UNITED STATES SECURITIES AND EXCHANGE
COMMISSION

WASHINGTON, D.C. 20549
FORM 10-Q
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE
ACT OF 1934

|For the quarterly period ended: | June 30, 2002
|------------------------------- | -------------

OR
[   ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES
EXCHANGE ACT OF 1934

| | For the transition period from _______________ to
_________________
| | -------------------------------------------------------------------

Commission file number: 1-13563LASER MORTGAGE MANAGEMENT, INC.
(Exact name of registrant as specified in its charter)

|DELAWARE
(State or other jurisdiction of incorporation or
organization) | 22-3535916 
(I.R.S. Employer
Identification No.)
|----------------------------------------------------------------------- | ------------------------------------------------

c\o Mariner Investment Group, Inc.
780 Third Avenue, 16th Floor
New York, NY 10017
(Address of principal executive offices)
(Zip Code)
(212) 758-2024
(Registrant's telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all documents and
reports required to be filed by Section 13 or 15(d) of the Securities Exchange
Act of 1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days:

Yes  X      
 No  ____

Indicate the number of shares outstanding of each of the issuer's classes
of stock, as of the last practicable date: 14,038,983 shares of common stock,
$0.001 par value, outstanding as of August 1, 2002.

LASER MORTGAGE MANAGEMENT, INC.
FORM 10-Q
INDEX

|PART I.     FINANCIAL INFORMATION | 1
|--------------------------------- | -

| | Item 1.     Financial Statements | 1
| | -------------------------------- | -

| | Item 2.     Management's Discussion and
Analysis of Financial Condition and Results of Operations | 13
| | ------------------------------------------------------------------------------------------------- | --

| | Item 3.     Quantitative and Qualitative
Disclosures About Market Risk | 18
| | ---------------------------------------------------------------------- | --

|PART II.     OTHER INFORMATION | 19
|------------------------------ | --

| | Item 1.     Legal Proceedings | 19
| | ----------------------------- | --

| | Item 6.     Exhibits and Reports on
Form 8-K | 19
| | -------------------------------------------- | --

PART I.     FINANCIAL
INFORMATION

Item 1. Financial Statements

LASER Mortgage Management, Inc.

`----------------------------------------------------------------------------------------------------
                                                                            AS OF
STATEMENT OF NET ASSETS IN LIQUIDATION                       JUNE 30, 2002         DECEMBER 31, 2001
(LIQUIDATION BASIS)                                          (UNAUDITED)
----------------------------------------------------------------------------------------------------

ASSETS

Cash and cash equivalents..................................  $    19,464,581         $     2,960,185
Investment in securities...................................               --              15,305,268
Investment in mortgage loans...............................               --               2,004,114
Interest and principal paydowns receivable.................            3,096               1,649,692
                                                             ---------------         ---------------

  Total assets.............................................       19,467,677              21,919,259
                                                             ---------------         ---------------

LIABILITIES

Liabilities:
  Repurchase agreement.....................................               --               2,028,000
  Accrued interest payable.................................               --                  30,576
  Accounts payable and accrued expenses....................          472,862                 892,513
  Reserve for estimated liquidation costs..................          505,119                 524,937
                                                             ---------------         ---------------

  Total liabilities........................................          977,981               3,476,026
                                                             ---------------         ---------------

  Net assets in liquidation................................  $    18,489,696         $    18,443,233
                                                             ===============         ===============`

See notes to financial statements.

LASER Mortgage Management, Inc.

