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, 2004   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, $.001 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, 2004 are
$5,405,000.

      As of July 13, 2004, the aggregate market value of the Issuer's common
stock held by non-affiliates was $1,488,002.

      As of July 13, 2004, the number of shares outstanding of the Issuer's
common stock was 1,619,620.

                  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, 2004 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 "our", "we", "us" and "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, we established a wholly-owned subsidiary, Girls' Life, Inc. which
commenced substantial operations with the publication of Girls' Life magazine
in August 1994.

On October 27, 1998, we sold substantially all the assets of our 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, we closed our former printing and envelope division
due to increased losses as a result of the previous year's sale of the
games division.

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.

Our primary operations during fiscal 2004 were the publication of "Girls'
Life" magazine, the operation of "Adam Leaf and Bean" tobacco shop and
"Peerce's Plantation" restaurant, catering facility and bar. During fiscal
2002 we invested some resources and management effort in developing and
marketing Adam Magazine and Girls Life Living restaurant and analyzed the
feasibility of a discount cigarette and liquor store. After analysis of
the results of the first three issues of Adam Magazine and the performance
of Girls Life Living restaurant during its first seven months of operation,
the Board of Directors terminated the publication of Adam Magazine in June
2002 and closed the Girls Life Living restaurant in July 2002. After
analysis of the cigarette and liquor business plan, the Board made the
determination to focus our resources and management's effort on our core
business of Girls' Life Magazine and our new businesses of Adam Leaf & Bean
smoke shop and Peerce's Plantation restaurant and bar. Accordingly, we
did not pursue the cigarette and liquor store opportunity. The properties
that were acquired for the cigarette and liquor stores were sold during
fiscal 2003.

We are continually exploring new ways to expand our publishing operation
and diversify into other operations while using our established brand
name "Girls' Life".

Publishing Business

Girls' Life, Inc. publishes a bi-monthly magazine for young girls age ten to
fifteen.

"Girls' Life" is intended to be an intelligent, non-condescending and easy-
to-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 our publishing business are seasonal in nature. Girls' Life
magazine is published six times per year, normally two issues are published
in the second and fourth calandar quarters and one issue is published in
each of the first and third calandar quarters.

During fiscal 2001, we began exploring the feasibility of publishing "Adam",
a magazine for young men between the ages of 21 and 34.  Management decided
to proceed with the publication of the magazine and the February/March 2002
premiere issue went on the newsstand for sale in January 2002. The April/
May 2002 issue went on the newsstand for sale in March 2002 and the June/
July 2002 issue went on the newsstand for sale in May 2002.  "Adam" magazine
had no sales during the third quarter of fiscal 2002 and minimal sales
during the fourth quarter of fiscal 2002 and during the first quarter
of fiscal 2003. Despite some success in increasing the distribution of
"Adam" magazine through retail outlets, management was unable to generate
significant interest from advertisers due to what management believes was an
industry-wide slowdown in the demand for advertising in the United States.
Without advertising interest, management believed that "Adam" Magazine was
not viable at that time.  As a result, the publication of "Adam" Magazine
was terminated effective with the June/July 2002 issue.  The results of
"Adam" magazine are classified as discontinued operations in fiscal 2003.


Retail Business

During fiscal 2001, we leased a property adjacent to our headquarters
in Baltimore, Maryland.  We established 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.  "Girls
Life Living" started doing business in December 2001. Despite some success
in attracting the target market, the restaurant was unable to generate
significant or steadily increasing revenues in its first eight months of
operations.  Without increasing revenues, we determined that Girls Life
Living was not viable at that time.  As a result, we closed Girls Life
Living in July 2002. The gain realized from the disposal of assets and
improvements were classified as discontinued operations for fiscal 2003.
Assets that were not used in our other operations were classified as
held for sale as of April 30, 2002 and the realized loss reported in
fiscal 2003.

In June 2001, we purchased three adjoining parcels of real estate located
in Baltimore County, Maryland for $1.991 million in cash. The acquisition
included "Peerce's Plantation", a 350 seat fine dining restaurant, catering
facility and bar with liquor license, off premise sales, an adjoining 6,000
square-foot house and 14.74 acres with a horse stable zoned for residential
development. We considered various uses for the property which included
formal dining and entertainment. Renovations of Peerce's Plantation began
in the spring of 2002 and were completed in September 2003. Structural damage
in certain parts of the restaurant building were more extensive than we
originally believed and delayed our opening.  The restaurant and bar opened
for business on September 26, 2003. The catering part of the business began
scheduling weddings, business meetings and other catered parties early in
September 2003. The restaurant and catering menus are based on traditional
Maryland fare with a European flavor and prices for entrees and other items
were set to be competitive in the upscale restaurant market place in central
Maryland. As of April 30, 2004, we have capitalized approximately $1,015,000
in improvements and $345,000 in equipment for Peerce's Plantation in addition
to our initial purchase.

In November 2001, we opened "Adam Leaf and Bean", a tobacco shop selling
cigars, tobacco and smokers accessories.  The tobacco shop also included
a coffee shop and snack bar which sold coffee and food items.  In the
first quarter of fiscal year 2004, we closed the coffee shop and snack
bar.  We determined that the sales volume from the coffee shop and snack
bar did not justify the cost of labor needed to staff that part of the
business.  "Adam Leaf and Bean" sales for fiscal year 2004 did not meet
our expectations and we are considering strategic alternatives for the
business which may include moving the business when its current lease
expires in October 2004, selling the business to a third-party or
terminating the business.


MARKETING

Girls' Life magazine subscriptions are sold through traditional sources such
as direct-mail solicitation, insert cards and subscription agents.  The
magazine is also sold on newsstands and subscriptions can be obtained or
renewed through the internet on the Girls' Life website www.girlslife.com.
Newsstand copies are distributed nationally and internationally primarily
by Warner Publisher Services.

The subscription price of a one-year Girls' Life subscription is between
$14.95 and $17.85, however the amount realized by the Company is a small
portion of this amount if a subscription service is used. The suggested
newsstand price of a single issue of Girls' Life in the United States
is $3.50.

The average number of magazines sold for six issues during the twelve
months of fiscal year 2004 are set forth in the following table.

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

         Newsstand Sales                          60,000

         Subscription Sales                      300,000
                                               ----------
            Total Paid Circulation               360,000


         Complementary Copies                      1,000


The following table sets forth the average number of magazines sold in the
domestic and international markets for six issues during the twelve months
of fiscal year 2004.

    Geographic Distribution         Number of Magazines Sold
    -----------------------         ------------------------

         United States                     296,000

         International                       4,000



COPYRIGHTS AND TRADEMARKS

Our 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, 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 our results of operations.

Competition in the retail cigar industry is intense with numerous other
outlets for cigar sales located in the Baltimore, Maryland metropolitan
area competing for customers.  There is also competition from Internet-
based retailers.  There can be no assurance that we will be able to
compete successfully in the retail cigar industry and the failure to
do so may have a material adverse effect on our results of operations.

Competition in the upscale restaurant industry is intense with numerous
other restaurants located in the Baltimore, Maryland metropolitan area
competing for customers including individual and chain restaurants with
broader and better recognized names, greater experience, depth of
management and financial resources than we have.  These competing
restaurants may also have established reputations, rankings by restaurant
guides and other media and be supported by advertising campaigns.


EMPLOYEES

At April 30, 2004, we employed 94 executive, administrative, clerical,
maintenance, culinary and service personnel. Approximately 27 of our
employees work part-time.  None of our employees are represented by a
union. We believe our relations with our employees are good.


