SECURITIES AND EXCHANGE COMMISSION
                          WASHINGTON, D.C. 20549
                          ----------------------
                               FORM 10-KSB
             Annual Report Pursuant to Section 13 or 15(d) of
                   the Securities Exchange Act of 1934

For the fiscal year ended    April 30, 2001   Commission File No. 0-8512
                          --------------------
                          MONARCH SERVICES, INC.
              (Name of small business issuer in its charter)

           MARYLAND                410-254-9200           52-1073628
----------------------------   -------------------   ------------------
(State or other jurisdiction   (Issuer's telephone    (I.R.S.Employer
    of incorporation or         number, including    Identification No.)
       organization)               area code)


       4517 Harford Road, Baltimore, Maryland            21214
      ------------------------------------------------------------
      (Address of principal executive offices)         (Zip code)


      Securities registered pursuant to Section 12(g) of the Act:
                     Common Stock, $.25 par value
                        (Title of each class)

      Check whether the issuer (1) has filed all reports required to be filed
by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the past
twelve 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 [  ]

      Check  if  disclosure of delinquent filers in response to Item  405  of
Regulation  S-B  is  not contained in this form, and no disclosure  will  be
contained, to the best of the registrant's knowledge, in definitive proxy  or
information statements incorporated by reference in Part III of this Form 10-
KSB or any amendment to this Form 10-KSB.   [ X ]

     The issuer's revenues for the fiscal year ended April 30, 2001 are
$4,200,000.

      As  of July 19, 2001, the aggregate market value of the Issuer's common
stock held by non-affiliates was $4,454,505.

      As of July 19, 2001, the number of shares outstanding of the Issuer's
common stock was 1,619,820.

                  DOCUMENTS INCORPORATED BY REFERENCE

     Portions of the definitive proxy statement to be filed under Regulation
14A for the annual meeting to be held in October, 2001 are incorporated by
reference into Part III.

     Transitional small business disclosure format (check one):
                    Yes [   ]        No [ X ]









                            PART I

Item 1.   DESCRIPTION OF BUSINESS

Monarch Services, Inc. ("Monarch Maryland") was incorporated on September
22, 2000.  On November 30, 2000, Monarch Services, Inc., a Delaware
corporation ("Monarch Delaware") that was incorporated December 20,
1976, merged into Monarch Maryland with Monarch Maryland as the surviving
entity.  As used herein, references to the "Company" refer to Monarch
Delaware prior to November 30, 2000 and Monarch Maryland, on and after
November 30, 2000.  The primary purpose of the merger was to change the
state of incorporation of the Company from Delaware to Maryland and make
certain changes in the organizational documents of the Company.

In 1993, the Company established a wholly-owned subsidiary, Girls' Life,
Inc. which commenced substantial operations with the sale of Girls' Life
magazine in August 1994.

On  October  27, 1998, the Company sold substantially all the assets  of  its
former games division to a subsidiary of Hasbro, Inc. for $6,000,000 in cash.
The  assets  sold  included  trademarks, copyrights  and  other intellectual
property  rights, inventory and tooling.

On August 20, 1999, the Company closed its former printing and envelope
division due to increased losses since the previous year's sale of the
games division.  The operating results of the printing and envelope division
have been classified as discontinued operations for all periods presented
in the consolidated statements of operations.

On  November  2, 1999, all remaining machinery and equipment from the games
division  and  remaining  inventories and machinery and  equipment from the
printing and envelope division were sold at auction.

The Company's primary operation during fiscal 2001 was the publication of
Girls' Life magazine.  During 1999 and 2000, the Company also invested some
resources and management effort in establishing the Girlslife.com website
and implementing an e-commerce strategy involving the sale of goods and
services to members of the Girls' Life target audience. The Company has
reviewed this e-commerce strategy in light of its experience with the
Girlslife.com website.  Following such review, the Company has determined
that the ongoing costs of maintaining the website, order fulfillment and
compliance with legal requirements exceed the potential value of the website
as a vehicle for the sale of goods and services.  Accordingly, the Company
has decided that it will not invest significant new capital in its e-commerce
strategy and will predominately use its website for advertising and the sale
of subscriptions to Girls' Life magazine.  As a result, we do not expect
Girlslife.com to produce significant revenue for the Company in future
periods.

The Company is continually exploring new ways to expand its publishing
operation and diversify into other operations while using its established
brand name "Girls' Life".  As discussed below, the Company plans to
establish a young men's magazine and a theme restaurant that is based
on Girls' Life magazine.

Publishing Business
Girls' Life, Inc. publishes a bi-monthly magazine for young girls age nine to
fourteen.

Girls'  Life is intended to be an intelligent, non-condescending and  easily
read  magazine.  The philosophy behind the graphic presentation and  every
article  presented is that girls are important, independent, and intelligent
people  with  opinions of their own.  Each article seeks  to reinforce  that
message  and inspire confidence in a girl's thoughts, opinions, and feelings.
Editorial  material  is created by the magazine's staff as  well as  through
outside writers.  The magazine is printed through one large national printing
service company.

The revenues of the Company's publishing business are seasonal in nature.
Girls' Life magazine is published six times per year normally, two issues
are published in each of the second and fourth quarters and one issue is
published in each of the first and third quarters.

During fiscal 2001, management began exploring the feasibility of publishing
"Adam", a magazine for young men between the ages of 18 and 25.  Management
has decided to proceed with the publication of the magazine and has recently
hired an executive editor. The Company expects that the first issue may be
ready during early 2002.  The timing of the inaugural issue, if any, is
dependent on many factors, many of which are not in management's control.

Also during fiscal 2000, the Company leased a property adjacent to the
Company's headquarters in Baltimore, Maryland.  Management has decided to
establish a Girls' Life theme food court on this property called "Girls'
Life Living" designed to attract girls in the target market of Girls' Life
magazine and their families.

In June 2001, the Company purchased three adjoining parcels of real estate
located in Baltimore County, Maryland for $1.91 million in cash.  The
acquisition includes Peerce's Plantation, a 350 seat fine dining restaurant
and bar with liquor license, off premises sales, an adjoining 6,000 square
-foot house, and 14.74 acres with a horse stable zoned for residential
development.  Management is considering various uses for the property
such as a family dining restaurant, a petting zoo, horseback riding and
activities and entertainment for young people.  Development would likely
involve the "Girls' Life" brand name, however no decisions on these or
other options have been made.  The Company believes the settlement of
this property will occur in the next 30 days.

Printing and Envelope Business (Discontinued Operations)

On August 20, 1999, the Company closed the printing and envelope division due
to ongoing losses.


