<PAGE>

                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                              Washington D.C. 20549
                                    FORM 10-Q


(Mark One)

[X]       Quarterly report pursuant to Section 13 or 15 (d) of the Securities
          Exchange Act of 1934 For the quarterly period ended March 31, 2000 or

[ ]       Transition report pursuant to Section 13 or 15 (d) of the
          Securities Exchange Act of 1934 For the transition period
          from_______________to____________


Commission File Number:    0-26954


                     CONSOLIDATED DELIVERY & LOGISTICS, INC.
             (Exact name of Registrant as specified in its charter)


         Delaware                                           22-3350958
(State or other jurisdiction of                          (I.R.S. Employer
incorporation or organization)                          Identification No.)



80 Wesley Street                                             07606
South Hackensack, New Jersey                               (Zip Code)
(Address of principal executive offices)

               (201) 487-7740
(Registrant's telephone number, including area code)

         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
                                               ----   ----

The number of shares of common stock of the Registrant, par value $.001 per
share, outstanding as of May 5, 2000 was 7,353,458.


<PAGE>


                     CONSOLIDATED DELIVERY & LOGISTICS, INC.
                 FORM 10-Q FOR THE QUARTER ENDED MARCH 31, 2000

                                      INDEX
<TABLE>
<CAPTION>
                                                                                                          Page
                                                                                                          ----
<S>                                                                                                         <C>
Part I - Financial Information (unaudited)

         Item 1 - Financial Statements

              Consolidated Delivery & Logistics, Inc. and Subsidiaries
                  Condensed Consolidated Balance Sheets as of March 31, 2000, and
                           December 31, 1999                                                                3
                  Condensed Consolidated Statements of Operations for the Three Months
                           Ended March 31, 2000 and 1999                                                    4
                  Condensed Consolidated Statements of Cash Flows for the Three Months
                           Ended March 31, 2000 and 1999                                                    5

                  Notes to Condensed Consolidated Financial Statements                                      6

         Item 2 - Management's Discussion and Analysis of Financial Condition and Results
                               of Operations                                                                9

Part II - Other Information

         Item 1 - Legal Proceedings                                                                        12

         Item 6 - Exhibits and Reports on Form 8-K                                                         13

Signature                                                                                                  14

</TABLE>


                                       2
<PAGE>


            CONSOLIDATED DELIVERY & LOGISTICS, INC. AND SUBSIDIARIES
                      CONDENSED CONSOLIDATED BALANCE SHEETS
                     (In thousands except share information)

<TABLE>
<CAPTION>
                                                                     March 31,           December 31,
                                                                        2000                 1999
                                                                    -----------          ------------
                                                                    (Unaudited)            (Note 1)
<S>                                                                     <C>                   <C>
                             ASSETS

CURRENT ASSETS:
  Cash and cash equivalents                                             $602                  $339
  Accounts receivable, net                                            28,066                27,560
  Prepaid expenses and other current assets                            3,029                 4,321
                                                                     -------               -------
    Total current assets                                              31,697                32,220

EQUIPMENT AND LEASEHOLD IMPROVEMENTS, net                              6,140                 6,624
INTANGIBLE ASSETS, net                                                27,515                27,932
OTHER ASSETS                                                           2,103                 2,010
                                                                     -------               -------
    Total assets                                                     $67,455               $68,786
                                                                     =======               =======

              LIABILITIES AND STOCKHOLDERS' EQUITY

CURRENT LIABILITIES
  Short-term borrowings                                               $8,605                $7,188
  Current maturities of long-term debt                                 2,088                 2,513
  Accounts payable and accrued liabilities                            15,773                16,530
                                                                     -------               -------
    Total current liabilities                                         26,466                26,231

LONG-TERM DEBT                                                        22,760                22,885
OTHER LONG-TERM LIABILITIES                                            1,970                 2,301
                                                                     -------               -------
    Total liabilities                                                 51,196                51,417
                                                                     -------               -------

STOCKHOLDERS' EQUITY
 Preferred stock, $.001 par value; 2,000,000 shares
   authorized; no shares issued and outstanding                            -                     -
 Common stock, $.001 par value; 30,000,000 shares
   authorized; 7,382,825 shares issued and 7,353,458 shares
   outstanding at March 31, 2000 and December 31, 1999.                    7                     7
 Additional paid-in capital                                           12,721                12,721
 Treasury stock, 29,367 shares at cost                                  (162)                 (162)
 Retained earnings                                                     3,693                 4,803
                                                                     -------               -------
    Total stockholders' equity                                        16,259                17,369
                                                                     -------               -------
    Total liabilities and stockholders' equity                       $67,455               $68,786
                                                                     =======               =======
</TABLE>



     See accompanying notes to condensed consolidated financial statements.