Item 2.  DESCRIPTION OF PROPERTY

We lease and own property at the following locations for the following
purposes:

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

2.  1407 York Road, Lutherville, Maryland 21093.  This property contains the
tobacco and coffee shop that operates under the name "Adam Leaf and Bean".
The property is leased through October 2004.

3.  12460 Dulaney Valley Road, Phoenix, Maryland 21131.  This property
contains the restaurant and bar that operates under the the name "Peerce's
Plantation".  It includes a recently renovated 300 seat restaurant with a
bar area and outbuildings housing an on-site apartment, storage areas and
administrative offices.  Management believes this property is suitable and
adequate for its use as a fine-dining restaurant. The federal tax basis
for this property is approximately $522,000. Depreciation is computed using
the straight-line method, at the rate of 2.5% of cost over an estimated
useful life of forty years. The realty tax rate for this property was 1.247
per $100 assessed of value for fiscal year 2004 resulting in a tax of $6,514.
Because of improvements to the property during fiscal year 2004, we estimate
that the realty tax cost for fiscal year 2005 will be approximately $16,500.
In the opinon of management, this property is adequately covered by insurance.
This property is owned by the Company.

4.  12450 Dulaney Valley Road, Phoenix, Maryland 21131.  This property
contains a 6,000 square foot luxury home that is currently zoned for
residental use.  This property may be used in the catering operations
of Peerce's Plantation Restaurant.  Management believes this property
is suitable and adequate for use in the catering operations of Peerce's
Plantation Restaurant.  The federal tax basis for this property is
approximately $688,000. Because the property is not currently being used
in the business, no depreciation expense has been charged to the current
fiscal year on this property. The realty tax rate for this property was
1.247 per $100 of assessed value for fiscal year 2004 resulting in a tax
of $8,576.  In the opinion of Management, this property is adequately
covered by insurance. This property is owned by the Company.

5.  14.74 acres of land, Dulaney Valley Road, Phoenix, Maryland 21131.
This property is currently zoned residential and abuts the luxury home
and restaurant property. The Company currently has no plans for the
improvement of this property.  This property is held for future
development in connection with any expansion of Peerce's Plantation
Restaurant and its catering operation or the development of businesses
that are complementary to Peerce's Plantation Restaurant.  The federal
tax basis for this property is approximately $309,000. The realty tax rate
for this property was 1.247 per $100 of assessed value for fiscal year 2004
resulting in a tax of $3,853. In the opinion of Management, this property
is adequately insured. This property is owned by the Company.

We lease the 4517 Harford Road property from A. Eric Dott who is the
Chairman and a major stockholder of the Company. Although not negotiated
at arms length, we believe the terms of the lease with Mr. Dott are
comparable to lease terms for like properties in the same geographic
area.


Item 3. LEGAL PROCEEDINGS

Companies in the publishing industry and the retail industries are, in the
ordinary course of business, made the subject of actions alleging copyright
infringement and other actions.  Such actions may allege large damages.
We have, on an infrequent basis, had such claims made against us.


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

Our common stock is traded on the Nasdaq SmallCap Market under the
symbol MAHI.  The number of stockholders of record on July 13, 2004
was approximately 514.

High and low closing sale prices for each quarter within the last
two fiscal years were:

                         Fiscal 2004                Fiscal 2003
Quarter                     Price                      Price
Ended                  High        Low            High        Low
                     -------     -------        -------     -------
July 31                1.36        1.01           2.35        1.60
October 31             1.61        1.20           2.00        1.35
January 31             1.50        1.21           1.40        1.20
April 30               2.75        1.26           1.32        1.10


Such prices reflect inter-dealer prices, without retail mark-up, mark-down
or commissions and may not represent actual transactions. We have not paid
any cash dividends since April 1987. Although the board of directors will
continue to consider the resumption of dividends, there can be no assurance
as to the timing or amount of any future dividends.


                   EQUITY COMPENSATION PLAN INFORMATION
----------------------------------------------------------------------------
                                                              Number of
                                                              securities
                                                              remaining
                              Number of                      available for
                             securities to    Weighted-     future issuance
                              be issued        average        under equity
                                upon           exercise       compensation
                             exercise of       price of          plans
                             outstanding     outstanding      (excluding
                               options         options         securities
                            warrants and       warrants       selected in
                               rights        and rights       column (a))
                                (a)              (b)              (c)
----------------------------------------------------------------------------
Equity compensation plans
approved by security
holders                       200,000          $ 3.25          100,000
----------------------------------------------------------------------------
Equity compensation plans
not approved by security
holders                         -0-              -0-              -0-
----------------------------------------------------------------------------

        Total                 200,000          $ 3.25          100,000
----------------------------------------------------------------------------


Item 5A. CERTAIN CAUTIONARY INFORMATION

In connection with the Private Securities Litigation Reform Act of 1995
(the "Litigation Reform Act"), we are hereby disclosing certain cautionary
information to be used in connection with written materials (including this
Report on Form 10-KSB) and oral statements made by or on behalf of our
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,
will, anticipate, estimate or continue or the negative thereof or other
variations thereon or comparable terminology.  You are 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 set forth below highlights some of the more important risks we
have identified, but should not be assumed to be the only factors that could
affect future performance. You are cautioned that we do not have a policy
of updating or revising forward-looking statements and thus you should not
assume that our silence over time means that actual events are bearing out
as estimated in such forward-looking statements.


COMPETITION

Competition in the publishing industry is intense with numerous other
publishers, 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 our results of operations.

Competition in the retail cigar industry is intense with numerous other
outlets for cigar sales located in the Baltimore, Maryland metropolitan
area competing for customers.  There is also competition from internet-
based retailers  There can be no assurance that we will be able to compete
successfully in the retail cigar industry and the failure to do so may
have a material adverse effect on our results of operations.

The fine dining sector of the restaurant industry in Maryland is intensely
competitive in pricing, service, location, personnel, and type and quality
of food.  We compete with national, regional and local organizations
primarily through the quality, variety and value perception of menu items.
The location of restaurants, quality and efficiency of service, attractiveness
of facilities and effectiveness of advertising and marketing programs are also
important factors. We anticipate that intense competition will continue in all
of these areas.  As a recently reopened restaurant, these issues may be even
more challenging for us than for our more established competition.


Economic, Market and Other Conditions

A protracted economic slowdown or worsening economy, industry-wide cost
pressures, or weak consumer demand could lead to sales declines and suppress
sales growth and profits for our retail and publishing businesses. The fine
dining sector of the restaurant industry is affected by changes in national,
regional and local economic conditions, the seasonality of our business,
consumer preferences, including changes in consumer tastes and the level of
consumer acceptance of our restaurant concept, consumer spending patterns,
demographic trends, weather, traffic patterns, and the type, number and
location of competing restaurants. Economic conditions also have a substantial
impact on the advertising budget of the advertising customers of our publishing
business.

