TABLE OF CONTENTS




|                                                                                     |                                                                                               |  |  |  |  |  |  | 
|------------------------------------------------------------------------------------ | --------------------------------------------------------------------------------------------- |  |  |  |  |  |  | 
|INDEX                                                                               
|PART I. FINANCIAL INFORMATION BARRISTER GLOBAL SERVICES NETWORK, INC. BALANCE SHEETS
|                                                                                     | Item 2. Managements Discussion and Analysis of Financial Condition and Results of Operations
|PART II. OTHER INFORMATION                                                          



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##### Table of Contents



SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C.

FORM 10-Q

Quarterly Report Under Section 13 or 15(d)
of the Securities Exchange Act of 1934

For Quarter Ended December 31, 2001

Commission File Number 0-14063

BARRISTER GLOBAL SERVICES NETWORK, INC.
(Exact name of Registrant as specified in its charter)

|                                                               |  |                                     
|-------------------------------------------------------------- |  | ------------------------------------
|Delaware                                                       |  | 16-1176561                          
|                                                              
|                                                              
|                                                              
|                                                              
|(State or other jurisdiction of
incorporation of organization) |  | (I.R.S. Employer
Identification No.)

|                                         |  |           
|---------------------------------------- |  | ----------
|290 Ellicott Street, Buffalo, New York   |  | 14203     
|                                        
|                                        
|                                        
|                                        
|(Address of principal executive offices) |  | (Zip Code)

Registrants telephone number, including area code (716) 845-5010

Not Applicable

---

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


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

|                      |  |                                
|--------------------- |  | -------------------------------
|Class                 |  | Outstanding at January 31, 2002
|                      |  |                                
|Common $.24 Par Value |  | 11,944,963 Shares              





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##### Table of Contents



BARRISTER GLOBAL SERVICES NETWORK, INC.




INDEX

|         |                                                                                                |                                                                                       |             |   
|-------- | ---------------------------------------------------------------------------------------------- | ------------------------------------------------------------------------------------- | ----------- | --
|PART I.  | Financial Information                                                                          |                                                                                       | Page
Number
|         |                                                                                                |                                                                                       |             |   
|         | Item 1.                                                                                        | Financial Statements                                                                  |             |   
|        
|        
|        
|        
|         | Balance Sheets at December 31, 2001
and March 31, 2001                                         |                                                                                       | 3          
|        
|        
|        
|        
|         | Statements of Operations 
Three and Nine Months Ended December 31, 2001
and December 31, 2000 |                                                                                       | 4          
|        
|        
|        
|        
|         | Statement of Stockholders Equity 
Nine Months Ended December 31, 2001                        |                                                                                       | 5          
|        
|        
|        
|        
|         | Statements of Cash Flows 
Nine Months Ended December 31, 2001
and December 31, 2000           |                                                                                       | 6          
|        
|        
|        
|        
|         | Notes to Financial Statements                                                                  |                                                                                       | 7          
|        
|        
|        
|        
|         | Item 2.                                                                                        | Managements Discussion and Analysis
of Financial Condition and Results
of Operations |             | 9 
|        
|        
|        
|        
|PART II. | Other Information                                                                              |                                                                                       |            
|        
|        
|        
|        
|         |                                                                                                | Item 6. Exhibits and Reports on Form 8-K                                              |             | 11

2



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##### Table of Contents



PART I. FINANCIAL INFORMATION
BARRISTER GLOBAL SERVICES NETWORK, INC.
BALANCE SHEETS(In thousands)