`----------------------------------------------------------------------------------------------------
STATEMENTS OF CHANGES IN NET ASSETS IN LIQUIDATION                          FOR THE
(LIQUIDATION BASIS) (UNAUDITED)                                   THREE                    SIX
                                                               MONTHS ENDED           MONTHS ENDED
                                                              JUNE 30, 2002           JUNE 30, 2002
----------------------------------------------------------------------------------------------------

Interest income:
  Securities and mortgage loans............................  $        43,981         $       174,757
  Cash and cash equivalents................................           84,602                 148,446
                                                             ---------------         ---------------
    Total interest income..................................          128,583                 323,203

Interest expense:
  Repurchase agreement.....................................            7,708                  19,662
                                                             ---------------         ---------------

Net interest income........................................          120,875                 303,541

Net gain on securities.....................................           78,202                 245,352

General and administrative expenses........................          229,785                 502,430
                                                             ---------------         ---------------

Net (decrease) increase in net assets in liquidation
from operating activities..................................          (30,708)                 46,463

Net assets in liquidation at beginning of period...........       18,520,404              18,443,233
                                                             ---------------         ---------------

Net assets in liquidation at end of period.................  $    18,489,696         $    18,489,696
                                                             ===============         ===============`

See notes to financial statements.

LASER Mortgage Management, Inc.

`----------------------------------------------------------------------------------------------------
STATEMENTS OF OPERATIONS                                                    FOR THE
AND COMPREHENSIVE INCOME                                    THREE MONTHS ENDED       SIX MONTHS ENDED
(GOING CONCERN BASIS) (UNAUDITED)                             JUNE 30, 2001            JUNE 30, 2001
----------------------------------------------------------------------------------------------------
Interest income:
  Securities and mortgage loans............................  $     1,658,776         $     6,758,202
  Cash and cash equivalents................................          253,838                 462,426
                                                             ---------------         ---------------
    Total interest income..................................        1,912,614               7,220,628

Interest expense:
  Repurchase agreements....................................          702,967               3,907,134
                                                             ---------------         ---------------

Net interest income........................................        1,209,647               3,313,494

Net realized loss on sale of securities....................       (1,900,461)             (4,194,146)

Net loss on interest rate agreement........................               --                (120,000)

General and administrative expenses........................          569,606               2,357,164
                                                             ---------------         ---------------

Net loss...................................................  $    (1,260,420)        $    (3,357,816)
                                                             ---------------         ---------------

Other comprehensive income:
  Unrealized net loss on securities:
  Unrealized holding loss arising during period............         (870,262)             (3,076,645)
  Add: reclassification adjustment for net realized loss
       included in net loss................................        1,900,461               4,194,146
                                                             ---------------         ---------------
  Other comprehensive income...............................        1,030,199               1,117,501
                                                             ---------------         ---------------
Comprehensive loss.........................................  $      (230,221)        $    (2,240,315)
                                                             ===============         ===============

Net loss per share:
  Basic....................................................  $         (0.09)        $         (0.24)
                                                             ===============         ===============

  Diluted..................................................  $         (0.09)        $         (0.24)
                                                             ===============         ===============

Weighted average number of shares outstanding:
  Basic....................................................       14,038,983              14,038,983
                                                             ===============         ===============

  Diluted..................................................       14,038,983              14,038,983
                                                             ===============         ===============`

See notes to financial statements.

LASER Mortgage Management, Inc.

`----------------------------------------------------------------------------------------------------
STATEMENTS OF CASH FLOWS                                                    FOR THE
(LIQUIDATION BASIS) (UNAUDITED)                             THREE MONTHS ENDED       SIX MONTHS ENDED
                                                               JUNE 30, 2002           JUNE 30, 2002
----------------------------------------------------------------------------------------------------

Cash Flows From Operating Activities
Net (decrease) increase in net assets in liquidation from
operating activities.......................................  $       (30,708)        $        46,463
Adjustments to reconcile net (decrease) increase in net
assets in liquidation from operating activities to net
cash used in operating activities:
Amortization of mortgage premiums..........................               --                  (8,766)
Net loss on securities.....................................               --                  33,614
Decrease in interest receivable............................              822                 315,182
Decrease in accrued interest payable.......................          (42,530)                (30,576)
Decrease in accounts payable and accrued expenses..........          (27,417)               (419,651)
Decrease in reserve for estimated liquidation costs........          (15,011)                (19,818)
                                                             ---------------         ---------------