MARKETING

Girls' Life magazine subscriptions are sold through traditional sources  such
as  direct-mail solicitation, insert cards and via subscription agents.  The
magazine  is  also sold on newsstands and subscriptions can  be obtained  or
renewed  through  the internet on the Girls' Life website. Newsstand  copies
are   distributed  nationally  by  Ingram  Periodicals  Inc., International
Periodical  Distributors, Retail Vision and Worldwide.  Newsstand copies  are
distributed nationally and internationally by Warner Publisher Services. The
Company has entered into a partnership with the Girl Scouts of the U.S.A.
through which the Company has access to the Girl Scouts' mailing list of
over 2,000,000 girls.

The  basic  domestic price of a one-year Girls' Life subscription is  $17.85.
The  suggested  retail price of a single issue of Girls' Life in the  United
States at the newsstand is $2.95.

The  average total distribution per issue during fiscal year 2001 was as  set
forth in the following table.

       Distribution Channel           Number of Magazines Distributed
     ------------------------       -----------------------------------

         Newsstand Sales                         57,150

         Subscription Sales                     260,000
                                               ---------
            Total Paid Circulation              317,150


         Complementary Copies                     1,000


The   following   table  sets  forth  the  average  number  of subscriptions
geographically sold per issue, internationally and domestically during fiscal
year 2001.

       Geographic Distribution         Number of Magazines Distributed
     ---------------------------     -----------------------------------

         United States                          256,000

         International                            4,000


COPYRIGHTS AND TRADEMARKS

The  Company's  magazine is generally protected by registered trademarks  and
copyrights in the United States and foreign countries to the extent that such
protection is available.

COMPETITION

Competition  in  the  publishing  industry is  intense  with numerous  other
publishers  and retailers, as well as other media, competing for readers  and
advertising  revenue.  Most of the Company's competitors  in  the publishing
business  have  broader and better recognized product offerings and  greater
experience, depth of management and creative and financial resources than the
Company.   Given  these factors, there can be no assurance that the  Company
will  be  able to continue to compete successfully in the publishing industry
and the failure to do so may have a material adverse effect on the results of
the publishing business.

EMPLOYEES

At April 30,  2001, the Company employed 28 executive, administrative,
clerical and maintenance personnel. None of  the  Company's employees are
represented by a union. The Company believes its relations with its
employees are good.


Item 2.  DESCRIPTION OF PROPERTY

The Company leases and owns property at the following locations for the
following purposes:

1.  4517 Harford Road, Baltimore, Maryland 21214. This property contains  the
Company's  offices and warehouse facilities. The property is leased  through
2007.

2.  4511-4515 Harford Road, Baltimore, Maryland 21214.  This property contains
the food court that will operate under the name Girls Life living.  The property
is leased through 2005.

3.  4313 Harford Road, Baltimore, Maryland 21214.  The proposed use of this
property is to accommodate existing business and new lines of business, if
any.  This property is not leased, but owned by the Company.

The  Company leases the 4517 Harford Road property and the 4511-4515 Harford
Road propery from A. Eric Dott who is the Chairman  and a major stockholder
of the Company. Although not negotiated at arms  length,  management believes
the terms of the leases with Mr. Dott are comparable to lease terms for like
properties in the same geographic area.

In June 2001, the Company purchased three adjoining parcels of real
estate located in Baltimore County, Maryland for $1.91 million in cash.
The acquisition includes Peerce's Plantation, a 350 seat fine dining
restaurant and bar with liquor license, a 6,000 square foot house, and
14.74 acres with a horse stable zoned for residential development.
Management is considering various uses for the property such as a family
dining restaurant, a petting zoo, horseback riding and activities and
entertainment for young people.  Development would likely involve the
"Girls' Life" brand names, however no decisions on these or other options
have been made. Pending such decisions, the property will not be used in
the Company's operations and no portion of the property is leased to a
tenant.  The Company believes that this property requires renovation;
however, the cost of any required renovation is dependent upon the
manner in which such property is to be used in the Company's operations.
The Company believes that the property is adequately covered by insurance.
Since the property is not yet in service, there was no depreciation
taken on this property for fiscal 2001.  The method of depreciation
and life of the property has not been determine since no cost allocation
has been performed to determine what part of the property is depreciable
or not depreciable for income tax purposes.  The Company believes the
settlement of this property will occur in the next 30 days.


Item 3. LEGAL PROCEEDINGS

Companies in the publishing industry are, in the ordinary course of
business, made the subject actions alleging copyright infringement and
other actions.  Such actions may allege large damages.  The Company
has, on an infrequent basis, had such claims made against it.



Item 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY-HOLDERS
        NONE


                                PART II

Item 5. MARKET FOR COMMON EQUITY AND RELATED STOCKHOLDER MATTERS


Common Stock Market Prices and Dividends

The Company's common stock is traded on the Nasdaq SmallCap Market under the
symbol MAHI.  The number of stockholders of record on July 19, 2001 was
approximately 536.

High and low closing sale prices for the last two years were:

                       Fiscal 2001                Fiscal 2000
Quarter                   Price                      Price
Ended                High        Low            High        Low
                     -------     -------        -------     -------
July 31              3.96        3.75           2.91        2.53
October 31           3.75        3.25           4.00        3.63
January 31           3.25        3.03           3.69        3.69
April 30             2.58        2.49           3.44        3.44

Such prices reflect inter-dealer prices, without retail mark-up, mark-down or
commissions  and may not represent actual transactions. The Company  has  not
paid  any  cash dividends since April 1987. Although the board  of directors
will  continue  to  review the Company's profitability with respect  to  the
resumption of dividends, there can be no assurance as to the timing or amount
of any future dividends.


Item 5A. CERTAIN CAUTIONARY INFORMATION

In  connection with the Private Securities Litigation Reform Act of 1995 (the
"Litigation Reform Act"), the Company is hereby disclosing certain cautionary
information  to be used in connection with written materials (including  this
Annual Report on Form 10-KSB) and oral statements made by or on behalf of its
employees  and representatives that may contain "forward-looking statements"
within the meaning of the Litigation Reform act.  Such statements consist  of
any  statement  other  than  a  recitation of  historical  fact and  can  be
identified by the use of forward-looking terminology such as "may," "expect,"
"anticipate,"  "estimate,"  or "continue" or the negative  thereof or  other
variations  thereon  or comparable terminology.  The listener  or reader  is
cautioned that all forward-looking statements are necessarily speculative and
there are numerous risks and uncertainties that could cause actual events  or
results  to  differ materially from those referred to in such forward-looking
statements.  The discussion below highlights some of the more important risks
identified  by management, but should not be assumed to be the only  factors
that  could  affect future performance.  The reader or listener is cautioned
that  the  Company  does not have a policy of updating or revising  forward-
looking  statements  and  thus he or she should not assume  that silence  by
management over time means that actual events are bearing out as estimated in
such forward-looking statements.