                                       3
<PAGE>


            CONSOLIDATED DELIVERY & LOGISTICS, INC. AND SUBSIDIARIES
                 CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
                      (In thousands, except per share data)
                                   (Unaudited)

<TABLE>
<CAPTION>
                                                                           For the Three Months Ended
                                                                                    March 31,
                                                                           --------------------------
                                                                             2000               1999
                                                                           --------           -------
<S>                                                                         <C>               <C>
Revenue                                                                     $60,002           $51,307

Cost of revenue                                                              46,860            39,554
                                                                            -------           -------
  Gross profit                                                               13,142            11,753

Selling, general, and administrative expenses                                13,019             9,755
Depreciation and amortization                                                 1,135             1,019
                                                                            -------           -------
  Operating income (loss)                                                    (1,012)              979

Other (income) expense:
  Interest expense                                                              884               647
  Other income, net                                                             (46)             (234)
                                                                            -------           -------
Income (loss) before provision for income taxes                              (1,850)              566

Provision for (reduction in) income taxes                                      (740)              224
                                                                            -------           -------
  Net income (loss)                                                         $(1,110)             $342
                                                                            =======           =======
Net income (loss) per share:
  Basic                                                                     $  (.15)             $.05
                                                                            =======           =======
  Diluted                                                                   $  (.15)             $.05
                                                                            =======           =======
Basic weighted average common shares outstanding                              7,353             6,939
                                                                            =======           =======
Diluted weighted average common shares outstanding                            7,353             7,447
                                                                            =======           =======
</TABLE>



     See accompanying notes to condensed consolidated financial statements.



                                       4
<PAGE>


            CONSOLIDATED DELIVERY & LOGISTICS, INC. AND SUBSIDIARIES
                 CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
                                 (In thousands)
                                   (Unaudited)

<TABLE>
<CAPTION>
                                                                               For the Three Months Ended
                                                                                      March 31,
                                                                              ----------------------------
                                                                                2000               1999
                                                                              --------           --------
<S>                                                                           <C>                   <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)                                                             $(1,110)              $342
Adjustments to reconcile net income (loss) to net cash provided by
  operating activities -
    Gain on disposal of equipment and leasehold improvements                       (8)               (31)
    Depreciation and amortization                                               1,135              1,019
    Changes in operating assets and liabilities
      (Increase) decrease in -
        Accounts receivable, net                                                 (506)             1,124
        Prepaid expenses and other current assets                               1,292             (2,653)
        Other assets                                                              (29)              (216)
      Increase (decrease) in -
        Accounts payable and accrued liabilities                                 (757)             3,537
        Other long-term liabilities                                              (331)               (77)
                                                                              -------            -------
          Net cash provided by (used in) operating activities                    (314)             3,045
                                                                              -------            -------

CASH FLOWS FROM INVESTING ACTIVITIES:
  Proceeds from sale of equipment and leasehold improvements                       28                166
  Purchase of business, net of cash acquired                                        -             (3,180)
  Additions to equipment and leasehold improvements                              (318)              (707)
                                                                              -------            -------
          Net cash used in investing activities                                  (290)            (3,721)
                                                                              -------            -------

CASH FLOWS FROM FINANCING ACTIVITIES
  Short-term borrowings (repayments), net                                       1,417            (12,325)
  Borrowing (repayments) of long-term debt, net                                  (550)            13,886
  Issuance of stock warrants in connection with long-term financing                 -                885
  Deferred financing costs                                                          -             (1,002)
                                                                              -------            -------
          Net cash provided by  financing activities                              867              1,444
                                                                              -------            -------

          Net increase in cash and cash equivalents                               263                768

CASH AND CASH EQUIVALENTS, beginning of period                                    339                295
                                                                              -------            -------

CASH AND CASH EQUIVALENTS, end of period                                      $   602            $ 1,063
                                                                              =======            =======
</TABLE>


     See accompanying notes to condensed consolidated financial statements.