|                                                                                           |                                                                                         |                                          |       |             |       |          |       |         |       | 
|------------------------------------------------------------------------------------------ | --------------------------------------------------------------------------------------- | ---------------------------------------- | ----- | ----------- | ----- | -------- | ----- | ------- | ----- | 
|                                                                                           |                                                                                         |                                          |       | December 31 |       | March 31
|                                                                                           |                                                                                         |                                          |       |             |       |         
|                                                                                           |                                                                                         |                                          |       | 2001        |       | 2001*   
|                                                                                           |                                                                                         |                                          |       |             |       |         
|ASSETS                                                                                     |                                                                                         |                                          |       |             |       |          |       |        
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                          
|Current assets:                                                                            |                                                                                         |                                          |       |             |       |          |       |        
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                           | Cash and equivalents                                                                    |                                          | $     | 733         |       |          | $     | 1,104   |      
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                           | Short-term investments                                                                  |                                          |       | 535         |       |          |       | 3,253   |      
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                           | Accounts receivable                                                                     |                                          |       | 1,482       |       |          |       | 1,905   |      
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                           | Service parts inventory                                                                 |                                          |       | 1,415       |       |          |       | 1,410   |      
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                           | Prepaid expenses                                                                        |                                          |       | 65          |       |          |       | 24      |      
|                                                                                           |                                                                                         |                                          |       |             |       |          |       |        
|                                                                                           |                                                                                         | Total current assets                     |       |             | 4,230 |          |       |         | 7,696 | 
|                                                                                           |                                                                                         |                                          |       |             |       |          |       |        
|Equipment and leasehold improvements, at cost                                              |                                                                                         |                                          | 2,454 |             |       |          | 2,384 |        
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                           | Less accumulated depreciation                                                           |                                          |       | 2,017       |       |          |       | 1,890   |      
|                                                                                           |                                                                                         |                                          |       |             |       |          |       |        
|                                                                                           |                                                                                         | Net equipment and leasehold improvements |       |             | 437   |          |       |         | 494   | 
|                                                                                           |                                                                                         |                                          |       |             |       |          |       |        
|Marketable securities                                                                      |                                                                                         |                                          | 2,710 |             |       |          |      |        
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                          
|Other assets                                                                               |                                                                                         |                                          | 25    |             |       |          | 25    |        
|                                                                                           |                                                                                         |                                          |       |             |       |          |       |        
|                                                                                           |                                                                                         | $                                        | 7,402 |             |       | $        | 8,215 |        
|                                                                                           |                                                                                         |                                          |       |             |       |          |       |        
|LIABILITIES AND STOCKHOLDERS EQUITY                                                       |                                                                                         |                                          |       |             |       |          |       |        
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                          
|Current liabilities:                                                                       |                                                                                         |                                          |       |             |       |          |       |        
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                           | Current installments of long-term debt
($366 and $379 to a related party, respectively) |                                          | $     | 415         |       |          | $     | 424     |      
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                           | Accounts payable                                                                        |                                          |       | 774         |       |          |       | 609     |      
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                           | Accrued compensation and benefits                                                       |                                          |       | 375         |       |          |       | 484     |      
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                           | Customer advances and unearned revenue                                                  |                                          |       | 446         |       |          |       | 732     |      
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                           | Other accrued expenses                                                                  |                                          |       | 27          |       |          |       | 148     |      
|                                                                                           |                                                                                         |                                          |       |             |       |          |       |        
|                                                                                           |                                                                                         | Total current liabilities                |       |             | 2,037 |          |       |         | 2,397 | 
|                                                                                           |                                                                                         |                                          |       |             |       |          |       |        
|Long-term debt, excluding current installments
($274 to a related party at March 31, 2001) |                                                                                         |                                          | 43    |             |       |          | 355   |        
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                          
|Stockholders equity:                                                                      |                                                                                         |                                          |       |             |       |          |       |        
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                           | Preferred stock                                                                         |                                          |       |            |       |          |       |        |      
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                           | Common stock, $.24 par value                                                            |                                          |       | 2,867       |       |          |       | 2,867   |      
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                           | Additional paid-in capital                                                              |                                          |       | 23,028      |       |          |       | 23,028  |      
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                          
|                                                                                           | Accumulated deficit                                                                     |                                          |       | (20,573     | )     |          |       | (20,432 | )    
|                                                                                           |                                                                                         |                                          |       |             |       |          |       |        
|                                                                                           |                                                                                         | Total stockholders equity               |       |             | 5,322 |          |       |         | 5,463 | 
|                                                                                           |                                                                                         |                                          |       |             |       |          |       |        
|                                                                                           |                                                                                         | $                                        | 7,402 |             |       | $        | 8,215 |        
|                                                                                           |                                                                                         |                                          |       |             |       |          |       |        