CAUTIONARY LANGUAGE REGARDING NEW BUSINESS LINES

We are currently working on certain new lines of business including a
magazine for young men between the ages of 21 and 34 called "Adam," and
a food court called "Girls' Life Living".   As disclosed below under the
caption "Results of Operations," we have invested a portion of our capital
in developing these new business lines in the fiscal year and we expect to
continue investing our capital in exploring these and other business lines
in the future. As we commence operations with these new business lines, we
expect that they will require increasing levels of capital investment and
management attention.  We expect any new business will incur significant
expenses for personnel and marketing, among other items and that such
expenses will precede revenues. If we decide not to go forward with these
new business lines, we do not expect to recover our invested capital. Due
to limited resources, we have not commissioned third-party scientific
market or other studies of the viability of these or other proposed
business lines, nor do we have the capacity to conduct such studies
internally.  In lieu of such studies, we have relied on the experience
of our management team and internal analysis by our management and staff
in evaluating new lines of business.  Our analysis may be incomplete or
based upon incomplete or incorrect data.  In light of the risks of any new
business enterprise and the limited analysis permitted by our resources,
we cannot be sure that "Adam Magazine", "Girls' Life Living" or other business
lines that we may consider, will be profitable and we may lose our entire
investment in such business lines. We intend to continue to consider
additional business lines and, accordingly, we expect to continue to
incur expenses for exploring new business lines for the foreseeable future.

HISTORY OF OPERATING LOSSES

Prior to the reclassification of activity relating to discontinued operations,
we have reported losses from continuing operations before taxes in four of
the past five years.  There can be no assurance that our business strategies
and tactics will be successful and that we will be profitable in future periods.

COMPETITION

Competition  in  the  publishing  industry is  intense  with numerous  other
publishers  and retailers, as well as other media, competing for readers  and
advertising  revenue.  Most of our competitors  in  the publishing business
have broader and better recognized product offerings and  greater experience,
depth of management and creative and financial resources than we have. Given
these factors, there can be no assurance that we will be able to continue to
compete successfully in the publishing industry and the failure to do so may
have a material adverse effect on the results of our publishing business.

LIMITED MARKET FOR GIRLS' LIFE MAGAZINE

The  Girls'  Life magazine is targeted to girls ages nine to fourteen.  Since
Girls' Life's target audience is limited by age and gender, Girls'  Life,
unlike  other  magazines that appeal to broader age groups,  must replace  a
large portion of its readership each year due to maturing of its audience.
Accordingly, Girls' Life's promotional expenses that are designed to replace
and  expand its readership may be higher than other magazines with comparable
circulation.  There can be no assurance that Girls' Life will be able to
replace its existing readers and expand its circulation going forward.  Any
decrease in Girls' Life's circulation, due to demographic or other factors,
can be expected to have a material adverse effect on the revenues of our
publishing business.

CONTROL BY PRINCIPAL STOCKHOLDERS

A. Eric Dott and, his son, Jackson Y. Dott, the Company's Chairman  and
President, respectively, beneficially  own  an aggregate of 39% of our
outstanding voting securities.  Accordingly, these stockholders have the
ability acting together, to exercise significant control over fundamental
corporate transactions requiring stockholder approval, including without
limitation the election of Directors, approval of merger transactions
and sales of all or substantially all of our assets.

ANTI-TAKEOVER PROVISIONS COULD MAKE A THIRD-PARTY ACQUISITION OF US
DIFFICULT.

Maryland corporate law restricts transactions between a corporation and
its affiliates and potential acquirers.  The applicability of these
provisions and other provisions set forth in our organizational documents
may discourage bids for our common stock at a premium over the market
price and may adversely affect the market price and the voting rights
of our common stock.  These provisions may discourage changes in control
of our company.


Item 6.   MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION

RESULTS OF OPERATIONS FISCAL 2000 COMPARED TO FISCAL 2001

Sales of Girls' Life increased $199,000 or 5% in fiscal year 2001 from fiscal
year 2000.  The increase in sales for Girls' Life relates primarily to
increased subscription revenue as a result of increased promotions and direct
mail advertising of the magazine, increased revenue from advertising and
renewals of promotional subscriptions sold previously at reduced promotional
prices but renewed at higher subscription prices which more then offset
decreased newsstand and subscription sales on a per issue basis.

Cost of goods sold, as a percent of sales was 78% in fiscal year 2001 and 69%
in  fiscal  year  2000.  The overall increase in 2001 was primarily  due  to
increased mailing and printing costs, increased labor costs due to increased
staffing levels associated with Girls' Life, the Girlslife.com website and the
consideration of a magazine for young men called "Adam". Additionally, there
were certain elements of overhead classified with the discontinued operations
during 2000 that are included in cost of goods sold for 2001.  Since it was
established in January 2000, Girlslife.com has had only minimal sales while
approximately $77,000 of start-up and operating costs have been incurred. These
costs are primarily related to salaries of individuals responsible for the
design and maintenance of the website.  The Company has reviewed its e-commerce
strategy in light of its experience with the Girlslife.com website.  Following
such review, the Company has determined that the ongoing costs of maintaining
the website, order fulfillment and compliance with legal requirements exceed
the potential value of the website as a vehicle for sales of goods and services.
Accordingly, the Company has decided that it will not invest significant new
capital in its e-commerce strategy and will predominately use its website
for advertising and the sale of subscriptions to Girls' Life magazine.  As a
result, we do not expect Girlslife.com to produce significant revenue for the
Company in future periods.

During fiscal 2001, management began exploring the feasibility of publishing
"Adam", a magazine for young men between the ages of 21 and 34.  Management
had decided to proceed with the magazine and the first issue may be ready
during early 2002.  The timing of the inaugural issue is dependent on many
factors, many of which are not in  management's control. "Adam" magazine
had no sales while approximately $60,000 of start-up costs have been
incurred in fiscal year 2001.  Girls' Life Living had no sales while
approximately $8,000 of start-up costs have been incurred in fiscal year
2001.