                                       5

<PAGE>

            CONSOLIDATED DELIVERY & LOGISTICS, INC. AND SUBSIDIARIES
              NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(1)      BASIS OF PRESENTATION:

         The accompanying unaudited condensed consolidated financial statements
         have been prepared in accordance with generally accepted accounting
         principles for interim financial information and with the instructions
         to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not
         include all of the information and footnotes required by generally
         accepted accounting principles for complete financial statements. The
         condensed consolidated balance sheet at December 31, 1999 has been
         derived from the audited financial statements at that date. In the
         opinion of management, all adjustments (consisting of normal recurring
         adjustments) considered necessary for a fair presentation have been
         included. Operating results for the three month period ended March 31,
         2000 are not necessarily indicative of the results that may be expected
         for any other interim period or for the year ending December 31, 2000.
         For further information, refer to the consolidated financial statements
         and footnotes thereto included in the Company's Form 10-K for the year
         ended December 31, 1999.

(2)      LONG-TERM DEBT:

         On January 29, 1999, the Company completed a $15 million private
         placement of senior subordinated notes and warrants with three
         financial institutions. The notes bear interest at 12% per annum and
         are subordinate to all senior debt including the Company's credit
         facility with First Union Commercial Corporation. Under the terms of
         the notes, the Company is required to maintain certain financial ratios
         and comply with other financial conditions for which the Company is in
         compliance as of March 31, 2000. The notes mature on January 29, 2006
         and may be prepaid by the Company under certain circumstances. The
         warrants expire January 19, 2009 and are exercisable at any time prior
         to expiration at a price of $.001 per equivalent share of common stock
         for an aggregate of 506,250 shares of the Company's stock, subject to
         additional adjustments. The Company has recorded the fair value of the
         warrants as a credit to additional paid-in-capital and a debt discount
         on the senior subordinated notes. The Company used the proceeds to
         finance acquisitions and for general working capital purposes.

 (3)     REPORTABLE SEGMENTS:

         CDL has two reportable segments: Air and Ground. Separate management of
         each segment is required because each business unit is subject to
         different cost and delivery parameters. Segment information for the
         three months ending March 31, 2000 and 1999 is as follows (in
         thousands).

<TABLE>
<CAPTION>
                                                                 Air          Ground       Total
                                                               -------       -------      -------
<S>                <C>                                         <C>           <C>          <C>
         Revenue from external customers
                   2000                                        $17,058       $42,944      $60,002
                   1999                                        $15,023       $36,284      $51,307
         Intersegment revenue
                   2000                                            118           662          780
                   1999                                             13           348          361
         Interest Expense
                   2000                                            251           633          884
                   1999                                            189           458          647
         Depreciation and Amortization
                   2000                                            210           925        1,135
                   1999                                            205           814        1,019
         Segment profit
                   2000                                             16        (1,126)      (1,110)
                   1999                                             48           294          342
         Segment Assets
                   March 31, 2000                               20,381        47,074       67,455
                   December 31, 1999                            19,893        48,893       68,786
         Expenditures for segment assets
                   2000                                            156           162          318
                   1999                                            423           284          707
</TABLE>



                                       6
<PAGE>

(4)      LITIGATION:

         In February 1996, Liberty Mutual Insurance Company ("Liberty Mutual")
         filed an action against Securities Courier Corporation ("Securities"),
         a subsidiary of the Company, Mr. Vincent Brana and certain other
         parties in the United States District Court for the Southern District
         of New York alleging, among other things, that Securities Courier had
         fraudulently obtained automobile liability insurance from Liberty
         Mutual in the late 1980s and early 1990s at below market rates. This
         suit, which claims common law fraud, fraudulent inducement, unjust
         enrichment and violations of the civil provisions of the Federal RICO
         statute, among other things, seeks an unspecified amount of
         compensatory and punitive damages from the defendants, as well as
         attorneys' fees and other expenses. Three additional defendants were
         added by way of a second amended complaint on April 9, 1998. Securities
         and Mr. Brana have filed cross claims against each of these additional
         defendants and certain original defendants who had acted as insurance
         brokers for certain of the policies at issue. Under the terms of its
         acquisition of Securities, the Company has certain rights to
         indemnification from Mr. Brana. In connection with the indemnification,
         Mr. Brana has entered into a Settlement Agreement and executed a
         Promissory Note in the amount of up to $500,000 or such greater amount
         as may be due for any defense costs or award arising out of this suit.
         Mr. Brana originally delivered 100,000 shares of CDL common stock to
         the Company as collateral for the note that was due on December 1,
         2000. Because of the increased costs in defending the suit Mr. Brana
         delivered an additional 50,000 shares of CDL common stock to the
         Company and the Company agreed to extend the due date until December 1,
         2002. In April 1999 a motion for summary judgement was filed and denied
         by the Court in December 1999. The plaintiff subsequently filed a Third
         Amended Complaint for breach of contract and additional claims for
         quantum meruit. The parties are presently participating in
         court-ordered non-binding mediation in an attempt to resolve this
         litigation which extends the time to respond to the Third Amended
         Complaint until thirty days after completion of the final mediation
         session, subject to the Court's approval. Mediation efforts continue at
         this time. Due to the continuing legal costs in defending this suit,
         Mr. Brana has agreed to deliver 200,000 additional shares of CDL common
         stock to the Company on or before May 31, 2000. The Company does not
         believe that an adverse determination in this matter would result in a
         material adverse effect on the consolidated financial position or
         results of operations of the Company.