See accompanying notes to financial statements.

|* |  | March 31, 2001 balances were derived from audited Financial Statements.
|- |  | -----------------------------------------------------------------------

3



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BARRISTER GLOBAL SERVICES NETWORK, INC.
STATEMENTS OF OPERATIONS
(unaudited)(In thousands, except per share amounts)

|                                                        |                                                                                |                                              |                     |   |                    |        |                   |     |        |        |        |   |       |        |       |       |       |        |  
|------------------------------------------------------- | ------------------------------------------------------------------------------ | -------------------------------------------- | ------------------- | - | ------------------ | ------ | ----------------- | --- | ------ | ------ | ------ | - | ----- | ------ | ----- | ----- | ----- | ------ | -
|                                                        |                                                                                |                                              |                     |   | Three months ended |        | Nine months ended
|                                                        |                                                                                |                                              |                     |   |                    |        |                  
|                                                        |                                                                                |                                              |                     |   | Dec 31             |        | Dec 31            |     | Dec 31 |        | Dec 31
|                                                        |                                                                                |                                              |                     |   | 2001               |        | 2000              |     | 2001   |        | 2000  
|                                                        |                                                                                |                                              |                     |   |                    |        |                   |     |        |        |       
|Revenues                                                |                                                                                | $                                            | 3,296               |   |                    | $      | 2,792             |     |        | $      | 9,423  |   |       | $      | 7,888 |      
|                                                       
|                                                       
|                                                       
|                                                       
|Costs and expenses:                                     |                                                                                |                                              |                     |   |                    |        |                   |     |        |        |        |   |       |        |       |      
|                                                       
|                                                       
|                                                       
|                                                       
|                                                        |                                                                                | Cost of services                             |                     |   | 2,439              |        |                   |     | 2,091  |        |        |   | 7,010 |        |       |       | 5,904 |       
|                                                       
|                                                       
|                                                       
|                                                       
|                                                        |                                                                                | Selling, general and administrative expenses |                     |   | 957                |        |                   |     | 834    |        |        |   | 2,779 |        |       |       | 2,420 |       
|                                                        |                                                                                |                                              |                     |   |                    |        |                   |     |        |        |        |   |       |        |       |      
|Operating loss                                          |                                                                                |                                              | (100                | ) |                    |        | (133              | )   |        |        | (366   | ) |       |        | (436  | )    
|                                                        |                                                                                |                                              |                     |   |                    |        |                   |     |        |        |        |   |       |        |       |      
|Interest expense (income):                              |                                                                                |                                              |                     |   |                    |        |                   |     |        |        |        |   |       |        |       |      
|                                                       
|                                                       
|                                                       
|                                                       
|                                                        |                                                                                | Related party                                |                     |   | 6                  |        |                   |     | 24     |        |        |   | 28    |        |       |       | 67    |       
|                                                       
|                                                       
|                                                       
|                                                       
|                                                        |                                                                                | Other                                        |                     |   | (53                | )      |                   |     | (95    | )      |        |   | (168  | )      |       |       | (212  | )     
|                                                        |                                                                                |                                              |                     |   |                    |        |                   |     |        |        |        |   |       |        |       |      
|                                                        |                                                                                |                                              | Total interest, net |   |                    | (47    | )                 |     |        | (71    | )      |   |       | (140   | )     |       |       | (145   | )
|                                                        |                                                                                |                                              |                     |   |                    |        |                   |     |        |        |        |   |       |        |       |      
|Net loss from continuing operations
before income taxes |                                                                                |                                              | (53                 | ) |                    |        | (62               | )   |        |        | (226   | ) |       |        | (291  | )    
|                                                       
|                                                       
|                                                       
|                                                       
|Income tax benefit                                      |                                                                                |                                              | (20                 | ) |                    |        | (23               | )   |        |        | (85    | ) |       |        | (106  | )    
|                                                        |                                                                                |                                              |                     |   |                    |        |                   |     |        |        |        |   |       |        |       |      
|Net loss from continuing operations                     |                                                                                |                                              | (33                 | ) |                    |        | (39               | )   |        |        | (141   | ) |       |        | (185  | )    
|                                                       
|                                                       
|                                                       
|                                                       
|Discontinued operations:                                |                                                                                |                                              |                     |   |                    |        |                   |     |        |        |        |   |       |        |       |      
|                                                       
|                                                       
|                                                       
|                                                       
|                                                        | Gain on sale of discontinued operations
net of income taxes of $169 and $1,863 |                                              |                     |  |                    |        |                   | 276 |        |        |        |  |       |        |       | 2,049 |      
|                                                        |                                                                                |                                              |                     |   |                    |        |                   |     |        |        |        |   |       |        |       |      
|Net (loss) earnings                                     |                                                                                | $                                            | (33                 | ) |                    | $      | 237               |     |        | $      | (141   | ) |       | $      | 1,864 |      
|                                                        |                                                                                |                                              |                     |   |                    |        |                   |     |        |        |        |   |       |        |       |      
|Basic and diluted (loss) earnings per common share:     |                                                                                |                                              |                     |   |                    |        |                   |     |        |        |        |   |       |        |       |      
|                                                       
|                                                       
|                                                       
|                                                       
|                                                        |                                                                                | Continuing operations                        |                     | $ | .00                |        |                   | $   | .00    |        |        | $ | (.01  | )      |       | $     | (.01  | )     
|                                                       
|                                                       
|                                                       
|                                                       
|                                                        |                                                                                | Discontinued operations                      |                     |   | .00                |        |                   |     | .02    |        |        |   | .00   |        |       |       | .17   |       
|                                                        |                                                                                |                                              |                     |   |                    |        |                   |     |        |        |        |   |       |        |       |      
|                                                        |                                                                                |                                              | Total               |   | $                  | .00    |                   |     | $      | .02    |        |   | $     | (.01   | )     |       | $     | .16    |  
|                                                        |                                                                                |                                              |                     |   |                    |        |                   |     |        |        |        |   |       |        |       |      
|Weighted average number of common shares
outstanding:   |                                                                                |                                              |                     |   |                    |        |                   |     |        |        |        |   |       |        |       |      
|                                                       
|                                                       
|                                                       
|                                                       
|                                                        |                                                                                |                                              | Basic and diluted   |   |                    | 11,945 |                   |     |        | 11,945 |        |   |       | 11,945 |       |       |       | 11,915 |  
|                                                        |                                                                                |                                              |                     |   |                    |        |                   |     |        |        |        |   |       |        |       |      