Inflation and Availability of Food, Labor, Utilities, Insurance, Media, and
Other Costs

The profitability of Peerce's Plantation depends significantly on our
ability to anticipate and react to changes in the price and availability of
food, labor, utilities, insurance (including workers' compensation, general
liability, health, and directors and officer's liability insurance),
advertising, media and marketing; employee benefits, and other costs over
which we may have little control. The price and availability of commodities,
including, among other things, shrimp, lobster and other seafood and various
meats, are subject to fluctuation and could increase or decrease more than
we expect. We are subject to the general risk of inflation, and possible
shortages or interruptions in supply caused by inclement weather or other
conditions that could adversely affect the availability and cost of the
items we buy.  Labor shortages, increased employee turnover and higher
minimum wage rates all could raise our cost of doing business. Our business
also is subject to the risk of litigation by employees, consumers and
suppliers or others that may result in additional costs. There can be no
assurance that management will be able to anticipate and react to these
cost issues without a material adverse effect on our profitability and
results of operations.

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


Government Regulation

We are subject to various federal, state and local laws affecting our
business.  Our restaurant is subject to zoning, land use, environmental,
traffic and other regulations.  We are also subject to licensing and
regulation by state and local departments relating to health, liquor
licenses, sanitation and safety standards, federal and state labor laws
(including applicable minimum wage requirements, overtime, working and
safety  conditions, and citizenship requirements), federal and state laws
which prohibit discrimination and other laws regulating the design and
operation of facilities, such as the Americans With Disabilities Act of
1990. We cannot predict the effect on our operations of these laws and
regulations or the future enactment of additional legislation regulating
these and other areas.


CAUTIONARY LANGUAGE REGARDING NEW BUSINESS LINES

We are currently working on certain new lines of business including the
the upscale family restaurant called "Peerce's Plantation". As disclosed
below under the caption "Results of Operations," we have invested a portion
of our capital in developing these new business lines and we expect to
continue investing our capital in exploring these and other business lines
in the future.  As we commence or continue operations with these new
business lines, we expect that they will require additional 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 marketing or other studies of the viability of these or other
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 "Peerce's Plantation" 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

We have reported losses from continuing operations in four of the past
five years and net losses 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.


LIMITED MARKET FOR GIRLS LIFE MAGAZINE

The Girls' Life magazine is targeted to girls ages ten to fifteen.  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 approximately
41% 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.


ANNUAL MEETING

The 2004 Annual Meeting of Stockholders is currently scheduled to be held
at 10 A.M. on October 27, 2004, at Peerce's Plantation, 12460 Dulaney
Valley Road, Phoenix, Maryland 21131.



Item 6.   MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
            CONDITION AND RESULTS OF OPERATIONS

We have three operating subsidiaries. Girls' Life, Inc., publishes a
magazine, Adam Leaf and Bean, Inc. sells tobacco and related products
on a retail basis and Peerce's Plantation operates a restaurant, catering
facility and bar open to the general public.  Peerce's Plantation began
doing business in the quarter ended October 31, 2003.

The revenues of Girls' Life, Inc. are seasonal in nature.  Girls' Life
magazine is published six times per year.  Our typical publication
schedule usually results in the accrual of revenues for one issue in the
first and third quarters of the fiscal year and the accrual of revenues
for two issues in the second and fourth quarters of the fiscal year.  The
publication schedule is subject to revision without notice.

We believe that the revenues of Peerce's Plantation Restaurant will be
seasonal in nature.  Because the restaurant has not been open for a full
year, we have not directly experienced seasonality.  However, the
experience of our management team suggests that fine dining restaurants
are particularly popular during the November/December holiday season
and are less popular during the winter months of January through March.
Also, we expect our catering department, a substantial portion of whose
business consists of weddings and holiday parties, also will be seasonal
with above average business in the November/December holiday season and
during the spring and summer wedding season but below average business
in the winter months of January through March.  Because we have no direct
experience of seasonality with respect to Peerce's Plantation restaurant,
we can provide no assurance that the business is seasonal or that if it
is seasonal, its seasonality will follow the trends described above.

Adam Leaf and Bean sales for fiscal year 2004 did not meet our expectations
and we are considering strategic alternatives for the business which may
include moving the business when its current lease expires in October 2004,
selling the business to a third-party or terminating the business.

For the purpose of management's discussion of the results of operations
of fiscal 2004 compared to fiscal 2003, references to fiscal 2004 are to
the 12 months ending April 30, 2004, and references to fiscal 2003 are to
the 12 months ending April 30, 2003.


RESULTS OF OPERATIONS FISCAL 2004 COMPARED TO FISCAL 2003

Publishing sales of Girls' Life decreased $66,000, or 2%, to $3,767,000 in
fiscal year 2004 from fiscal year 2003.  The net decrease in sales relates
primarily to a decrease in subscription revenue and decreased revenue from
editorial services to third parties. This was partially offset by an
increase in advertising and newsstand revenue. Subscription revenue
decreased by $161,000 to $1,746,000 in fiscal year 2004 from fiscal year
2003. The net decline in subscription revenue is attributable to lower
remittances from subscription agencies and a decrease in direct mail efforts
during fiscal year 2004.  Advertising revenue increased by $81,000, or 10%,
to $893,000 in fiscal year 2004 from fiscal year 2003. We believe that
advertising revenue in the first two quarters of fiscal year 2004 was
adversely affected by an industry-wide decline in the demand for advertising
due to the economic slowdown in the United States.  We also believe that the
increase in advertising revenue in the last two quarters of fiscal year 2004
was affected by the current recovering economy. Newsstand revenue increased
by $74,000, or 17%, to $512,000 in fiscal year 2004 from fiscal year 2003.
The net increase in newsstand revenue is attributed to the increased number
of Girls' Life magazines being sold due to the addition of major regional
and national chain retailers. Revenue from editorial services from third
parties decreased by $106,000, or 19%, to $466,000 in fiscal year 2004
from fiscal year 2003.  The decrease in revenue from editorial services
relates primarily to providing fewer editorial services to third parties
in fiscal 2004 compared to fiscal 2003.

Sales of the retail operations, Adam, Leaf and Bean tobacco shop, decreased
$48,000, or 8%, in fiscal year 2004 from fiscal year 2003 primarily due to
decreased sales of $48,000 in smokers accessories and decreased sales of
$48,000 due to the closing of the coffee shop in the fist quarter of fiscal
2004 partially offset by an increase in the sales of cigars. Management had
determined that the sales volume did not justify the cost of labor needed to
staff the coffee operations. Sales of coffee, drinks and food decreased 88%
in fiscal year 2004 compared to fiscal year 2003. Cigar sales increased
$48,000 or 11%, to $482,000 in fiscal year 2004 from fiscal year 2003.
Adam Leaf and Bean sales for fiscal year 2004 did not meet our expectations
and we are considering strategic alternatives for the business which may
include moving the business when the current lease expires in October 2004,
selling the business to a third-party or terminating the business.

Sales for the restaurant, Peerce's Plantation, which opened for business on
September 26, 2003, were $1,083,000 in fiscal year 2004. There were no sales
in fiscal 2003.

Combined sales for publishing, the retail operation and the restaurant
increased $969,000 or 22%, to $5,405,000 for fiscal year 2004 from fiscal
year 2003. The increase in combined sales relates primarily to the sales
from Peerce's Plantation in the amount of $1,083,000 offset by the decrease
in Girls' Life sales in the amount of $66,000 and the decrease in Adam, Leaf
and Bean sales in the amount of $48,000.

Total cost of goods sold, as a percent of total sales was 95% in fiscal year
2004 compared to 94% in fiscal year 2003.

Cost of goods sold for publishing, as a percent of sales was 88% in fiscal
year 2004 compared to 90% in fiscal year 2003. The percentage decrease in
the cost of goods sold for publishing was primarily attributable to
decreased costs in labor and shipping and delivery fees.