Net cash used in operating activities......................         (114,844)                (83,552)
                                                             ---------------         ---------------

Cash Flows From Investing Activities
Proceeds from sale of securities...........................        1,677,563              16,105,648
Principal payments on securities and mortgage loans........          311,483               2,510,300
                                                             ---------------         ---------------

Net cash provided by investing activities..................        1,989,046              18,615,948
                                                             ---------------         ---------------

Cash Flows From Financing Activities
Repayment of repurchase agreement..........................       (2,028,000)             (2,028,000)
                                                             ---------------         ---------------

Net (decrease) increase in cash and cash equivalents.......         (153,798)             16,504,396

Cash and cash equivalents at beginning of period...........       19,618,379               2,960,185
                                                             ---------------         ---------------

Cash and cash equivalents at end of period.................  $    19,464,581         $    19,464,581
                                                             ===============         ===============

Supplemental Disclosure Of Cash Flow Information:
  Interest paid............................................  $       (50,238)        $       (50,238)
                                                             ===============         ===============`

See notes to financial statements

LASER Mortgage Management, Inc.

`----------------------------------------------------------------------------------------------------
                                                                            FOR THE
STATEMENTS OF CASH FLOWS                                    THREE MONTHS ENDED       SIX MONTHS ENDED
(GOING CONCERN BASIS) (UNAUDITED)                              JUNE 30, 2001           JUNE 30, 2001
----------------------------------------------------------------------------------------------------

Cash Flows From Operating Activities
Net loss...................................................  $    (1,260,420)        $    (3,357,816)
Adjustments to reconcile net loss to
  net cash provided by operating activities:
  Amortization of mortgage premiums and discounts, net.....           23,229                (179,179)
  Net realized loss on sale of securities and interest
    rate agreement.........................................        1,900,461               6,894,146
  Unrealized gain on interest rate agreement...............               --              (2,580,000)
Change in assets and liabilities:
  Decrease in interest and principal paydowns receivable...        1,244,646               1,956,908
  Decrease in prepaid expenses.............................          136,530                 273,060
  Increase (decrease) in accrued interest payable..........          402,641                 (10,997)
  Increase in accounts payable and accrued expenses........            7,855                  49,747
  Decrease in payable to manager...........................       (1,219,285)                     --
                                                             ---------------         ---------------

  Net cash provided by operating activities................        1,235,657               3,045,869
                                                             ---------------         ---------------

Cash Flows From Investing Activities
Purchase of securities.....................................               --             (55,048,842)
Decrease in payable for securities acquired................               --             (23,321,844)
Proceeds from sale of securities...........................       24,304,131             255,982,732
Proceeds from sale of interest rate agreement..............               --                 260,000
Principal payments on securities and mortgage loans........       13,108,306              27,274,332
                                                             ---------------         ---------------

  Net cash provided by investing activities................       37,412,437             205,146,378
                                                             ---------------         ---------------

Cash Flows From Financing Activities
Proceeds from repurchase agreements........................               --           1,960,972,986
Repayments of repurchase agreements........................      (67,366,005)         (2,154,458,410)
                                                             ---------------         ---------------

Net cash used in financing activities......................      (67,366,005)           (193,485,424)
                                                             ---------------         ---------------

Net (decrease) increase in cash and cash equivalents.......      (28,717,911)             14,706,823

Cash and cash equivalents at beginning of period...........       46,966,943              3,542,209
                                                             ---------------         ---------------

Cash and cash equivalents at end of period.................  $    18,249,032         $    18,249,032
                                                             ===============         ===============

Supplemental Disclosure Of Cash Flow Information:
  Interest paid............................................  $      (300,326)        $    (3,918,131)
                                                             ===============         ===============

  Noncash financing activities:
  Net change in unrealized gain on
    available-for-sale securities..........................  $     1,030,199         $     1,117,501
                                                             ===============         ===============`

See notes to financial statements

LASER Mortgage Management Inc.
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2002 (UNAUDITED)