See accompanying notes to financial statements.

4



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##### Table of Contents



BARRISTER GLOBAL SERVICES NETWORK, INC.
STATEMENT OF STOCKHOLDERS EQUITY
(unaudited)(In thousands, except number of shares)

|                          |  |        |       |         |  |             |        |       |  |   |         |   |  |   |       |  
|------------------------- |  | ------ | ----- | ------- |  | ----------- | ------ | ----- |  | - | ------- | - |  | - | ----- | -
|                          |  |        |       |         |  | Additional  |        |       |  |   |         |   |  |  
|                          |  | Common |       | paid-in |  | Accumulated |        |       |  |  
|                          |  | stock  |       | capital |  | deficit     |        | Total
|                          |  |        |       |         |  |             |        |      
|Balance at March 31, 2001 |  | $      | 2,867 |         |  | $           | 23,028 |       |  | $ | (20,432 | ) |  | $ | 5,463 |  
|                         
|                         
|                         
|                         
|Net loss                  |  |        |      |         |  |             |       |       |  |   | (141    | ) |  |   | (141  | )
|                          |  |        |       |         |  |             |        |       |  |   |         |   |  |   |       |  
|Balance at Dec. 31, 2001  |  | $      | 2,867 |         |  | $           | 23,028 |       |  | $ | (20,573 | ) |  | $ | 5,322 |  
|                          |  |        |       |         |  |             |        |       |  |   |         |   |  |   |       |  

Common stock  11,944,963 shares issued and outstanding at December 31, 2001
and March 31, 2001.

See accompanying notes to financial statements.