Cost of goods sold for Adam Leaf and Bean sales, as a percent of sales was
99% in fiscal year 2004 compared to 115% in fiscal year 2003. The percentage
decrease in cost of goods sold for Adam, Leaf and Bean was primarily
attributable to decreased labor, inventory and other costs associated with
the closing of the coffee shop in the first quarter of fiscal 2004.

Cost of goods sold for Peerce's Plantation, as a percent of sales was 116%
in fiscal 2004.  The high percentage was primarily due to the opening of
the restaurant late in the second quarter of fiscal 2004.  Costs of goods
sold include labor for a full staff, training and other expenses associated
with the opening of the restaurant.  All pre-opening costs incurred
during the quarter ended July 31, 2003 were classified as selling, general
and administrative expenses.  Peerce's Plantation opened for business on
September 26, 2003.

Cost of goods sold includes certain direct overhead costs that are fixed and
do not fluctuate as a result of the sales volume.  Certain other costs are not
fixed and do fluctuate with the sales volume.  As sales increase, we expect
the fixed costs to decrease as a percentage of sales.

Total selling, general and administrative expenses for the Company and it's
three subsidiaries as a percentage of sales were 27% in fiscal year 2004
compared to 38% in fiscal year 2003. Selling, general and administrative
expenses decreased $200,000 to $1,680,000 primarily due to the net result
of decreased costs in promotional, salary and outside services expenses
offset by increases in depreciation, office and computer and other expenses.

Selling, general and administrative expenses for Girls' Life as a percentage
of sales were 14% in fiscal year 2004 compared to 17% in fiscal year 2003.
Expenses decreased $158,000 to $510,000 primarily due to the net result of
decreased costs in promotional and salaries expenses offset by an increase in
office and computer expenses. Promotional and salary expenses for Girls' Life
decreased $163,000, or 31%, for fiscal year 2004 compared to fiscal year 2003.
Selling, general and administrative expenses for Adam Leaf and Bean as a
percentage of sales were 9% in fiscal year 2004 compared to 8% in fiscal year
2003.  Expenses increased $4,000 to $50,000 primarily due to the net result
of increased costs in taxes and insurance expenses offset by a decrease in
office and computer expenses.  Selling, general and administrative expenses
for Peerce's Plantation as a percentage of sales were 22% in fiscal year 2004.
Expenses decreased $4,000 to $237,000 in fiscal year 2004 compared to fiscal
year 2003.  All expenses were classified as selling, general and administrative
expenses in fiscal year 2003.  Peerce's Plantation had no sales in fiscal year
2003.  Selling, general and administrative expenses for the Company decreased
$42,000 to $684,000 in fiscal year 2004 compared to fiscal year 2003. The
decrease was primarily due to decreased costs in outside services and
utilities, taxes and insurance offset by increases in salaries and fringe
benefits and maintenance and rent expenses.  We anticipate that compliance
with provisions of the Sarbanes-Oxley Act of 2002, including Section 404
relating to audits or our internal controls, will increase our general
and administrative costs in future periods.

Revenues and costs associated with "Adam" magazine and "Girls' Life Living"
food court have been classified as discontinued operations for fiscal year
2003. There were no revenues or costs associated with "Adam" magazine and
"Girl's Life Living" food court for fiscal year 2004.

Other income decreased $55,000 in fiscal year 2004 to $93,000 from $148,000
in fiscal year 2003. The fiscal year 2004 decrease was primarily due to the
decrease in interest income in the amount of $51,000 as a result of lower
balances of cash invested in certificates of deposit and lower interest rates.

As a result of the Job Creation and Worker Assistance Act of 2002 (the "2002
Act") that was signed by President Bush in March 2002, entities with net
operating losses are allowed to carryback those losses five years.  Prior
to the 2002 Act, loss carrybacks were only permitted for two years.  We
have only recorded tax benefits to the extent carryback claims are available
and have not recorded any tax benefit associated with the future realization
of operating losses. These carryback claims are for federal income tax
purposes only. Income tax benefits attributable to continuing operations
was $0 for 2004 compared to $259,000 for 2003.  The income tax benefit
associated with discontinued operations was $0 for 2004 and $7,000 for
2003.  The Company's effective rate for the fiscal year 2003 was (20)%.

Income tax benefits recognized in the financial statements for 2003 were
to the extent that the Company had carryback claims available. We have
exhausted all available federal carryback claims and have a state carryback
claim in the amount of $16,000 as of April 30, 2004.

We had approximately $3.2 million in federal net operating loss carryforwards
as of April 30, 2004.  These loss carryforwards expire in 2022 and through
2024. Realization depends on generating sufficient taxable income before
the expiration of the loss carryforward periods.  Deferred tax assets are
recognized for future deductible temporary differences and tax loss
carryforwards if their realization is "more likely than not".  Accordingly,
a valuation allowance has been established for the entire net deferred tax
assets.  The amount of loss carryforward available for any one year may be
limited if we are subject to the alternative minimum tax.


APPLICATION OF CRITICAL ACCOUNTING POLICIES

These consolidated financial statements are prepared in accordance with
accounting principles generally accepted in the United States.  Application
of these principles requires management to make estimates, assumptions,
and judgments that affect the amounts reported in the financial statements
and accompanying notes.  These estimates, assumptions, and judgments are
based on information available as of the date of the financial statements;
accordingly, as this information changes, the financial statements could
reflect different estimates, assumptions, and judgments.  Certain policies
inherently have a greater reliance on the use of estimates, assumptions,
and judgments and as such have a greater possibility of producing results
that could be materially different than originally reported. We believe
that our most critical accounting policies relate to revenue and expense
recognition associated with magazine subscriptions.  We currently recognize
income on magazine subscriptions over the expected life of the subscription.
Costs incurred to attract new subscribers are expensed as incurred.


LIQUIDITY AND SOURCES OF CAPITAL

At April 30, 2004, we had cash and cash equivalents of approximately $155,000
a decrease of $369,000 compared to cash and cash equivalents at April 30,
2003. We received $903,000 in cash from the redemptions of certificates of
deposit during fiscal 2004. As of April 30, 2004, we had investments in
certificates of deposit in the amount of $1,687,000. As we enter into new
lines of business there results a need for greater capital investment.

We experienced a net decrease in our accounts receivable of $146,000 from
last year primarily due to a decrease in receivables from third parties,
the write off of bad debts in the amount of $22,000 and a decrease in
newsstand receivables. Prepaid expenses increased $156,000 compared to the
prior year primarily because of prepaid postage and prepaid printing
expenses for Girls' Life and prepaid insurance for our three operating
subsidiaries. Deferred subscription revenue decreased compared to the prior
year primarilary because deferred subscription revenue is affected by the
timing of renewals, which are also affected by the timing of direct mail
advertising.

At April 30, 2004, we had no debt with third-party lenders.

During fiscal 2004, cash and cash equivalents ranged from approximately
$524,000 to $155,000. Our 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 our liquidity and capital needs
for the next 12 months.


IMPACT OF INFLATION AND CHANGING PRICES

The profitability of Peerce's Plantation depends significantly on our
ability to anticipate and react to changes in the price and availability of
food, labor, utilities, insurance (including workers' compensation, general
liability, health, and directors and officer's liability insurance),
advertising, media and marketing; employee benefits, and other costs over
which we may have little control. The price and availability of commodities,
including, among other things, shrimp, lobster and other seafood and various
meats, are subject to fluctuation and could increase or decrease more than
we expect. We are subject to the general risk of inflation, and possible
shortages or interruptions in supply caused by inclement weather or other
conditions that could adversely affect the availability and cost of the
items we buy.  Labor shortages, increased employee turnover and higher
minimum wage rates all could raise our cost of doing business.  Our
business also is subject to the risk of litigation by employees, consumers
and suppliers or others that may result in additional costs. There can
be no assurance that management will be able to anticipate and react to
these cost issues without a material adverse effect on our profitability
and results of operations.