Selling,  general and administrative expenses as a percentage of sales  were
39% in fiscal year 2001 and 20% in fiscal year 2000.  The increase in fiscal
2001 was primarily due to increased advertising and promotional costs
for publishing, increased promotional and other costs associated with "Adam"
magazine and an increase in corporate overhead as a result of the closing
of the printing and envelope divisions. Corporate overhead which is comprised
primarily of salaries, professional fees, telephone expenses, insurance and
depreciation was $971,000 for fiscal year 2001 compared to $149,000 in 2000.
Corporate overhead also includes costs associated with Girlslife.com and
"Adam" magazine.  During fiscal year 2001, advertising and promotional cost
increased $170,000 over last year due primarily to a program where 1.25
million direct mail pieces were sent to girls between the ages of 9 and 14.
While the costs associated with these mailings have been recognized in
fiscal year 2001, it is anticipated that the benefits of increased
subscriptions if any, will be realized in future periods. The Company is
continuing to explore new lines of business, in addition to "Adam" magazine
and "Girls' Life Living," and expects to continue to consider these and other
new lines of business for the foreseeable future. The Company expects that,
as it explores and develops these and other lines of business, the cost
of such activities will increase the amount of the Company's selling,
general and administrative expense in future periods.

In June of 2001, the Company purchased three adjoining parcels of real
estate located in Baltimore County, Maryland for $1.91 million in cash.
The acquisition includes Peerce's Plantation, a 350 seat fine dining
restaurant and bar with liquor license, a 6,000 square foot house, and
14.74 acres with a horse stable zoned for residential development.
Management is considering various uses for the property such as a family
dining restaurant, a petting zoo, horseback riding and activities and
entertainment for young people.  Development would likely involve the
"Girls Life" brand name, however no decisions on these or other options
have been made.  The Company believes settlement of this property will
occur in the next 30 days.

The  Company discontinued its printing and envelope division during the year
ended  April  30,  2000.  Operating losses attributable to the printing and
envelope division were $575,000 (net of tax benefit) for the year ended April
30,  2000. During the third quarter of fiscal 2000, the sale of the printing
and  envelope  division  was  completed.  The  sale  consisted primarily of
equipment  and limited inventory and resulted in a gain of $345,000 (net of
tax).

Other  income increased $147,000 in 2001 to $509,000 from $362,000 in 2000.
The  fiscal year 2001 increase was primarily due to the increase in interest
income in the amount of $160,000 and a decrease in other miscellaneous
income in the amount of $13,000.

Income tax benefit attributable to continuing operations was $53,000 for the
year  ended April 30, 2001.  The Company's effective rate for the fiscal year
2001  was  (24)% compared to 44% in 2000.  Income tax expense of $301,000
attributable to continuing operations was recorded for the year ended April
30, 2000.


LIQUIDITY AND SOURCES OF CAPITAL

At April 30, 2001, the Company had cash and cash equivalents of approximately
$1,122,000 a decrease of $7,300,000 from the amount as of April 30, 2000.  The
decrease resulted primarily from investments in certificates of deposit in the
amount of $7,007,000, cash used in operations of $103,000, the purchase of
property and transportation equipment, trademarks, computer and office equipment
and improvements to the leasehold property of $176,000. The proposed use of this
property is to accommodate existing business and new lines of business, if any.
The certificates of deposit have original maturities ranging from 5 to 7 months.


As previously discussed, the Company purchased improved real estate for
$1.91 million in cash in June 2001.

At April 30, 2001, the Company had no debt with third-party lenders.

During fiscal 2001, cash and cash equivalents ranged from approximately $2.0
million to $1.1 million. The Company's cash and cash equivalents are subject
to  variation based upon the timing of receipts and the payment of payables.

Management believes that existing cash and cash equivalents, and certificates
of deposit together with cash generated from operations and investing
activities, will be sufficient to meet the Company's liquidity and capital
needs for the next 12 months.

IMPACT OF INFLATION AND CHANGING PRICES

The  price  of  paper  is a significant expense of the  Company's publishing
business.   Paper price increases may have an adverse effect on the Company's
future  results.  Postage for the magazine distribution is also a significant
expense  of  the  Company.   The Company uses the  U.S.  Postal Service  for
distribution of its magazine.  Postage costs increase periodically and can be
expected  to  increase in the future.  No assurances can be  given that  the
Company can pass such cost increases through to its customer.

<TABLE>
Item 7.     FINANCIAL STATEMENTS


Consolidated Statement of Financial Condition
<CAPTION>
------------------------------------------------------------
April 30,                                          2001
------------------------------------------------------------
                                             (000's Omitted)
<S>                                              <C>
ASSETS

CURRENT ASSETS
   Cash and cash equivalents                      $1,122
   Certificates of deposit                         7,007
   Accounts receivable, net                          287
   Marketable securities available
       for sale                                       24
                                                   -------
                                                   8,440
Prepaid expenses                                      50
Income taxes receivable                              112
                                                  -------
                   TOTAL CURRENT ASSETS            8,602

PROPERTY AND EQUIPMENT
   Machinery, equipment, furniture and
      fixtures                                       467
   Building and leasehold improvements               356
   Accumulated depreciation                         (506)
                                                  -------
                                                     317
                                                  -------
INTANGIBLE ASSETS-NET                                 21
                                                  -------
                                                  $8,940
                                                  =======

LIABILITIES AND STOCKHOLDERS' EQUITY

CURRENT LIABILITIES
   Accounts payable                               $  285
   Accrued expenses                                   67
   Deferred subscription revenue                   1,489
                                                  -------
                  TOTAL CURRENT LIABILITIES        1,841
                                                  -------
DEFERRED INCOME TAXES                                262
                                                  -------
STOCKHOLDERS' EQUITY
   Common Stock-par value $.001 per share:
      Authorized - 10,000,000 shares;
      shares outstanding 1,619,820                     2
   Capital surplus                                 3,781
   Retained earnings                               3,068
   Accumulated other comprehensive income (loss)     (14)
                                                  -------
                   TOTAL STOCKHOLDERS' EQUITY      6,837
                                                  -------
                                                  $8,940
                                                  =======
<FN>
<F1>
See Notes to Consolidated Financial Statements.
</FN>
</TABLE>
<TABLE>
Item 7.             FINANCIAL STATEMENTS (Continued)

Consolidated Statements of Operations
<CAPTION>
-----------------------------------------------------------------------
Years Ended April 30,                            2001        2000
-----------------------------------------------------------------------

                               (000's Omitted, except share information)
<S>                                          <C>          <C>
Net Sales - publishing                        $ 4,200      $ 4,001
Cost of goods sold - publishing                 3,278        2,776
                                              ----------------------
Gross profit from continuing operations           922        1,225
                                              ----------------------
Selling, general and administrative
   expenses                                     1,657          782
                                              ----------------------
(Loss) income from continuing operations
   before other income and income taxes          (735)         443