1.      
ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES

LASER Mortgage Management, Inc. (the "Company") was incorporated in Delaware on
May 1, 2001, as a wholly-owned subsidiary of LASER Mortgage Management, Inc., a
Maryland corporation ("LASER Maryland"), and is the successor by merger to LASER
Maryland. LASER Maryland was incorporated in Maryland on September 3, 1997 and
commenced its operations on November 26, 1997. On May 30, 2001, the Company's
Board of Directors and sole stockholder, LASER Maryland, approved the
liquidation and dissolution of the Company under the terms and conditions of the
Plan of Liquidation and Dissolution, subject to the approval of the Plan of
Liquidation and Dissolution by the stockholders of LASER Maryland. On July 27,
2001, the stockholders of LASER Maryland, at the annual meeting, approved the
reincorporation of LASER Maryland in Delaware (the "Reincorporation"), through
the merger of LASER Maryland with and into the Company, and the subsequent
liquidation and dissolution of the Company under the terms and conditions of the
Plan of Liquidation and Dissolution. On July 31, 2001, LASER Maryland completed
the Reincorporation by merging with and into the Company. As of the effective
date of the Reincorporation, LASER Maryland ceased to exist. On August 3, 2001,
the Company filed a certificate of dissolution with the Secretary of State of
the State of Delaware, and the dissolution of the Company was effective upon
such filing. The Company has ceased to conduct normal business operations and
now operates solely for the purpose of providing for the satisfaction of its
obligations, adjusting and winding-up its business and affairs and distributing
its remaining net assets. References herein to "LASER" or the "Company" include
LASER Maryland prior to the date of the Reincorporation, as
applicable.

In accordance with the Plan of Liquidation and Dissolution, on November 8, 2001,
the Board of Directors filed a petition with the Delaware Court of Chancery for
permission to make an initial distribution to stockholders of $3.00 per
outstanding common share. On November 28, 2001, the Delaware Court of Chancery
approved this initial distribution to stockholders. On December 28, 2001, a
distribution of $3.00 per outstanding share of common stock was made to
stockholders of record as of December 17, 2001. As of June 30, 2002, the
estimated net realizable value of the Company's net assets in liquidation was
$1.32 per share. After providing for expenses and subject to court approval, the
Company expects to distribute the majority of the remaining net assets in
liquidation over the next two years with a final liquidating distribution to
occur thereafter. The total amount of distributions to stockholders is subject
to change based on numerous factors, including operating expenses, the Delaware
Court of Chancery modifying the distribution amounts and timing currently
envisioned by the Board of Directors under the Plan of Liquidation and
Dissolution, unanticipated claims or expenses and income received, if any, from
the pending litigation against Asset Securitization Corporation ("ASC"), Nomura
Asset Capital Corporation ("Nomura Asset") and Nomura Securitization
International, Inc. ("Nomura"), as well as other factors beyond the control of
the Company.

The Company was organized to create and manage an investment portfolio of
primarily mortgage-backed securities and mortgage loans that, in combination
with financing and hedging activities, would generate income for distribution to
its stockholders while preserving the Company's capital base. At its inception,
the Company elected to be taxed as a real estate investment trust (a "REIT")
under the Internal Revenue Code of 1986, as amended (the "Code"), commencing
with its short taxable year ended December 31, 1997. The Company qualified as a
REIT for the taxable years ended December 31, 1997 through 2001. The Company
does not expect to qualify as a REIT for the year beginning January 1, 2002, or
thereafter.