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

<TABLE>
Item 7.     FINANCIAL STATEMENTS

Consolidated Statement of Financial Condition
<CAPTION>
------------------------------------------------------------
April 30,                                          2004
------------------------------------------------------------
                                             (000's Omitted)
<S>                                              <C>
ASSETS

CURRENT ASSETS
   Cash and cash equivalents                     $   155
   Accounts receivable, net                          233
   Marketable securities available
       for sale, net                                  38
   Inventory                                         153
   Prepaid publishing expenses                       135
   Other prepaid expenses                             75
   Other current assets                               16
                                                 -------
        TOTAL CURRENT ASSETS                         805




Certificates of deposit                            1,687
                                                 -------
PROPERTY AND EQUIPMENT
   Machinery, equipment, furniture and
      fixtures                                       820
   Leasehold improvements                            367
   Restaurant buildings and improvements           2,461
                                                  -------
                                                   3,648
   Less accumulated depreciation                    (697)
                                                  -------
                                                   2,951
   Land                                              321
                                                  -------
        TOTAL PROPERTY AND EQUIPMENT - NET         3,272
                                                  -------
   Trademarks - net                                    8
   Liquor license                                    200
                                                  -------
                    TOTAL ASSETS                 $ 5,972
                                                  =======

LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES
   Accounts payable                               $  388
   Accrued expenses                                   91
   Catering advance payments                          27
   Deferred gift card revenue                         43
                                                  -------
        TOTAL CURRENT LIABILITIES                    549
                                                  -------
Deferred subscription revenue                      1,503
                                                  -------
        TOTAL LIABILITIES                          2,052
                                                  -------
STOCKHOLDERS' EQUITY
   Common Stock-par value $.001 per share:
      Authorized - 10,000,000 shares;
      shares outstanding 1,619,620                     2
   Additional paid in capital                      3,781
   Retained earnings                                 141
   Accumulated other comprehensive income (loss)      (4)
                                                  -------
                   TOTAL STOCKHOLDERS' EQUITY      3,920
                                                  -------
   TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY     $5,972
                                                  =======
<FN>
<F1>
See Notes to Consolidated Financial Statements.
</FN>
</TABLE>
<PAGE>
<TABLE>
Item 7.             FINANCIAL STATEMENTS (Continued)

Consolidated Statements of Operations
<CAPTION>
-----------------------------------------------------------------------
Years Ended April 30,                            2004        2003
-----------------------------------------------------------------------

                               (000's Omitted, except share information)
<S>                                          <C>           <C>
Net Sales - publishing                       $  3,767       $  3,833
Net Sales - retail                                555            603
Net Sales - restaurant                          1,083              0
                                               ----------------------
                                                5,405          4,436

Cost of goods sold - publishing                 3,323          3,467
Cost of goods sold - retail                       551            691
Cost of goods sold - restaurant                 1,256              0
                                               ----------------------
                                                5,130          4,158
                                               ----------------------
Gross profit from continuing
   operations                                     275            278
                                               ----------------------
Selling, general and administrative
   expenses                                     1,480          1,680
                                               ----------------------
Loss before other income and
   income taxes                                (1,205)        (1,402)

Other income:
   Investment and interest income                  92            143
   Other                                            1              5
                                               ----------------------
                                                   93            148
                                               ----------------------
Loss from continuing operations
   before income tax benefit                   (1,112)        (1,254)

Income tax expense (benefit)                        0           (259)
                                               ----------------------
Net loss from continuing operations            (1,112)          (995)

Discontinued Operations:

   Operating loss from "Adam" magazine
      (net of income tax benefit of
      ($7) for the year ended April 30,
       2003                                         0            (27)

   Gain on disposal of assets from
      "Girls Life Living" (net of
      income tax expense of $3 for
      the year ended April 30, 2003                 0             13

   Loss on assets held for sale
      (net of tax benefit of $3)
       for the year ended April
       30, 2003.                                    0            (11)

                                              -----------------------
Loss from discontinued operations                   0            (25)
                                              -----------------------
Net loss                                     $ (1,112)      $ (1,020)
                                              =======================
Net loss per common share -
      basic and diluted:

Loss from continuing
     operations per share                    $   (.69)      $  (.61)

Loss from discontinued operations                   -          (.02)
                                             -----------------------
Net loss per common share -
      basic and diluted                      $   (.69)      $  (.63)
                                             =======================
Weighted average number of shares
     outstanding - basic                     1,619,620     1,619,620
                                             -----------------------
Weighted average number of shares
     outstanding - diluted                   1,619,620     1,619,620
                                             -----------------------
<FN>
<F1>
See Notes to Consolidated Financial Statements.
</FN>
</TABLE>
<PAGE>
<TABLE>

Item 7.                FINANCIAL STATEMENTS (Continued)

Consolidated Statements of Changes in Stockholders' Equity
<CAPTION>
------------------------------------------------------------------
Years Ended April 30, 2004 and 2003
------------------------------------------------------------------

                   (000's omitted, except shares outstanding data)

                                              Accumulated
                           Additional            Other        Total
                    Common  Paid in  Retained Comprehensive Stockholders'
                    Stock   Capital  Earnings Income (loss)   Equity
                  --------- -------  --------  ------------ ------------
<S>                <C>     <C>      <C>       <C>            <C>

Balance,
April 30, 2002     $   2  $ 3,781  $ 2,273   $     (9)     $  6,047

Other comprehensive
income - unrealized
loss on marketable
securities avail-
able-for sale                            -                        -

Net loss                            (1,020)                  (1,020)
                                                            --------
Total comprehensive
   income (loss)                                             (1,020)
                   -----  -------  -------   ---------      --------
Balance,
April 30, 2003     $   2  $ 3,781  $ 1,253   $     (9)    $   5,027

Other comprehensive
income - unrealized
gain on marketable
securities avail-
able-for sale                                       5             5

Net loss                            (1,112)                  (1,112)
                                                            --------
Total comprehensive
   income (loss)                                             (1,107)
                   -----  -------  -------   ---------      --------
Balance,
April 30, 2003     $   2  $ 3,781  $   141   $     (4)    $   3,920
                   =================================================

Average Shares Outstanding:  April 30, 2004    1,619,620
                             April 30, 2003    1,619,620


<FN>
<F1>
See Notes to Consolidated Financial Statements.
</FN>
</TABLE>
<PAGE>
<TABLE>

Item 7.               FINANCIAL STATEMENTS (Continued)

<CAPTION>
Consolidated Statements of Cash Flows
---------------------------------------------------------------------
Years Ended April 30,                             2004         2003
---------------------------------------------------------------------
                                                 (000's Omitted)
<S>                                           <C>            <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
 Net loss                                      $ (1,112)    $ (1,020)
   Adjustments to reconcile net loss
   to net cash used by operating
   activities:
     Depreciation and amortization                  128           58
     Gain on disposal of assets, net                  0           (2)
     Bad debt expense                                22           18
     Deferred income taxes                            0         (230)
     Increase/decrease in operating
       assets and liabilities:
        Accounts receivable, gross                  124           51
        Inventory                                    48           50
        Prepaid expenses                           (156)          63
        Accounts payable                            127         (138)
        Accrued expenses                              9            5
        Income taxes receivable                       0          277
        Deferred subscription revenue                21           86
        Deposits held in escrow                      63            7
                                                 --------------------
Total cash used by operating activities            (726)        (775)
                                                 --------------------