Other income:
   Investment and interest income                 491          331
   Other                                           25           31
                                                 -------------------
                                                  516          362
                                              --------------------
(Loss) income from continuing operations
   before income taxes                           (219)         805

Income tax (benefit) expense                      (53)         301
                                                --------------------
(Loss) income from continuing operations         (166)         504

Discontinued Operations:
   Operating loss from printing
      and envelope division (net of
      income tax benefit of ($297)
      for the year ended April 30,
      2000                                          0        (575)
   Gain on disposal of printing and
      envelope business (net of income
      tax expense of $211) for the
      year ended April 30, 2000                     0         345
                                             -----------------------
(Loss) from discontinued operations                 0        (230)
                                             -----------------------
Net (loss) income                            $   (166)        274
                                             =======================
Net (loss) earnings per common
     share - basic and diluted:

(Loss) income from continuing
     operations per share                    $  (.10)      $   .31

(Loss) from discontinued operations                -          (.14)
                                             -----------------------
Net (loss) earnings per common
     share - basic and diluted               $  (.10)          .17
                                             =======================
Weighted average number of shares
     outstanding - basic and diluted       1,619,820     1,619,820
                                             =======================
<FN>
<F1>
See Notes to Consolidated Financial Statements.
</FN>
</TABLE>

<TABLE>
Item 7.                FINANCIAL STATEMENTS (Continued)

Consolidated Statements of Changes in Stockholders' Equity
<CAPTION>
------------------------------------------------------------------
Years Ended April 30, 2001 and 2000
------------------------------------------------------------------

                   (000's omitted, except shares outstanding data)

                                                                     Total
                    Common Capital Retained Comprehensive Treasury Stockholders'
                    Stock   Surplus  Earnings  Income       Stock    Equity
                  --------- -------  --------  ------     -------- ------------
<S>                <C>     <C>      <C>       <C>          <C>       <C>

Balance
May 1, 1999        $ 527   $ 3,378  $ 2,960        0       $ (122)   $6,743

Net income                              274                             274
Other comprehensive
  income-unrealized
  loss on marketable
  Securities Avail-
  able-for-sale                               $ (10)                    (10)

  Total comprehensive
     income                                                             264
                   -----------------------------------------------------------
Balance
April 30, 2000     $ 527  $ 3,378   $ 3,234   $ (10)       $ (122)   $7,007

Retirement of
 Treasury Stock     (122)                                     122         -

Adjust par value
 from $.25 to
 $.001              (403)     403                                         -

Other comprehensive
income - unrealized
loss on marketable
securities avail-
able-for sales                                   (4)                     (4)

Net loss                               (166)                           (166)

                                                                  -----------
Total comprehensive
  income (loss)                                                        (170)

Balance
April 30, 2001     $   2  $ 3,781   $ 3,068   $ (14)     $    -     $ 6,837
                    ==========================================================




Shares Outstanding:  April 30, 2000    1,619,820
                     April 30, 2001    1,619,820

<FN>
<F1>
See Notes to Consolidated Financial Statements.
</FN>
</TABLE>
<TABLE>
Item 7.               FINANCIAL STATEMENTS (Continued)

<CAPTION>
Consolidated Statements of Cash Flows
-------------------------------------------------------------------
Year Ended April 30,                              2001        2000
-------------------------------------------------------------------
                                                 (000's Omitted)
<S>                                           <C>            <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
 Net (loss) income                             $  (166)      $  274
  Adjustments to reconcile net (loss) income
     to net cash (used)provided by operating
       activities:
     Depreciation and amortization                  78           86
     Deferred income taxes                         (16)          21
     Gain on disposal of printing and
        and envelope equipment                       0         (345)
     Decrease in allowance for doubtful
        accounts                                    (2)         (90)
     Increase/decrease in operating assets
       and liabilities:
        Accounts receivable, gross                 (55)         290
        Inventories                                  0          240
        Prepaid expenses                           (15)          25
        Accounts payable                             6          137
        Accrued expenses                            13         (144)
        Income taxes payable/receivable             43         (320)
        Deferred subscription revenue               11          232
                                                 --------------------
Total cash (used) provided by operating
      activities                                  (103)         406
                                                 --------------------
CASH FLOWS FROM INVESTING ACTIVITIES:
  Purchases of property and equipment             (178)        ( 47)
  Purchases of intangible assets                  ( 12)        ( 12)
  Purchases of marketable securities                 0         ( 49)
  Cash proceeds from disposal of property
     and equipment                                   0          803
  Purchase of certificates of deposit           (7,007)           0
                                                --------------------
    Total cash (used) provided by
      investing activities                      (7,197)         695
                                                 --------------------
NET (DECREASE) INCREASE IN CASH AND
    CASH EQUIVALENTS                            (7,300)       1,101
CASH AND CASH EQUIVALENTS
  BEGINNING OF YEAR                              8,422        7,321
                                               --------------------
CASH AND CASH EQUIVALENTS
  END OF YEAR                                  $ 1,122      $ 8,422
                                               ====================
<FN>
<F1>
See Notes to Consolidated Financial Statements.
</FN>
</TABLE>

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTE A - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

BASIS OF PRESENTATION: The consolidated financial statements include the
accounts of Monarch Services, Inc. and its wholly owned subsidiaries,
Girls Life, Inc., Glirls Life.com, Creampuffs, Inc. and Broken Windows, Inc.
(collectively the "Company").  Consolidation has resulted in the elimination
of all significant intercompany balances and transactions.  Certain
reclassifications have been made to amounts previously reported to conform
with the classifications made in 2001.

Monarch  Services, Inc. ("Monarch") on November 30, 2000, became a Maryland
corporation.  The Company was previously incorporated in the State of
Delaware.  The operating  results of the printing and envelope division
have been classified as discontinued operations for all periods presented
in the consolidated statements of operations.

Girls'  Life, Inc. ("Girls' Life") was incorporated in December 1993  in  the
State  of  Maryland and publishes a magazine for girls age nine to fourteen.
Substantial  operations began in fiscal year 1995 with  the release  of  its
initial  bi-monthly publication in August 1994. Magazines are sold nationally
and  internationally through distributors and directly by Girls' Life through
one and two year subscriptions.

Creampuffs, Inc. was incorporated on March 12, 1997 in the State of  Maryland.
During 2001, this subsidiary began limited activity developing a model for a
theme restaurant.  This subsidiary did not engage in any operations in the
year ended April 30, 2000.