5



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##### Table of Contents



BARRISTER GLOBAL SERVICES NETWORK, INC.
STATEMENTS OF CASH FLOWS
(unaudited)(In thousands)

|                                                                           |                                                                                                   |                                                  |                                         |        |                   |      |        |        |        |      |  
|-------------------------------------------------------------------------- | ------------------------------------------------------------------------------------------------- | ------------------------------------------------ | --------------------------------------- | ------ | ----------------- | ---- | ------ | ------ | ------ | ---- | -
|                                                                           |                                                                                                   |                                                  |                                         |        | Nine months ended
|                                                                           |                                                                                                   |                                                  |                                         |        |                  
|                                                                           |                                                                                                   |                                                  |                                         |        | Dec 31            |      | Dec 31
|                                                                           |                                                                                                   |                                                  |                                         |        | 2001              |      | 2000  
|                                                                           |                                                                                                   |                                                  |                                         |        |                   |      |       
|Cash flows from operating activities:                                      |                                                                                                   |                                                  |                                         |        |                   |      |        |       
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           | Net (loss) earnings                                                                               |                                                  | $                                       | (141   | )                 |      | $      | 1,864  |       
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           | Adjustments to reconcile net (loss) earnings to net
cash provided (used) by operating activities: |                                                  |                                         |        |                   |      |        |        |       
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           |                                                                                                   | Gain on sale of discontinued operations          |                                         |        |                  |      |        |        | (3,912 | )   
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           |                                                                                                   | Deferred income taxes                            |                                         |        |                  |      |        |        | 1,120  |     
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           |                                                                                                   | Depreciation                                     |                                         |        | 127               |      |        |        | 117    |     
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           |                                                                                                   | Changes in current assets and liabilities:       |                                         |        |                   |      |        |        |        |     
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           |                                                                                                   |                                                  | Accounts receivable                     |        |                   | 423  |        |        |        | (924 | )
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           |                                                                                                   |                                                  | Inventories                             |        |                   | (5   | )      |        |        | 228  |  
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           |                                                                                                   |                                                  | Prepaid expenses                        |        |                   | (41  | )      |        |        | (50  | )
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           |                                                                                                   |                                                  | Accounts payable                        |        |                   | 165  |        |        |        | (583 | )
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           |                                                                                                   |                                                  | Accrued compensation and benefits       |        |                   | (109 | )      |        |        | (376 | )
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           |                                                                                                   |                                                  | Customer advances and unearned revenues |        |                   | (286 | )      |        |        | (98  | )
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           |                                                                                                   |                                                  | Other liabilities                       |        |                   | (121 | )      |        |        | 272  |  
|                                                                           |                                                                                                   |                                                  |                                         |        |                   |      |        |       
|                                                                           |                                                                                                   | Net cash provided (used) by operating activities |                                         |        | 12                |      |        |        | (2,342 | )   
|                                                                           |                                                                                                   |                                                  |                                         |        |                   |      |        |       
|Cash flows from investing activities:                                      |                                                                                                   |                                                  |                                         |        |                   |      |        |       
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           | Additions to equipment and leasehold improvements                                                 |                                                  |                                         | (70    | )                 |      |        | (260   | )     
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           | Proceeds from sale of discontinued operations                                                     |                                                  |                                         |       |                   |      |        | 7,072  |       
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           | Maturity of investments                                                                           |                                                  |                                         | 3,993  |                   |      |        |       |       
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           | Purchases of investments                                                                          |                                                  |                                         | (3,985 | )                 |      |        | (3,122 | )     
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           | Other assets                                                                                      |                                                  |                                         |       |                   |      |        | (1     | )     
|                                                                           |                                                                                                   |                                                  |                                         |        |                   |      |        |       
|                                                                           |                                                                                                   | Net cash (used) provided by investing activities |                                         |        | (62               | )    |        |        | 3,689  |     
|                                                                           |                                                                                                   |                                                  |                                         |        |                   |      |        |       
|Cash flows from financing activities:                                      |                                                                                                   |                                                  |                                         |        |                   |      |        |       
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           | Proceeds from long-term debt                                                                      |                                                  |                                         |       |                   |      |        | 152    |       
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           | Repayment of debt                                                                                 |                                                  |                                         | (321   | )                 |      |        | (787   | )     
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           | Proceeds from sale of common stock                                                                |                                                  |                                         |       |                   |      |        | 44     |       
|                                                                           |                                                                                                   |                                                  |                                         |        |                   |      |        |       
|                                                                           |                                                                                                   | Net cash used in financing activities            |                                         |        | (321              | )    |        |        | (591   | )   
|                                                                           |                                                                                                   |                                                  |                                         |        |                   |      |        |       
|Net (decrease) increase in cash and equivalents from continuing
operations |                                                                                                   |                                                  | (371                                    | )      |                   |      | 756    |       
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|Net increase in cash from discontinued operations                          |                                                                                                   |                                                  |                                        |        |                   |      | 28     |       
|                                                                           |                                                                                                   |                                                  |                                         |        |                   |      |        |       
|Net (decrease) increase in cash and equivalents                            |                                                                                                   |                                                  | (371                                    | )      |                   |      | 784    |       
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|Cash and equivalents at beginning of period                                |                                                                                                   |                                                  | 1,104                                   |        |                   |      | 161    |       
|                                                                           |                                                                                                   |                                                  |                                         |        |                   |      |        |       
|Cash and equivalents at end of period                                      |                                                                                                   | $                                                | 733                                     |        |                   | $    | 945    |       
|                                                                           |                                                                                                   |                                                  |                                         |        |                   |      |        |       
|Supplemental disclosure of cash flow information:                          |                                                                                                   |                                                  |                                         |        |                   |      |        |       
|                                                                          
|                                                                          
|                                                                          
|                                                                          
|                                                                           |                                                                                                   | Interest paid                                    |                                         | $      | 39                |      |        | $      | 88     |     
|                                                                           |                                                                                                   |                                                  |                                         |        |                   |      |        |       