Basis of Presentation - As described above, stockholders approved
the Plan of Liquidation and Dissolution of the Company on July 27, 2001. As a
result, the Company adopted liquidation basis accounting effective July 28,
2001. Accordingly, the Company's assets are stated at their estimated net
realizable values and liabilities are stated at their estimated settlement
amounts, including an accrual for estimated expenses associated with the
liquidation of the Company. Before the adoption of liquidation basis accounting,
the Company operated as a continuing business and followed going concern basis
accounting. Because substantially all of the existing assets and liabilities of
the Company were carried at approximate fair value in accordance with generally
accepted accounting principles ("GAAP"), the adoption of liquidation basis
accounting did not have a material impact on the Company's financial statements
other than requiring the Company to charge stockholders' equity for the
reduction in the carrying value of securities to reflect their estimated net
realizable value, the write-off of the remaining balance of prepaid expenses,
and the reserve for estimated expenses associated with the liquidation of the
Company. However, the valuation of assets and liabilities at their estimated net
realizable values and estimated settlement amounts, respectively, necessarily
requires estimates and assumptions. Changes in market conditions, actual costs
associated with the liquidation, and other factors may affect the amounts
ultimately realized or settled, and those amounts may differ, perhaps
materially, from the carrying values on the Company's financial statements. As
discussed previously, the Company was a wholly-owned subsidiary of LASER
Maryland from May 1, 2001 until July 31, 2001 and became the successor by merger
to LASER Maryland on that date. Consequently, the statements of operations and
cash flows for the three and six months ended June 30, 2001 are presented on a
consolidated basis.

The accompanying unaudited financial statements have been prepared on
liquidation basis accounting and going concern basis accounting, as appropriate,
in conformity with GAAP and the instructions to Form 10-Q and Article 10, Rule
10-01 of Regulation S-X for interim financial statements. Accordingly, these
unaudited financial statements do not include all of the information and
footnotes required by GAAP for complete financial statements. In the opinion of
the Company's management, all adjustments, consisting only of normal recurring
accruals, considered necessary for a fair presentation, have been included in
these financial statements. These unaudited interim financial statements, as of
and for the periods ended June 30, 2002 should be read in conjunction with the
audited financial statements included in the Company's Annual Report on Form
10-K for the year ended December 31, 2001. Operating results for any interim
period are not necessarily indicative of results that may be expected for a full
year.

A summary of the Company's significant accounting policies follows:

Cash Equivalents - Cash equivalents consists of an overnight
reverse repurchase agreement. The amount reported on the statements of net
assets in liquidation represents the amount advanced under the
agreement.

Investments - The Company invested primarily in mortgage-backed
securities and mortgage loans. The mortgage-backed securities included privately
issued or U.S. government or agencies issued mortgage pass-through certificates,
collateralized mortgage obligations and other securities representing interests
in, or obligations backed by, pools of mortgage loans (collectively, "Mortgage
Securities"). The mortgage loans were secured by first or second liens on
single-family residential, multi-family residential, commercial or other real
property ("Mortgage Loans," and together with Mortgage Securities, "Mortgage
Assets"). The Company also invested in other debt and equity securities
(together with Mortgage Securities, "Securities," and together with
Mortgage Assets, "Investments").

Before the adoption of liquidation basis accounting and in accordance with the
provisions of Statement of Financial Accounting Standards ("SFAS") No. 115,
"Accounting for Certain Investments in Debt and Equity Securities", the Company
classified its Securities as available-for-sale. The available-for-sale
classification required that those Securities be carried at estimated fair
value, with unrealized gains and losses reported on the balance sheet as a
separate component of stockholders' equity within accumulated other
comprehensive loss. This classification was appropriate since the Company may
have needed to sell, from time to time, any of its Securities as part of its
overall management of its balance sheet even though the Company generally
intended to hold most of its Securities until maturity.

After the adoption of liquidation basis accounting, the Company's Investments
are carried at estimated net realizable value on the statements of net assets in
liquidation, with unrealized gains and losses reported on the statements of
changes in net assets in liquidation.

The Company's Mortgage Loans were carried at estimated net realizable value on
the statements of net assets in liquidation, with unrealized gains and losses
reported on the statements of changes in net assets in liquidation. Before the
adoption of liquidation basis accounting, the Company's Mortgage Loans were
carried on the balance sheet at their unpaid principal balance, net of
unamortized discount or premium.

