role in the registrant's internal controls; and

6. The registrant's other certifying officer and I have indicated in this
quarterly report whether or not there were significant changes in internal
controls or in other factors that could significantly affect internal controls
subsequent to the date of our most recent evaluation, including any corrective
actions with regard to significant deficiencies and material weaknesses.

Date: April 24, 2003                      /s/ Joel Faden
     ----------------------               --------------------------------------
                                          Joel Faden, Joel Faden & Company, Inc.
                                          Chief Financial Individual
                                          Providing accounting services



I, Marcia Markowski, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Mills Music Trust;

2. Based on my  knowledge,  this  quarterly  report  does not contain any untrue
statement of a material fact or omit to state a material fact  necessary to make
the statements made, in light of the  circumstances  under which such statements
were made, not  misleading  with respect to the period covered by this quarterly
report;

3. Based on my knowledge, the financial statements,  and other financial
information  included in this quarterly  report,  fairly present in all material
respects the financial  condition*,  results of operations and cash flows of the
registrant as of, and for, the periods  presented in this quarterly  report;

4. The registrant's other certifying officer and I are responsible for
establishing and maintaining  disclosure  controls and procedures (as defined in
Exchange Act Rules  13a-14 and  15d-14) for the  registrant  and we have:
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                                                                              11

a) designed such disclosure controls and procedures to ensure that material
information relating to the registrant, including its consolidated subsidiaries,
is made known to us by others within those entities, particularly during the
period in which this quarterly report is being prepared;

b) evaluated the effectiveness of the registrant's disclosure controls and
procedures as of a date within 90 days prior to the filing date of this
quarterly report (the "Evaluation Date"); and

c) presented in this quarterly report our conclusions about the effectiveness of
the disclosure controls and procedures based on our evaluation as of the
Evaluation Date;

5. The registrant's other certifying officer and I have disclosed, based on our
most recent evaluation, to the registrant's auditors and the audit committee of
registrant's board of directors (or persons performing the equivalent function):

a) all significant deficiencies in the design or operation of internal controls
which could adversely affect the registrant's ability to record, process,
summarize and report financial data and have identified for the registrant's
auditors any material weaknesses in internal controls; and

b) any fraud, whether or not material, that involves management or
other  employees  who  have a  significant  role  in the  registrant's  internal
controls;  and

6. The registrant's other certifying officer and I have indicated in this
quarterly report whether or not there were significant changes in internal
controls or in other factors that could significantly affect internal controls
subsequent to the date of our most recent evaluation, including any corrective
actions with regard to significant deficiencies and material weaknesses.


Date: April 29, 2003                      /s/ Marcia Markowski
     -------------------------            -----------------------------
                                          Marcia Markowski
                                          Trust officer of The Corporate Trustee

* The statements of cash receipts and disbursements reflect only cash
transactions and do not include transactions that would be recorded in financial
statements presented on the accrual basis of accounting. The Trust is required
to distribute all funds received. Accordingly, the Trust has not prepared any
statements of financial condition or cash flows.