         The Company is, from time to time, a party to litigation arising in the
         normal course of its business, most of which involves claims for
         personal injury and property damage incurred in connection with its
         same-day ground and air delivery operations. Management believes that
         none of these actions, including the action described above, will have
         a material adverse effect on the consolidated financial position or
         results of operations of the Company.



                                       7
<PAGE>

(5)      INCOME (LOSS) PER SHARE:

         Basic earnings per share includes no dilution and is computed by
         dividing income available to common stockholders by the
         weighted-average number of common shares outstanding for the period.
         Diluted earnings per share reflects the potential dilution if certain
         securities are converted and also includes certain shares that are
         contingently issuable, however, because of the Company's net loss for
         the three months ended March 31, 2000, shares represented by 118,463
         Stock Options, 506,094 Warrants and 5,744 Employee Stock Purchase Plan
         shares would be anti-dilutive and therefore are not presented for the
         current period.

         A reconciliation of weighted average common shares outstanding to
         weighted average common shares outstanding assuming dilution follows:


<TABLE>
<CAPTION>
                                                                  Three Months Ended March 31,
                                                                ------------------------------
                                                                  2000                1999
                                                                ---------           ---------
<S>                                                             <C>                 <C>
         Basic weighted average common
           shares oustanding                                    7,353,458           6,939,258
         Effect of dilutive securities:
           Stock options                                                -             157,376
           Warrants                                                     -             348,651
           ESPP                                                         -               1,833
                                                                ---------           ---------
         Diluted weighted average common
           shares outstanding                                   7,353,458           7,447,118
                                                                =========           =========
</TABLE>

         The following common stock equivalents were excluded from the
         computation of diluted earnings per share because the exercise or
         conversion price was greater than the average market price of common
         shares:

<TABLE>
<CAPTION>
                                                                  2000                1999
                                                                ---------           ---------
<S>                                                              <C>                  <C>
         Stock options                                           667,813              563,125
         Subordinated convertible debentures                     145,750              161,818
         Seller financed convertible notes                       593,332              685,470

</TABLE>


                                       8
<PAGE>


         Item 2 - Management's Discussion and Analysis of Financial Condition
                  and Results of Operations

         Overview

         The following discussion of the Company's results of operations and of
         its liquidity and capital resources should be read in conjunction with
         the condensed consolidated financial statements of the Company and the
         related notes thereto which appear elsewhere in this report.

         Disclosure Regarding Forward-Looking Statements

         The Company is provided a "safe harbor" for forward-looking statements
         contained in this report by the Private Securities Litigation Reform
         Act of 1995. The Company may discuss forward-looking information in
         this report such as its expectations for future business development,
         cost reduction programs, product-based operating structures, revenue
         growth, fuel, insurance and labor cost controls, and software and
         website/internet development, as well as, its liquidity and capital
         needs and its future prospects. These forward-looking statements
         involve certain risks and uncertainties that may cause the actual
         events or results to differ materially from those indicated by such
         forward-looking statements. Potential risks and uncertainties include
         without limitation the risk that the Company will be unable to continue
         growing revenue internally, or that the Company's cost reduction
         programs will fail to prevent further erosion of its profit margins or
         cause loss of key personnel, or that the Company's industry-based
         strategic re-positioning will fail to generate revenue growth,
         profitability, operating efficiencies or improved service levels, or
         that the Company will be unable to reduce its fuel, labor and
         insurance costs, or that the Company will be unable to develop in an
         economic manner commercially accepted software and website capabilities
         for its customers, or that the Company will be unable to achieve the
         other cost savings or additional profits for the second and forward
         quarters contemplated by the Company's business management strategy or
         other risks specified in the Company's SEC filings.