See accompanying notes to financial statements.

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BARRISTER GLOBAL SERVICES NETWORK, INC.
NOTES TO FINANCIAL STATEMENTS

1.     In the opinion of Management, the accompanying financial statements present
fairly the financial position, results of operations and cash flows for the
periods shown. The third quarter results for each year represent operations
for the quarters ended December 31, 2001 and December 31, 2000. The financial
data included herein was compiled in accordance with the same accounting
policies applied to the Companys audited annual financial statements. Any
adjustments made were of a normal recurring nature.

The results of operations for the nine month period ended December 31,
2001 are not necessarily indicative of the results to be expected for the full
year.

2.     Cash and equivalents consist of cash and liquid debt instruments with
maturity of three months or less from the date of purchase. Cash and
equivalents are stated at cost plus accrued interest, which approximates market
value. Short-term investments and marketable securities are classified as
held-to-maturity securities based on the Companys ability and intent to hold
the securities until maturity. The securities are recorded at amortized cost
adjusted for the accretion of discounts or cost plus accrued interest.
Short-term investments consist of certificates of deposits and corporate debt
instruments. Marketable securities consist of mortgage-backed securities and
corporate debt instruments and are expected to mature in less than two years.

3.     On May 5, 2000, the Company sold substantially all of the assets of the
Companys software business to Keystone Solutions US, Inc. (Keystone), a
wholly owned subsidiary of Keystone Software PLC. The Company agreed to
indemnify Keystone with respect to any breach of its representations and
warranties (subject to a $50,000 basket and a cap of the purchase price paid)
or any breach of any covenant of the Company contained in the Asset Purchase
Agreement. The Company agreed to indemnify Keystone with respect to claims or
actions pending at or arising after the closing date (May 5, 2000) that related
to the operation of the software business prior to that date.

The pre-tax net gain on the sale of the software business recorded in the
first nine months of the prior year was $3,912,000. The net gain less
applicable income taxes (see note 4) is shown in the statements of operations
under the caption discontinued operations.

4.     The income tax benefit recorded in each of the comparable quarters on the
net loss from continuing operations approximated the statutory tax rate. No
additional tax benefits were established in the statements of operations for
the comparable periods, since the Company has fully reserved for the tax effect
of net deductible temporary differences and loss carryforwards. These benefits
will be recorded in future periods as they are realized or as their realization
becomes predictable.