CASH FLOWS FROM INVESTING ACTIVITIES:
  Proceeds from sale of assets                       22          137
  Purchases of property and equipment              (567)        (794)
  Trademark costs                                    (1)          (2)
  Maturity/redemption of certificates
     of deposit                                     903        2,079
                                                 --------------------
    Total cash provided by
      investing activities                          357        1,420
                                                 --------------------
NET (DECREASE) INCREASE IN CASH AND
    CASH EQUIVALENTS                               (369)         645

CASH AND CASH EQUIVALENTS (OVERDRAFT)
  BEGINNING OF YEAR                                 524         (121)
                                                 --------------------
CASH AND CASH EQUIVALENTS
  END OF YEAR                                  $    155     $    524
                                                =====================

<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., Adam Leaf and Bean, Inc. Peerce's Plantation, Inc. and
the discontinued Adam Magazine and Girls Life Living, Inc. ("collectively
the Company"). Consolidation has resulted in the elimination of all
significant intercompany balances and transactions. Certain reclass-
ifications have been made to amounts previously reported to conform with
the classifications made in 2004.  The limited sales and all costs of Adam
Magazine and Girls Life Living, Inc. have been reclassified as discontinued
operations for fiscal year 2003.

Monarch  Services, Inc. ("Monarch") on November 30, 2000, became a Maryland
corporation.  The Company was previously incorporated in the State of
Delaware.

Girls' Life, Inc. ("Girls' Life") was incorporated in December 1993 in the
State  of  Maryland and publishes a magazine for girls age ten to fifteen.
Magazines are sold nationally and internationally through distributors and
directly by Girls' Life through one, two and three year subscriptions.

Girls Life Living, 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 called "Girls Life Living".  "Girls Life Living"
started doing business in December 2001.  Effective July 2002, "Girls Life
Living" food court was closed.  All sales and costs associated with "Girls
Life Living" have been reclassified as Discontinued Operations for the
fiscal year 2003.

Adam Leaf and Bean, Inc. was incorporated on June 11, 1997 in the State of
Maryland.  "Adam Leaf and Bean", a tobacco shop, started doing business in
December 2001.

Adam Magazine, 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".  Subsequent to the June/July
2002 issue of "Adam" magazine that went on sale in May 2002, the publication
of Adam Magazine was terminated.  All sales and costs associated with "Adam"
Magazine have been reclassified as Discontinued Operations for the fiscal
year 2003.

Peerce's Plantation GL, LLC was incorporated on June 19, 2001 in the State
of Maryland.  "Peerce's Plantation", an upscale restaurant, catering facility
and bar, started doing business on September 26, 2003.

USE  OF ESTIMATES: The preparation of financial statements in conformity
with accounting  principles generally accepted in the United States of
America 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.  Deferred subscription revenue
represents amounts collected for subscriptions of the magazine not
yet issued.  Costs incurred to attract new subscribers are expensed
as incurred.

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.  Services for publishing and editing are also included in accounts
receivable.  Adam Leaf and Bean sells tobacco products to the general public
and Peerce's Plantation sells food and alcoholic beverages as cash or credit
card sales.  Peerce's Plantation also offers catering services to the general
public.  Accounts receivable are charged-off when management determines that
the collection becomes unlikely.

INVENTORIES: Inventories are valued at the lower of cost or market.

TRADEMARKS: Direct costs associated with obtaining trademarks 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").  We have classified
our 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 2004.

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:  We provide 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. 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. Income tax benefits are recognized to the extent that carryback
claims are available.

EARNINGS  PER  SHARE: Basic income (loss) per share is computed by dividing
net income (loss) available to common stockholders by the weighted average
number of common shares outstanding during the year.  Diluted income (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:  we apply APB Opinion No. 25
and related interpretations in accounting for stock based compensation
arrangements. Accordingly, no compensation expense 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" and SFAS No. 148 "Accounting for Stock-Based
Compensation  - Transition and Disclosure".  No stock-based employee
compensation cost is reflected in the statement of operations, as all
options granted under those plans had an exercise price equal to the
market value of the underlying common stock on the date of grant.  The
following table illustrates the effect on net loss and net loss per share
if we had applied the fair value recognition provisions of SFAS No. 123,
"Accounting for Stock-Based Compensation", to stock-based employee
compensation for the two years ended April 30.

(In thousands, except per share data)                  2004       2003
-----------------------------------------------------------------------
Net loss, as reported                              $ (1,112)  $ (1,020)
Less proforma stock-based employee compensation
  expense determined under fair value based
  method, net of related tax effects                     (5)      (106)
                                                   --------------------
Pro forma net loss                                 $ (1,117)  $ (1,126)

Net loss per share:
  Basic - as reported                              $  (0.69)   $ (0.63)
  Basic - pro forma                                $  (0.69)   $ (0.70)
  Diluted - as reported                            $  (0.69)   $ (0.63)
  Diluted - pro forma                              $  (0.69)   $ (0.70)

RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS

In November, 2003, the Emerging Issues Task Force ("EITF") reached a
consensus on Issue 03-01, "The Meaning of Other-Than-Temporary Impairment
and Its Application to Certain Investments," as it relates to disclosures
of SFAS No. 115 securities.  In addition to the disclosures already
required by SFAS No. 115, EITF Issue 03-01 requires both quantitative
and qualitative disclosures for marketable equity and debt securities.
The new disclosure requirements are required to be applied to financial
statements for fiscal years ending after December 15, 2003.  Adoption
of EITF 03-01 did not materially impact the Company's consolidated
financial statements.


NOTE B - DISCONTINUED OPERATIONS:

DISCONTINUED PUBLICATION OF ADAM MAGAZINE:

Subsequent to the June/July 2002 issue of "Adam" magazine which went on
sale in May 2002, the Company terminated the publication of "Adam" Magazine.
All sales and costs associated with Adam magazine have been reclassified as
Discontinued Operations for the year ended April 30, 2003.  There weres no
sales or costs associated with Adam magazine for the year ended April 30,
2004.

Net sales and loss from discontinued operation of "Adam" magazine are as
follows (in thousands):

                                         Years Ended April 30,
                                           2004        2003
---------------------------------------------------------------------
Net sales                                 $   0       $   0

Loss from discontinued
   operations (net of tax)                    0         (27)


Estimated salary and other termination and exit costs were finalized
during the twelve months ended April 30, 2003 upon settlement of those
obligations.  This adjustment (net of tax) resulted in $27,000 of
expense to be recognized during the twelve months ended April 30, 2003.

DISCONTINUED OPERATIONS OF GIRLS LIFE LIVING:

Effective July 2002, "Girls Life Living" food court was closed.  All
sales and costs associated with Girls Life Living have been reclassified
as Discontinued Operations for the year ended April 30, 2003.  There
were no sales or costs associated with Girls Life Living for the year
ended April 30, 2004.