RESULTS OF OPERATIONS

Income and Expense as a Percentage of Revenue


<TABLE>
<CAPTION>
                                                                  For the Three Months Ended
                                                                           March 31,
                                                                     2000            1999
                                                                    ------          ------
<S>                                                                 <C>             <C>
         Revenue                                                    100.0%          100.0%

         Gross profit                                                21.9%           22.9%

         Selling, general, and administrative expenses               21.7%           19.0%
         Depreciation and amortization                                1.9%            2.0%

         Operating income (loss)                                     (1.7)%           1.9%

         Net income (loss)                                           (1.9)%            .7%

</TABLE>


                                       9
<PAGE>

         Three Months Ended March 31, 2000 Compared to the Three Months Ended
         March 31, 1999.

         Revenue increased 16.9% from $51.3 million for the first quarter of
         1999 to $60.0 million for the first quarter of 2000. Ground delivery
         revenue grew by 18.3% to $42.9 million and air courier revenue grew
         13.7% to $17.1 million for the first quarter of 2000 compared to the
         same period in 1999. Revenue from acquisitions contributed $2.3 million
         and $2.6 million to the ground and air courier revenue increases,
         respectively.

         Cost of revenue increased by $7.3 million, or 18.5%, to $46.9 million
         for the first quarter of 2000 as compared to the same 1999 period.
         Stated as a percentage of revenue, cost of revenue increased by 1.0%
         for the first quarter ended March 31, 2000 to 78.1% as compared to
         77.1% for the same period in 1999. The variance is due to increased
         labor and vehicle operating costs, partially offset by a
         reclassification of $0.5 million in certain salaries to selling,
         general, and administration ("SG&A") expense. The increased labor cost
         is attributable to the tight labor market for reliable employees and
         sub-contractors.

         SG&A expense increased by $3.2 million, or 33.5%, to $13.0 million for
         the three months ended March 31, 2000 as compared to the same period in
         1999. Stated as a percentage of revenue, SG&A increased to 21.7% for
         the three months ended March 31, 2000 as compared to 19.0% for the same
         period in 1999. In addition to the $0.5 reclassification from cost of
         revenue, the variance is primarily attributable to increased staffing
         and related expenses, the administrative expenses of the companies
         acquired in 1999, bad debt expense recorded as a result of a previous
         customer filing for bankruptcy protection, and increased consulting
         expenses.

         Depreciation and amortization increased $116,000 to $1.1 million for
         the first quarter of 2000 compared to $1.0 million for the first
         quarter of 1999, primarily reflecting an increase in goodwill
         amortization expense as a result of the Company's acquisitions in 1999.

         As a result of the factors discussed above, operating income decreased
         by $2.0 million to a loss of $1.0 million for the three months ended
         March 31, 2000 as compared to income of $1.0 million for the same
         period in 1999.

         Net other income decreased by $188,000 to $46,000 for the first quarter
         of 2000. The first quarter 1999 included $150,000 in other income
         related to the previous sale of a business. Interest expense increased
         by $237,000 for the first quarter of 2000 due primarily to increased
         borrowings.

         Net income after tax decreased by $1,452,000 to a loss of $1,110,000
         for the three months ended March 31, 2000 as compared to income of
         $342,000 for the same period in 1999 for the reasons discussed above.

         Liquidity and Capital Resources

         Working capital decreased from $6.0 million as December 31, 1999 to
         $5.2 million as of March 31, 2000, a decrease of $0.8 million
         reflecting a general decrease in the Company's prepaid expenses and
         other current assets. Cash and cash equivalents increased from $0.3
         million to $0.6 million. Cash was provided from financing activities
         (an increase in the Company's borrowings on its line of credit offset
         by repayments of long-term debt) and used in operations (primarily as a
         result of the net loss for the period) as well as to finance
         acquisitions of equipment and leasehold improvements. Capital
         expenditures amounted to $0.3 million and $0.7 million for the first
         quarter of 2000 and 1999, respectively. These expenditures primarily
         upgraded Company computer system capability and maintained Company
         facilities in the ordinary course of business. As of March 31, 2000 the
         Company had available $7.3 million under is revolving credit facility.