The income tax provision associated with the gain from the sale of the
software business (see note 3) was higher than the statutory tax rate since
goodwill valued at $986,000 for financial reporting purposes had a zero basis
for tax purposes. The provision includes current taxes of $780,000 and
deferred taxes of $1,083,000. The deferred taxes resulted from the use of tax
loss carryforwards from prior years and the reversal of temporary differences
between book and tax on the assets sold.

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5.     The Company adopted SFAS No. 133, Accounting for Derivative Instruments and
Hedging Activities beginning April 1, 2001. SFAS No. 133 requires all
derivatives to be recorded on the balance sheet at fair value and establishes
new accounting rules for hedging instruments. The Company does not enter into
hedging transactions or acquire derivative instruments, accordingly, SFAS No.
133 had no impact on the financial statements.

The Company will adopt SFAS No. 141, Business Combinations and SFAS No.
142, Goodwill and Other Intangible Assets on April 1, 2002. SFAS No. 141
requires that the purchase method be used for all business combinations
initiated after June 30, 2001. SFAS No. 142 changes the accounting for goodwill
and intangible assets with indefinite lives from an amortization method to an
impairment approach. The pronouncements are not expected to have an impact on
the financial statements.

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Item 2. Managements Discussion and Analysis of Financial Condition and Results of Operations




Financial Condition

Cash and equivalents, short-term investments and marketable securities
totaled $3,978,000 at December 31, 2001 and $4,357,000 at March 31, 2001. The
net decrease of $379,000 was primarily a result of debt repayments of $321,000
and additions to equipment and leasehold improvements of $70,000.

The principal cash requirements expected for fiscal 2002 are debt
repayments approximating $424,000, and additions to equipment and leasehold
improvements which are expected to decrease from amounts spent in the prior
year. The Company continues to explore the potential of a move of its
headquarters into more suitable space. If any move takes place, the earliest
that it would occur would be next fiscal year. The Companys cash and short
term investments will be sufficient to cover working capital, capital
expenditure requirements and debt repayments in fiscal 2002.

Results of Operations

For the quarter ended December 31, 2001, revenues increased 18.1% from the
same quarter in 2000. For the nine month period ended December 31, 2001,
revenues increased 19.5% compared with the first nine months of the prior year.
These increases resulted from growth in revenues from hardware maintenance
contracts and from services provided on a time and materials basis. For the
comparative third quarters, revenues from hardware maintenance contracts grew
to $2,441,000, an increase of 11.0% and for the comparative first nine months
these revenues grew to $7,011,000, an increase of 15.1%. These increases
principally resulted from the capture of new contracts in the prior year and
one large contract which started in September of this year. Time and material
revenues increased by 41.5% to a total of $832,000 for the comparable third
quarters and by 32.7% to a total of $2,333,000 for the comparative nine month
periods. The principal reasons for these increases were business generated
from a new customer obtained from a reseller that started in April, 2001, the
continuation of services outsourced by a direct customer, which commenced in
the second half of the previous fiscal year, and services provided on a new
large contract, which started in September of this year.

The cost of services decreased as a percentage of revenues from 74.9% in
the third quarter of the prior year to 74.0% in the third quarter of the
current year. For the comparable first nine months these expenses decreased as
a percentage of revenues from 74.9% to 74.4%. Selling, general and
administrative expenses also decreased as a percentage of revenues for these
same periods. For the comparable third quarters these expenses dropped from
29.9% to 29.0% of revenues and for the comparable nine month periods selling,
general, and administrative expenses decreased from 30.7% to 29.5% of revenues.
The primary reason for the improvement in these percentages has been the
ability to leverage certain fixed expenses whereby the growth in revenues has
not resulted in commensurate growth in fixed expenses.