Net sales and gain on disposal of assets of "Girls Life Living" food court
is as follows (in thousands):

                                         Years Ended April 30,
                                            2004      2003
---------------------------------------------------------------------
Net sales                                 $    0      $  8

Gain on disposal of assets
   (net of tax)                                0        13


Based upon information available at the time, the Company estimated a loss
on the disposal of certain assets of $91,000 as of April 30, 2002.  Upon
actual disposition of the assets, an adjustment to the accrued loss resulted
in a gain of $13,000 (net of tax) to be recognized during the twelve months
ended April 30, 2003.


NOTE C - ACCOUNTS RECEIVABLE

Accounts receivable consist of the following at April 30, 2004 (in thousands):

Accounts Receivable - publishing     $  283
Accounts Receivable - retail              -
                                     -------
                                        283
Less:
  Allowance for doubtful accounts      ( 50)
                                     -------
      Accounts receivable, net       $  233
                                     =======

Bad debt expense charged to operations was $21,656 for the year ended
April 30, 2004 and $18,440 for the year ended April 30, 2003.


NOTE D - CERTIFICATE OF DEPOSIT

As of April 30, 2004, investments in a certificate of deposit consisted of
the following (in thousands):

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

       4.40%               11/20/06              $ 1,687
                                               ============

The certificate of deposit is in excess of federal insurance limits.


NOTE E - MARKETABLE SECURITIES AVAILABLE-FOR-SALE

At April 30, 2004, the cost and estimated fair value of marketable
securities, available-for-sale is as follows (in thousands):

                                Unrealized      Unrealized     Estimated
                       Cost       Gains            Loss        Fair Value
                     ------------------------------------------------------
Equity Securities      $ 48       $  -           $  10           $  38
                     ======================================================

The unrealized loss has been continous for more than 12 months.  The unrealized
losses that exist are the result of market changes since the original purchase.
This factor coupled with the fact the Company has both the intent and ability
to hold this investment for a period of time sufficient to allow for any
anticipated recovery in fair value substantiates that the unrealized losses
in the available-for-sale portfolio are temporary.

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,                                         2004      2003
-----------------------------------------------------------------------------

Federal income tax (benefit) expense at statutory rate        (34)%      (34)%
Non-deductible items                                            1          1
Limitation of previously unrecognized tax benefits
  due to availability of loss carryback claims                  -         13
Valuation allowance                                            33          -
                                                              ----       ----
                                                                0%       (20)%
                                                              ====       ====

The  deferred  tax  assets (liabilities) result from the following temporary
differences (in thousands):
--------------------------------------------------------------
April 30,                                           2004
--------------------------------------------------------------
Deferred tax assets:
  Financial statement accruals, net              $   11
  Allowances for accounts receivable                 19
  Unrealized loss on marketable securities
    available-for-sale                                4
  Net operating loss carryforward                 1,072
                                                 --------
       Total deferred tax assets                  1,106

       Vaulation allowance                       (1,093)

Deferred tax liabilities:
    Property and equipment                          (13)
                                                 --------
Net deferred tax assets                          $   -
                                                 ========

Income tax benefits in the financial statements for 2003 were recognized
to the extent that we had carryback claims available. The Company has
exhausted all available federal carryback claims and has a state carryback
claim in the amount of $16,000 as of April 30, 2004.

The Company had approximately $3,154,000 in federal net operating loss
carryforwards as of April 30, 2004.  These loss carryforwards expire between
2022 and 2024. Realization depends on generating sufficient taxable income
before the expiration of the loss carryforward periods.  Deferred tax assets
are recognized for future deductible temporary differences and tax loss
carryforwards if their realization is "more likely than not".  Accordingly,
a valuation allowance has been established for the entire net deferred tax
assets.  The amount of loss carryforward  available for any one year may
be limited if we are subject to the alternative minimum tax.

Cash payments for state income taxes were $0 and $16,238 for the years
ended April 30, 2004 and 2003, respectively.


NOTE G - PROFIT-SHARING PLAN

During fiscal year 2002, the original profit sharing plan was changed to a
401(k) defined contribution plan that allows employees to make contributions
to their individual 401(k) plan through payroll deductions.  The Company
made no contributions to the original profit sharing plan or the new 401(k)
plan in fiscal years 2004 and 2003.


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 our Board of Directors.  The Company has reserved
300,000 shares of common stock under the Omnibus Plan.

Options for 40,000, 10,000 and 200,000 shares of common stock were granted
during the years ended April 30, 2003, 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 following the date of grant.  Options for 10,000 relating
to the fiscal year April 30, 2001 grants and 40,000 relating to the fiscal
year April 30, 2000 grants were cancelled during the year ended April 30, 2004.


                              Stock Options
   -------------------------------------------------------------------------
                                     2004                  2003
   -------------------------------------------------------------------------
                                             Weighted              Weighted
                                    Number   Average      Number   Average
                                      of     Exercise       of     Exercise
                                    Shares    Price       Shares    Price

     Balance, beginning of year     250,000    $3.32      210,000    $3.73

     Granted                            -         -        40,000     1.20

     Cancelled                       50,000     3.63          -         -

     Exercised                          -         -           -         -
                                    -------               -------
     Balance, end of year           200,000    $3.25      250,000    $3.32
                                    =======               =======

     Weighted average fair value of
       options granted during the year         $ -                   $0.75
                                               =====                 =====



                             Options Outstanding       Options Exercisable
                             -------------------       -------------------
                             Weighted    Weighted                    Weighted
                     Number   Average     Average       Number        Average
    Range of           of    Remaining   Exercise         of         Exercise
    Exercise Price   Shares  Life(years)   Price        Shares         Price

        $3.58         80,000     .8        $3.58        80,000         $3.58
        $3.94         80,000     .8        $3.94        80,000         $3.94
        $1.20         40,000    1.3        $1.20        10,000         $1.20
                     -------                           -------
                     200,000     .9        $3.25       170,000         $3.61
                     =======                           =======


The fair value of the options granted that began to vest during 2004 and
2003 were estimated using the Black-Scholes option-pricing model and
used the following assumptions for the 2003 and 2002 grants:

                               2003 Grants    2002 Grants
                               -----------    -----------
Dividend yield                       0%             0%
Expected volatility                 75%            75%
Risk-free interest rate           2.72%          4.93%
Expected lives (in years)            5              5


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
Company generally must pay for property taxes, insurance and maintenance
costs related to the property. Total rental expense for 2004 and 2003 was
approximately $216,000 and $213,000, respectively.

The future annual minimum rental commitments for the current non-cancelable
operating leases as of April 30, 2004 are $144,000 annually through 2007 for
the office and warehouse facilities and $36,000 through October 2004 for the
tobacco and coffee shop facilities.

The office and warehouse facilities are leased through 2007 for approximately
$144,000 annually from the Chairman of the Company and a member of his family.
The tobacco shop facilities are leased through October 2004 for approximately
$73,000 annually.  The lease agreements provide for escalation of rent based
on certain indexes.

Expected lease payments under the above operating leases for the fiscal
years are as follows:
                                            2005    2006    2007
                                           ------  ------  ------
                                               (in thousands)

Property: Office and Warehouse             $ 144   $ 144   $ 144
Property: Tobacco shop                        73       -       -
                                           -----   -----   -----
      Total lease payments                 $ 217   $ 144   $ 144


LITIGATION: We are involved, from time to time, in legal actions arising
in our normal course of operations.


NOTE J - SEGMENT INFORMATION

The Company currently operates in three industry segments. Our primary
operations during fiscal years 2004 and 2003 was the publication of "Girls'
Life" magazine in the publishing segment and "Adam Leaf and Bean" tobacco
shop in the retail segment and Peerce's Plantation in the restaurant segment.