Broken  Windows,  Inc.  was incorporated on June 11, 1997  in  the State  of
Maryland.  During 2001, this subsidiary began limited activity developing a
new magazine for young men called "Adam".  This subsidiary did  not engage
in  any operations for the year ended April 30, 2000.

Girlslife.com was incorporated on January 24, 2000 in the State of Maryland.
Sales for this subsidiary were minimal in fiscal year 2001.

USE  OF ESTIMATES: The preparation of financial statements in conformity
with accounting  principles generally accepted in the United States requires
management to make estimates and assumptions that affect the reported amounts
of assets and liabilities and disclosure of contingent assets and liabilities
at the  date of the financial statements and the reported amounts of revenues
and expenses during  the  reporting  period.  Actual  results  could  differ
from   those estimates.

REVENUE RECOGNITION: The Company recognizes revenue in accordance with
Securities and Exchange Commission's Staff Accounting Bulletin No. 101
Revenue Recognition in Financial Statements ("SAB 101") whereby revenue
related to subscriptions for its magazines is recognized upon shipment
of the magazine to the subscriber.  The adoption of SAB 101 during 2001
had no effect on the statement of operations or financial position of
the Company. Deferred subscription revenue represents amounts collected
for subscriptions of the magazine not yet issued.

CASH  EQUIVALENTS:  For  the purpose of reporting  cash  flows, the  Company
considers  all  highly  liquid debt instruments purchased  with an  original
maturity of three months or less to be cash equivalents.

ACCOUNTS RECEIVABLE: Girls' Life sells its magazine through distributors  and
direct  individual  subscriptions. Receivables consist of advertising  income
and sales of magazines through the distributors for issues released prior  to
April 30.

INTANGIBLE  ASSETS: Intangible assets consist of Monarch Services, Inc.  and
Girls' Life, Inc. trademarks and are amortized using the straight-line method
over periods estimated to be benefited.

PROPERTY  AND  EQUIPMENT:  Property and equipment  is  carried  at cost  and
depreciation  is  computed by the straight-line method over estimated  useful
lives ranging from three to forty years.

FINANCIAL  INSTRUMENTS:  The current carrying value  of  current assets  and
current liabilities is a reasonable estimate of their fair value due  to  the
short-term nature of such accounts.

MARKETABLE  SECURITIES: The Company accounts for its  investments in  equity
securities  under  the accounting and reporting provisions  of Statement  of
Financial  Accounting  Standards No. 115 ("SFAS No. 115").  The Company  has
classified  its investments as available-for-sale based on its intended  use.
As   such,  unrealized  holding  gains  and  losses  are  included as  other
comprehensive income, a separate component of stockholders' equity.

RESEARCH  AND DEVELOPMENT COSTS: The Company had no research and development
costs during the fiscal year 2001.

COSTS ASSOCIATED WITH START-UP ACTIVITIES: The Company accounts for start-up
costs in accordance with the American Institute of Certified Public
Accountants' Statement of Position 98-5 Reporting on the Costs of Start-up
Activities, which requires such costs to be expensed in the period incurred.

INCOME  TAXES:  The  Company provides for income  taxes  using Statement  of
Financial Accounting Standards No. 109, "Accounting for Income Taxes," ("SFAS
No.  109")  which  requires  an  asset and liability  approach  to financial
accounting and reporting for income taxes (see Note F). Under SFAS No.  109,
deferred tax assets and liabilities are provided for differences between  the
financial statement and tax bases of assets and liabilities that will  result
in  future taxable income or deductible amounts. The deferred tax assets  and
liabilities are measured using enacted tax laws and rates applicable  to  the
periods  in  which  the  differences are expected to affect taxable  income.
Income  tax  expense  is computed as the tax payable or refundable  for  the
period  plus or minus the change during the period in deferred tax assets  or
liabilities.

EARNINGS  PER  SHARE: Basic earnings per share is computed by dividing net
earnings (loss) available to common stockholders by the weighted average
number of common shares outstanding during the year.  Diluted earnings (loss)
per share is computed by including the average common stock equivalents
outstanding, if any, to the weighted average number of common shares
outstanding during the period.

STOCK-BASED  COMPENSATION ARRANGEMENTS:  The Company applies APB Opinion  No.
25  and  related  interpretations in accounting for stock based compensation
arrangements.   Accordingly,  no  compensation  has  been recognized.    For
disclosure purposes, pro-forma results have been determined based on the
fair value method consistent with  SFAS  No. 123,  "Accounting for Stock-Based
Compensation".

NOTE B - DISCONTINUED OPERATIONS:

CLOSING OF PRINTING AND ENVELOPE DIVISION:

Effective  August  20,  1999, the Company closed the  printing and  envelope
division due to increased losses since the previous year's sale of the  games
division.

Net sales and income from discontinued operations of the printing and
envelope division are as follows (in thousands):

                                         Years Ended April 30,
                                           2001        2000
---------------------------------------------------------------------
Net sales                                 $    0      $  516
Gain on disposal of printing
   and envelope equipment (net
   of tax)                                     0         345
Loss from discontinued
   operations (net of tax)                     0        (575)


NOTE C - ACCOUNTS RECEIVABLE

Accounts receivable consist of the following at April 30, 2001 (in thousands):

Accounts Receivable-publishing        337,105

Less:
  Allowance for doubtful accounts    ( 50,000)
                                   -----------
      Accounts receivable, net     $  287,105
                                   ===========


NOTE D - CERTIFICATES OF DEPOSITS

As of April 30, 2001, investments in certificates of deposit consisted of
the following (in thousands):

       Rate                Maturity                Amount
      ------              ----------            ------------

       7.05%                07/13/01            $    104
       7.09%                09/29/01                  52
       7.30%                10/13/01                  42
       6.30%                10/17/01                 103
       5.50%                11/20/01                 181
       6.20%                11/20/01               6,321
       6.50%                01/04/02                 102
       7.05%                01/04/02                 102
                                                 -----------
                  Total                          $ 7,007
                                                 ===========

Some of the certificates of deposit are in excess of federal insurance limits.