Interest income is accrued based on the outstanding principal or notional amount
of the Investments and cash equivalents and their contractual terms. Premiums
and discounts associated with the purchase of the Investments are amortized into
interest income over the lives of the Investments using the effective yield
method.

Realized gains and losses on Investment transactions are determined on the
specific identification basis and have been recorded on the statements of
changes in net assets in liquidation or the statements of operations, as
appropriate.

Interest Rate Agreement - The Company followed an interest-rate
risk-management strategy designed to protect against the adverse effects of
major interest rate changes and used a derivative purchased interest rate cap
agreement ("cap").

A cap is a contractual agreement for which the Company pays an initial premium
in return for subsequent cash flows to the Company to the extent that a specific
interest rate index exceeds the contractual fixed rate, applied to a notional
amount. The amount of the risk of loss on a cap is the premium paid. The cap was
recorded and carried at estimated fair value with changes in fair value reported
on the statements of operations. Interest payments received were recorded as a
component of net interest income on the statements of operations.

Repurchase Agreements - The Company utilized repurchase
agreements to finance most of its Investments. The repurchase agreements have
been collateralized by certain of the Company's Investments and bear interest
rates that generally move in close relation to the one-month London Interbank
Offered Rate ("LIBOR"). The amount reported on the statements of net assets in
liquidation represented the contractual amount to be repaid under such
agreement.

Reserve for Estimated Liquidation Costs - Under liquidation basis
accounting, the Company is required to estimate and accrue the costs associated
with the liquidation. The amount recorded in the statements of net assets in
liquidation represents estimated professional fees and other expenses expected
to be incurred in connection with liquidation activities and paid out over the
course of the liquidation. The ultimate amount paid might vary significantly due
to, among other things, the timing of the liquidation.

Fair Value of Financial Instruments - The fair values of the
Company's Investments were based on prices and valuations provided by dealers
who make markets in these financial instruments. The fair values reported
reflected estimates and were not necessarily indicative of the amounts the
Company could have realized in a current market exchange. The carrying values of
cash equivalents, interest and principal paydowns receivable, accrued interest
payable, the repurchase agreement and other financial liabilities approximated
their estimated fair value because of the short-term nature of these financial
instruments. Estimated net realizable value approximates estimated fair value as
presented in these financial statements.

Income Taxes - At its inception, the Company elected to be taxed
as a REIT under the Internal Revenue Code of 1986, as amended, commencing with
its short taxable year ended December 31, 1997. As such, the Company generally
has been entitled to a deduction for all dividends it paid to its stockholders
for a taxable year. As a result, the Company has not been subject to federal
income taxation with respect to its distributed income. Qualification as a REIT
requires that the Company satisfy a number of asset, income and distribution
tests. The Company qualified as a REIT for the taxable years for the years ended
December 31, 1997 through 2001. The Company does not expect to qualify as a REIT
for the year beginning January 1, 2002, or thereafter.

Use of Estimates - The preparation of financial statements in
conformity with GAAP requires the Company 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 income and expenses during the reporting period. Actual
results could differ from those estimates.

Recent Accounting Pronouncements - Effective January 1, 2001, the
Company adopted the provisions of SFAS No. 133, "Accounting for Derivative
Instruments and Hedging Activities" as amended by SFAS No. 138, "Accounting for
Certain Derivative Instruments and Certain Hedging Activities - an Amendment of
Statement No. 133." The adoption of the provisions of these accounting
pronouncements with respect to the Company's sole derivative instrument at that
time, the interest rate agreement, had no impact on the Company's financial
condition or results of operations.