                                       10
<PAGE>

         Management believes that cash flows generated from operations, together
         with its borrowing capacity, are sufficient to support the Company's
         operations and general business and liquidity requirements for the
         foreseeable future.

         Inflation

         Other than the described effects of fuel increases and labor costs,
         inflation has not had a material impact on the Company's results of
         operations for the past three years.

         Quantitative and Qualitative Disclosures About Market Risk.

         CDL's major "market risk" exposure is the effect of changing interest
         rates. CDL manages its interest expense by using a combination of
         fixed and variable rate debt. At March 31, 2000, the Company's debt
         consisted of approximately $24.8 million of fixed rate debt with a
         weighted average interest rate of 10.4% and $8.6 million of variable
         rate debt with a weighted average interest rate of 9.3% The amount of
         variable rate debt fluctuates during the year based on CDL's cash
         requirements. If interest rates on such variable rate debt were to
         increase by 85 basis points (one-tenth of the rate at March 31, 2000),
         the net impact to the Company's results of operations and cash flows
         would be a decrease of approximately $67,000.






                                       11
<PAGE>

                           Part II - OTHER INFORMATION


Item 1 - Legal Proceedings.

         In February 1996, Liberty Mutual Insurance Company ("Liberty Mutual")
         filed an action against Securities Courier Corporation ("Securities"),
         a subsidiary of the Company, Mr. Vincent Brana and certain other
         parties in the United States District Court for the Southern District
         of New York alleging, among other things, that Securities Courier had
         fraudulently obtained automobile liability insurance from Liberty
         Mutual in the late 1980s and early 1990s at below market rates. This
         suit, which claims common law fraud, fraudulent inducement, unjust
         enrichment and violations of the civil provisions of the Federal RICO
         statute, among other things, seeks an unspecified amount of
         compensatory and punitive damages from the defendants, as well as
         attorneys' fees and other expenses. Three additional defendants were
         added by way of a second amended complaint on April 9, 1998. Securities
         and Mr. Brana have filed cross claims against each of these additional
         defendants and certain original defendants who had acted as insurance
         brokers for certain of the policies at issue. Under the terms of its
         acquisition of Securities, the Company has certain rights to
         indemnification from Mr. Brana. In connection with the indemnification,
         Mr. Brana has entered into a Settlement Agreement and executed a
         Promissory Note in the amount of up to $500,000 or such greater amount
         as may be due for any defense costs or award arising out of this suit.
         Mr. Brana originally delivered 100,000 shares of CDL common stock to
         the Company as collateral for the note that was due on December 1,
         2000. Because of the increased costs in defending the suit Mr. Brana
         delivered an additional 50,000 shares of CDL common stock to the
         Company and the Company agreed to extend the due date until December 1,
         2002. In April 1999 a motion for summary judgement was filed and denied
         by the Court in December 1999. The plaintiff subsequently filed a Third
         Amended Complaint for breach of contract and additional claims for
         quantum meruit. The parties are presently participating in
         court-ordered non-binding mediation in an attempt to resolve this
         litigation which extends the time to respond to the Third Amended
         Complaint until thirty days after completion of the final mediation
         session, subject to the Court's approval. Mediation continues at this
         time. Due to the continuing legal costs in defending this suit, Mr.
         Brana has agreed to deliver 200,000 additional shares of CDL common
         stock to the Company on or before May 31, 2000. The Company does not
         believe that an adverse determination in this matter would result in a
         material adverse effect on the consolidated financial position or
         results of operations of the Company.

         The Company is, from time to time, a party to litigation arising in the
         normal course of its business, most of which involves claims for
         personal injury and property damage incurred in connection with its
         same-day ground and air delivery operations. Management believes that
         none of these actions, including the action described above, will have
         a material adverse effect on the consolidated financial position or
         results of operations of the Company.



                                       12
<PAGE>


Item 6 - Exhibits and Reports on Form 8-K

         (a) Exhibit

             27.1   Financial Data Schedule (for electronic submission only)







                                       13


<PAGE>


                                    SIGNATURE

                  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.



Dated: May 15, 2000                      CONSOLIDATED DELIVERY & LOGISTICS, INC.




                                         By:  \s\ Russell J. Reardon
                                              -------------------------
                                              Russell J. Reardon
                                              Vice President and
                                              Chief Financial Officer

                                       14