NOTE E - MARKETABLE SECURITIES AVAILABLE-FOR-SALE

At  April  30,  2001,  the  cost  and  estimated  fair  value  of marketable
securities, available-for-sale are as follows (in thousands):

                                Unrealized      Unrealized     Estimated
                       Cost       Gains            Loss        Fair Value
                     ------------------------------------------------------
Equity Securities      $ 49       $ 0              $ 25           $ 24
                     ======================================================


NOTE F - INCOME TAXES

A  reconciliation of the effective tax rate for income taxes in the financial
statements to the federal statutory rate is as follows:

-----------------------------------------------------------------------------
Years Ended April 30,                                         2001      2000
-----------------------------------------------------------------------------

Federal income tax (benefit) expense at statutory rate         (34)%      34%
Non-deductible items                                             9         1
State income taxes, net of federal benefit                       -         5
Other                                                            1         4
                                                              -----     -----
                                                               (24)%      44%
                                                              =====     =====

The  deferred  tax  assets (liabilities) result from the following temporary
differences (in thousands):
--------------------------------------------------------------
April 30,                                           2001
--------------------------------------------------------------
Deferred tax assets:
  Financial statement accruals, net              $   10
  Allowances for accounts receivable                 19
  Unrealized loss on marketable securities
    available-for-sale                               10
                                                 --------
       Total deferred tax assets                     39

Deferred tax liabilities:
    Property and equipment                         (301)
                                                 --------
Net deferred tax liabilities                     $ (262)
                                                 ========

Cash payments for income taxes were $35,000 and $211,450 for the years ended
April 30, 2001 and 2000, respectively.


NOTE G - PROFIT-SHARING PLAN

Substantially  all of the Company's employees participate in a profit-sharing
plan.  Contributions are determined by the results of operations and  can  be
charged at the discretion of the Board. There were no contributions in fiscal
years ended 2001 and 2000.


NOTE H - STOCK OPTION PLANS

The Company's Omnibus Stock Option Plan (the  "Omnibus Plan") provides for the
granting  of  certain types of qualified and nonqualified  stock options  to
directors,  executive officers and key employees on a periodic basis  at  the
discretion  of  the Company's Board of Directors.  The Company has  reserved
300,000 shares of common stock under the Omnibus Plan.

Options for 10,000 and 200,000 shares of common stock were granted during
the years ended April 30, 2001 and 2000, respectively. The options begin to
vest at an annual rate of 25% after the completion of one year of service
after the date of grant. The weighted average exercise price of the options
granted during fiscal 2001 and 2000 was $3.81 and $3.72 respectively.  As of
April 30, 2001, the options outstanding have a weighted average remaining
contractual life of 3.8 years.

The fair value of  the options granted in 2000 that began to vest during
2001 were estimated using the Black-Scholes option-pricing model and used
the following assumptions for the 2000 grants:


Dividend yield                 0%
Expected volatility           74%
Risk-free interst rate      4.99%
Expected lives (in years)      5

The Company has adopted the disclosure-only provisions of Statement of Financial
Accounting Standards No. 123, "Accounting for Stock-Based Compensation" (SFAS
No. 123), but applies Accounting Principles Board Opinion No. 25 and related
interpretations in accounting for its stock option plans.  Such interpretations
include Financial Accounting Standards Board Interpretation No. 44, "Accounting
for Certain Transactions Involving Stock Compensation: An Interpretation of APB
No. 25" (FIN No. 44) which was issued in April 2000.  The Company has adopted
the provisions of FIN No. 44, and such adoption did not materially impact the
Company's results of operation.

No compensation expense related to the Company's stock option plans was recorded
during the two years ended April 30, 2001.  If the Company had elected to
recognize compensation cost based on the fair value at the grant dates for
awards under the plan consistent with the method prescribed by SFAS No. 123,
net income and earnings per share would have been changed to the pro forma
amounts as follows for options vested during the year ended April 30, 2001:

(In thousands, except per share data)
-------------------------------------------------------------
Net loss:
  As reported                           $ (166)
  Pro forma *                             (286)
Basic and diluted net loss per share:
  As reported                           $ (0.10)
  Pro forma *                             (0.18)

* The pro forma amounts are not representative of the effects
    on reported earnings for future years.

During 1992 the Company's Chairman was granted  a ten  year option ("the
1992 Plan") to purchase up to 300,000 shares of the Company's common stock
at the greater of the book or market value of the stock as of the date of
exercise. Such option can only be exercised in the event of the following:

*  An  individual or entity acquires greater than twenty percent of the total
number of outstanding shares of the Company's common stock.

*  An individual or entity makes a tender offer for thirty percent or more of
the Company's outstanding common stock.

*  An  individual or entity proposes the election of a director or slate  of
directors  opposed  to any directors or slate of directors proposed  by  the
management of the Company.

The Chairman may only exercise the option within sixty days following any  of
the above events.

No options under the 1992 Plan have been exercised during the years ended
April 30, 2001 and 2000. There were 300,000 options outstanding under the
1992 Plan at April 30, 2001.  The 1992 option expires on June 19, 2001.


NOTE I - COMMITMENTS AND CONTINGENCIES

LEASES: The Company leases office and warehouse and other facilities. The
lease for the office  and warehouse facilities currently in use was extended for
a term  of 10  years  commencing July 1997, and ending June 2007. The lease for
the food court facilities started in November 2000 and will be leased through
2005. The Company generally must  pay for property taxes, insurance and
maintenance costs related to  the property.  The  lease for the property
previously used by the games  division was terminated in December 1999.  Total
rental expense for 2001 and 2000 was approximately $166,000 and $298,000,
respectively.

The  future  annual minimum rental commitments for the current non-cancelable
operating leases as of April 30, 2001 is $131,000 annually through 2007 for the
office and warehouse facilities and $60,000 annually through 2005 for the food
court facilities.

The office and warehouse facilities and the food court facilities are leased
through 2007 and 2005 respectively for approximately $131,000 and $60,000
respectively annually from the Chairman of the Company and a member of  his
family.

LITIGATION: The Company is involved, from time to time, in legal actions arising
in its normal course of operations.


NOTE J - SEGMENT INFORMATION

The Company currently only operates in a single industry segment. Previously
reported industry segments have been classified as discontinued operations.


NOTE K - SUBSEQUENT EVENTS

On June 15, 2001, the Company  purchased a Baltimore County, Maryland
restaurant and catering facility which included the restaurant, an
adjoining 6,000 square-foot house, and 14.74 acres zoned for residential
development. The Company paid $1.91 million dollars for the property
with plans to develop the facilities into a family dining facility that
may include a petting zoo, horseback riding and activities and
entertainment for young people.  The Company believes the settlement
of this property will occur in the next 30 days.


Independent Auditors' Report


To the Stockholders and Board of Directors, Monarch Services, Inc.
Baltimore, Maryland

We have audited the accompanying consolidated statement of financial
condition of Monarch Services, Inc. and Subsidiaries as of April 30, 2001
and the related consolidated  statements  of  operations, changes in
stockholders' equity, and cash flows for each of the two years in the period
ended April 30, 2001. These financial statements are the responsibility of
the  Company's management.   Our responsibility  is to express an opinion on
these financial statements based on our audits.