                   Segment Information for fiscal 2004
                   -----------------------------------
                          (in thousands)

                                 Publishing Retail Restaurant Other    Total

Revenues from external customers  $ 3,767   $ 555   $ 1,083  $   -   $ 5,405
Intersegment revenues                   -       -       -        -        -
Interest Income                         -       -       -        92       92
Depreciation and amortization          12      13      61        42      128
Segment profit (loss) before tax      (66)    (45)   (410)     (591)  (1,112)
Expenditures for segment assets         4       -     572        12      588


                   Segment Information for fiscal 2003
                   -----------------------------------
                          (in thousands)

                                 Publishing Retail Restaurant Other   Total

Revenues from external customers  $ 3,833   $ 603   $   -     $   -  $ 4,436
Intersegment revenues                   -       -       -         -        -
Interest Income                         -       -       -       143      143
Depreciation and amortization          18      13       -        27       58
Segment profit (loss) before tax     (302)   (135)   (240)     (577)  (1,254)
Expenditures for segment assets        11       5     740        40      796



Report of Independent Registered Public Accounting Firm

To the Audit Committee of the Board of Directors and the Stockholders
of Monarch Services, Inc.

We have audited the accompanying consolidated statement of financial
condition of Monarch Services, Inc. and Subsidiaries as of April 30,
2004 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, 2004. 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 the standards of the Public
Company Accounting Oversight Board (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, the consolidated financial statements referred to above
present fairly, in all material respects, the financial position of
Monarch  Services, Inc. and Subsidiaries as of April 30, 2004, and the
results of their operations  and their cash flows for each of the two
years in the period ended April 30, 2004 in conformity with accounting
principles generally accepted in the United States of America.


/s/  Stegman & Company
------------------------
Stegman & Company
Baltimore, Maryland
July 8, 2004



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

          NONE

Item 8A.  CONTROLS AND PROCEDURES

          AS of the end of the period covered by this annual report
          on Form 10-KSB, the Company's Chief Executive Officer and
          Chief Financial Officer evaluated the effectiveness of the
          Company's disclosure controls and procedures.  Based upon
          that evaluation, the Company's Chief Executive Officer and
          Chief Financial Officer concluded that the Company's
          disclosure controls and procedures are effective.  Disclosure
          controls and procedures are controls and other procedures
          that are designed to ensure that information required to be
          disclosed by the Company in the reports that it files or
          submits under the Securities Exchange Act of 1934, as
          amended, is recorded, processed, summarized and reported
          within the time periods specified in the Securities and
          Exchange Commission's rules and forms.

          In addition, there were no changes in the Company's internal
          controls over financial reporting (as defined in Rule
          13a-15 or Rule 15d-15 under the Securities Act of 1934,
          as amended) during the quarter ended April 30, 2004 that
          have materially affected, or are reasonably likely to
          materially affect, the Company's internal control over
          financial reporting.


ITEM 8B.  OTHER INFORMATION

          NONE

                                PART III

     Information required in Part III, Items 9-12 and 15 is incorporated
     by reference to the Company's proxy statement to be filed in
     connection with the 2004 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 2004 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 2004 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 2004 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 2004 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).

              (h) The Company's By-Laws dated July 25, 2001
                 (incorporated by reference to Exhibit 3 to
                  the Company's Form 10-KSB for the fiscal
                  year ended April 30, 2001).

          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 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-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.

           14.    Code of Ethics

           21.    Subsidiaries of the Registrant (incorporated
                  by reference to Exhibit 21 to the Company's
                  Form 10-QSB for the quarter ended October 31,
                  2002).

           23.    Consent of Stegman & Company.

           24.    Power of Attorney.

           31(a). Rule 13a-14(a)/15d-14(a) Certification (CEO).

           31(b). Rule 13a-14(a)/15d-14(a) Certification (CFO).

           32(a). Section 1350 Certification (CEO).

           32(b). Section 1350 Certification (CFO).



Item 14.   PRINCIPAL ACCOUNTANT FEES AND SERVICES

Audit and Non-Audit Fees

All audit related services, tax services and other services were pre-approved
by the Audit Committee, which concluded that the provision of such services
by Stegman & Company was compatible with the maintenance of that firm's
independence in the conduct of its auditing functions.

The Audit Committee charter requires that the Audit Committee pre-approve all
audit and non-audit engagement fees, and terms and services.  On an ongoing
basis, management communicates specific projects and categories of services
for which advance approval of the Audit Committee is required.  The Audit
Committee reviews these requests and advises management and the independent
auditors if the Audit Committee pre-approves the engagement of the
independent auditors for such projects and services.  On a periodic basis,
the independent auditors report to the Audit Committee the actual spending
for such projects and services compared to the approved amounts.  The Audit
Committee may delegate the authority to grant any pre-approvals to one or
more members of the Audit Committee, provided that such member reports any
pre-approvals to the Audit Committee at its next scheduled meeting.  The
Audit Committee has delegated pre-approval authority to the Chairman of
the Audit Committee.

The following table presents fees for professional services rendered by
Stegman & Company for the audit of Monarch Service's annual consolidated
financial statements for the years ended April 30, 2004 and 2003 and
fees for other services rendered by Stegman & Company during those
periods.

                                          Year ended April 30,

                                       2004                  2003
                                       ----                  ----

            Audit fees(1)           $ 39,150              $ 34,000
            Tax fees(2)                8,750                 9,650
            All other fees(3)              -                     -
                                    --------              --------
            Total fees              $ 47,900              $ 43,650
                                    ========              ========


(1) Audit Fees consist of fes billed for professional services rendered
    for the audit of the Company's consolidated annual financial statements
    and review of the interim consolidated financial statements included in
    the quarterly reports, and services that are normally provided by
    Stegman & Company in connection with statutory and regulatory filings
    or engagements.

(2) Tax Fees consist of fees billed for professional services rendered
    for federal and state tax compliance, tax advice and tax planning.

(3) All Other Fees consist of fees for services other than the services
    reported above.




                           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 29, 2004
       -------------


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 29, 2004                     /s/     Jackson Y. Dott
       -------------                     -------------------------------
                                         Jackson Y. Dott, President,
                                         Chief Executive Officer
                                        (Principal Executive Officer),
                                            and Director


Date:  July 29, 2004                     /s/    David F. Gonano
       -------------                     -------------------------------
                                         David F. Gonano, Director



Date:  July 29, 2004                     /s/    Trent Walklett
       -------------                     -------------------------------
                                         Trent J. Walklett, Director



Date:  July 29, 2004                     /s/    A. Eric Dott
       -------------                     -------------------------------
                                         A. Eric Dott, Chairman and
                                            Director



Date:  July 29, 2004                     /s/    Marshall Chadwell
       -------------                     -------------------------------
                                         Marshall Chadwell, Chief
                                         Financial Officer, Secretary
                                            and Treasurer
                                        (Principal Financial Officer),
                                         Principal Accounting Officer


EXHIBIT INDEX

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


     14        -        Code of Ethics
     23        -        Consent from Stegman & Company
     24        -        Power of Attorney
     31(a)     -        Rule 13a-14(a)/15d-14(a) Certification (CEO)
     31(b)     -        Rule 13a-14(a)/15d-14(a) Certification (CFO)
     32(a)     -        Section 1350 Certification (CEO)
     32(b)     -        Section 1350 Certification (CFO)