The decrease in net interest income for the comparable third quarters was
primarily based on a drop in interest rates, which impacted earnings from the
Companys investments. Net interest income for the comparable nine month
periods was approximately the same. In the prior year the Company did not have
any investments until it received the net proceeds from the sale of its
software business in May, 2000. As a result, the Company realized higher
amounts of net interest income in its comparable first quarters. This favorable
result has now been offset by lower amounts of net interest income in the
second and third quarters due primarily to lower interest rates.

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The income tax benefit recorded in each of the comparable quarters and
nine month periods on the net loss from continuing operations approximated the
statutory tax rate. No additional tax benefits were established in the
statements of operations for the comparable periods, since the Company has
fully reserved for the tax effect of net deductible temporary differences and
loss carryforwards. These benefits will be recorded in future periods as they
are realized or as their realization becomes predictable.

The pre-tax net gain on discontinued operations recognized in the first
nine months of the prior year is based on the sale of the Companys software
business to Keystone on May 5, 2000. The income tax provision associated with
the gain from the sale of the software business is higher than the statutory
tax rate since goodwill valued at $986,000 for financial reporting purposes had
a zero basis for tax purposes. The provision included current taxes of
$780,000 and deferred taxes of $1,083,000. The deferred taxes resulted from
the use of tax loss carryforwards from prior years and the reversal of
temporary differences between book and tax on the assets sold.

Fourth Quarter Disclosure

The Company will incur certain non-recurring selling, general and
administrative expenses in its fourth quarter of fiscal 2002. In January, 2002,
the Company hired Mr. William O. Bray as its president and chief executive
officer to succeed Mr. Henry P. Semmelhack who held those positions since the
Companys incorporation in 1982. Mr. Semmelhack will be retiring at the end of
the fiscal year. Consistent with Mr. Semmelhacks employment contract and
his retirement, the Compensation Committee of the Board of Directors has
approved a deferred compensation arrangement for past services rendered. In
addition, Mr. David L. Blankenship, Senior Vice President of Operations, will
be leaving the Company at the end of February. The Company has agreed to buy
out the remaining term of Mr. Blankenships employment contract, cancel a loan
and accrued interest outstanding to Mr. Blankenship in return for the stock
held as collateral for the loan, plus pay for certain additional expenses. The
impact of these non-recurring expenses in the fourth quarter, including
additional salary costs during the transition period to the new CEO, relocation
expenses for Mr. Bray, the value of the deferred compensation arrangement with
Mr. Semmelhack, and the settlement with Mr. Blankenship are estimated to be
$735,000.

Forward-Looking Statement

When used in this report, the words expects, believes and intends
and similar expressions are intended to identify forward-looking statements.
Such statements are subject to certain risks and uncertainties which could
cause actual results to differ materially from those projected. Readers are
cautioned not to place undue reliance on these forward-looking statements which
speak only as of the date hereof. The Company undertakes no obligation to
republish revised forward-looking statements to reflect events or circumstances
after the date hereof or to reflect the occurrences of unanticipated events.
Readers are also urged to carefully review and consider the various disclosures
made by the Company which attempt to advise interested parties of the factors
which affect the Companys business in the Companys periodic reports on Form
10K and 10Q filed with the Securities and Exchange Commission.

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PART II. OTHER INFORMATION




|        |  |                                 
|------- |  | --------------------------------
|Item 6. |  | Exhibits and Reports on Form 8-K
|       
|       
|       
|       
|(a)     |  | Exhibits: None                  
|       
|       
|       
|       
|(b)     |  | Reports on Form 8-K: None       

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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.

BARRISTER GLOBAL SERVICES NETWORK, INC.

|      |  |                   |  |     |  |                                                                              
|----- |  | ----------------- |  | --- |  | -----------------------------------------------------------------------------
|Date: |  | February 11, 2002 |  | By: |  | /s/ William O. Bray                                                          
|      |  |                   |  |     |  |                                                                              
|      |  |                   |  |     |  | William O. Bray
President
and
Chief Executive Officer                        
|     
|     
|Date: |  | February 11, 2002 |  | By: |  | /s/ Richard P. Beyer                                                         
|      |  |                   |  |     |  |                                                                              
|      |  |                   |  |     |  | Richard P. Beyer
Senior Vice President, Finance
(Principal Financial Officer)

12