We  conducted  our  audits in accordance with auditing standards generally
accepted in the United States.  Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the financial
statements are  free of  material  misstatement. An audit includes examining,
on a test  basis, evidence supporting the amounts and disclosures in the
financial statements. An audit also includes assessing the accounting
principles used and significant estimates made by management, as well as
evaluating the overall financial statement presentation. We believe our
audits provide a reasonable basis for our opinion.

In our opinion, such consolidated financial statements present fairly, in all
material  respects,  the  financial position of Monarch  Services, Inc.  and
Subsidiaries  as of April 30, 2001, and the results of their operations  and
their cash flows for each of the two years in the period ended April 30, 2001
in conformity with accounting principles generally accepted in the United
States.



/s/  Stegman & Company
------------------------
Stegman & Company
Baltimore, Maryland
June 15, 2001


Item 8.   CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING
          AND FINANCIAL DISCLOSURE

          NONE


                                PART III

     Information required in Part III, Items 9-12 is incorporated by
     reference to the  Company's  proxy  statement  to  be filed in
     connection with the 2001 Annual Meeting of Stockholders.


Item 9.   DIRECTORS,  EXECUTIVE OFFICERS, PROMOTERS AND CONTROL
          PERSONS, COMPLIANCE WITH SECTION 16(a) OF THE EXCHANGE
          ACT

          The information required by Item 9 is incorporated by
          reference from the information set forth under the heading
          "Election of Directors--Directors and Officers" and "Section
          16(A) Beneficial Ownership Reporting Compliance" in the
          Company's definitive proxy statement for its 2001 annual
          meeting of stockholders.

Item 10.  EXECUTIVE COMPENSATION

          The information required by Item 10 is incorporated by reference
          from the information set forth under the heading "Election of
          Directors--Executive Compensation" in the Company's definitive
          proxy statement for its 2001 annual meeting of stockholders.

Item 11.  SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND
          MANAGEMENT

          The information required by Item 11 is incorporated by reference
          from the information set forth under the heading "Ownership of
          Voting Securities--Principal Stockholders" in the Company's
          definitive proxy statement for its 2001 annual meeting of
          stockholders.

Item 12. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

          The information required by Item 12 is incorporated by reference
          from the information set forth under the heading "Election of
          Directors--Certain Relationships and Related Transactions" in
          the Company's definitive proxy statement for its 2001 annual
          meeting of stockholders.

Item 13.  EXHIBITS AND REPORTS ON FORM 8-K
          (a) Listing of Exhibits:
            3.(a) The Company's Articles of Incorporation dated
                  September 22, 2000 (incorporated by reference
                  to Exhibit 3A.1  to the Company's Form 8-K
                  filed December 29, 2000).

              (b) The Company's Articles Supplementary dated
                  December 21, 2000 (incorporated by reference
                  to Exhibit 3A.2 to the Company's Form 8-K
                  filed December 29, 2000).

              (c) The Company's By-Laws dated July 25, 2001
                  (filed herewith).

          10. (a) Lease Agreement dated July 2, 1973 between the
                  Company as Lessee and A. Eric Dott and Esther J.
                  Dott as lessors (incorporated by reference to
                  Exhibit 10(a) to the Company's Form 10-KSB for
                  the fiscal year ended April 30, 1995).

              (b) Lease renewal and Amendment of Lease Agreement
                  dated July 1, 1983 between the Comapany and A.
                  Eric Dott and Esther J. Dott, renewing and
                  amending terms of the Lease Agreement in
                  Exhibit 10(a) (incorporated by reference to
                  Exhibit 10(b) to the Company's Form 10-KSB
                  for the fiscal year ended April 30, 1995).

              (c) Lease renewal and Amendment of Lease Agreement
                  dated July 1, 1997 between the Company and A. Eric
                  Dott and Esther J. Dott, renewing and amending
                  terms of the Lease Agreement in Exhibit 10(a)
                  (incorporated by reference to Exhibit 10(b) to
                  the Company's Form 10-QSB for the quarter ended
                  October 31, 1998).

              (d) Monarch Services, Inc. Omnibus Stock Plan incorporated
                  by reference to Ex. 4 to the Company's Form S-8
                  (file no. 333-31536) as filed with the Securities
                  and Exchange Commission on March 2, 2000.

              (e) Lease agreement dated November 1, 2001 between the
                  Company as Lessee and A. Eric Dott and Esther J.
                  Dott as Lessors (filed herewith).

           21.    Subsidiaries of the Registrant (filed herewith).

           23.1   Consent of Stegman & Company



                          S I G N A T U R E S

In  accordance  with Section 13 or 15(d) 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.



                                     MONARCH SERVICES, INC.




                                     By:  /s/    A. Eric Dott
                                          --------------------------
                                          A. Eric Dott, Chairman
                                                and Director

DATE: July 30, 2001
      -------------






In  accordance with the Securities Exchange Act of 1934, this report has been
signed below by the following persons on behalf of the registrant and in  the
capacities and on the dates indicated.



Date   July 30, 2001                     /s/     Jackson Y. Dott
     ----------------                    -------------------------------
                                         Jackson Y. Dott, President
                                        (Principal Executive Officer),
                                           Treasurer and Director


Date   July 30, 2001                     /s/    David F. Gonano
     ----------------                    -------------------------------
                                         David F. Gonano, Director



Date   July 30, 2001                     /s/   Helen Delich Bentley
     ----------------                    -------------------------------
                                         Helen Delich Bentley, Director



Date   July 30, 2001                     /s/   Kenneth C. Holt
     ----------------                    -------------------------------
                                         Kenneth C. Holt, Director



Date   July 30, 2001                     /s/    A. Eric Dott
     ----------------                    -------------------------------
                                         A. Eric Dott, Chairman and
                                            Director



Date   July 30, 2001                     /s/   Marshall Chadwell
     ----------------                    -------------------------------
                                         Marshall Chadwell, Controller
                                        (Principal Financial Officer),
                                         Principal Accounting Officer





                               EXHIBIT INDEX

Exhibit Number
--------------

      3        -        Bylaws dated July 25, 2001

     10.(e)    -        Lease agreement dated November 1, 2000 between
                        the Company as Lessee and A. Eric Dott and
                        Esther J. Dott as lessors

     21.       -        Subsidiaries of the Registrant

     23.1      -        Letter of Consent from Stegman & Company