2.      
MORTGAGE SECURITIES

During January 2002, the Company sold all of the Mortgage Securities it owned as
of December 31, 2001. The following table shows the Company's Mortgage
Securities as of December 31, 2001:

`AGENCY
                                                     FLOATING RATE
                                                        MORTGAGE
                                                       SECURITIES

                    Current principal amount          $14,854,868

                    Unamortized discount                       --
                    Unamortized premium                   217,674
                                                       ----------

                    Amortized cost                     15,072,542

                    Gross unrealized gains                232,726
                    Gross unrealized losses                    --
                                                       ----------

                    Estimated net realizable value    $15,305,268
                                                      ===========`

The Company was notified in June 2000 of a default in a $50.0 million mortgage
loan in a trust fund of which the Company owns subordinated interests. The
Securities that are affected by this event are subordinated classes of
Commercial Mortgage Pass-Through Certificates, Series 1997-D5 that represent
beneficial ownership interests in a trust fund created by ASC, an affiliate of
Nomura, at the time of the offering. Thereafter, a representative of Nomura
notified a representative of the Company that the amount of the recovery of the
Securities may be negligible. Accordingly, management increased the unrealized
loss on those Securities at that time by approximately $(9.1) million
representing the remaining total aggregate carrying value of those Securities,
pending further developments.

On October 23, 2000 the Company filed suit in the Southern District of New York
against ASC, Nomura Asset and Nomura alleging that the defendants defrauded the
Company into purchasing approximately $19.0 million worth of ASC securities by
failing to disclose, among other things, that one of the largest loans in the
mortgage pool was seriously troubled. The Company is seeking rescission of the
purchase of the Securities. During the quarter ended December 31, 2000, the
Company recognized the probable other-than-temporary impairment of those
Securities by charging the statement of operations and crediting accumulated
other comprehensive loss on the balance sheet for the aggregate cumulative loss
of $(17,596,917); such recognition had no further impact on stockholders' equity
from the time of the earlier increase in unrealized loss.

On December 8, 2000, the defendants filed a motion to dismiss the action. On
September 5, 2001, such motion was granted with respect to the claims brought
under Sections 12(a)(2) and 15 of the Securities Act of 1933 and denied with
respect to the common law fraud claims and claims brought under Sections 10(b)
and 20(a) of Securities Exchange Act of 1934 and Rule 10b-5 promulgated
thereunder. Discovery is proceeding with regard to the surviving claims. A
recovery of this Investment may be possible, but management is unable to predict
the likelihood of this occurrence.

3.      
MORTGAGE LOANS

During May 2002, the Company sold all of the remaining Mortgage Loans it owned
at their estimated net realizable value of $1,677,563. At December 31, 2001, the
estimated net realizable value (and current principal amount) of the Company's
Mortgage Loans amounted to $2,004,114.

4.      
INTEREST RATE AGREEMENT

Cap

The Company used a cap, during 2000 and continuing into January 2001, to reduce
the risk of rising interest rates on the cost of the short-term repurchase
agreements used to finance its Investments.

As a result of the reduction in interest rates in January 2001, the Company
closed out the existing cap, with a notional amount of $100.0 million, for
$260,000 in cash and recognized a net loss of $(120,000) in the statement of
operations that is comprised of a realized loss of $(2,700,000) and an
unrealized gain of $2,580,000 from the reversal of the unrealized loss on the
cap at December 31, 2000 due to its sale. The Company purchased this cap for a
premium of $2,960,000 during the second quarter of 2000. The cap agreement had a
term of three years and provided for monthly payments of interest to the Company
to the extent that the one-month LIBOR exceeded 6.54% as applied to the notional
amount. By December 31, 2000, the Company had recorded an unrealized loss of
$(2,580,000) in the statement of operations with respect to the cap to reflect
its estimated fair value of $380,000 in the balance sheet at that
time.

5.      
REPURCHASE AGREEMENT

During May 2002, the Company repaid its outstanding repurchase agreement of
$2,028,000 and the related accrued interest of $50,238. At December 31, 2001,
the Company had a $2,028,000 repurchase agreement outstanding with a weighted
average borrowing rate of 3.24% and a remaining maturity of 28 days. The
associated accrued interest expense payable on the outstanding repurchase
agreement amounted to $30,576 at December 31, 2001. At December 31, 2001, the
repurchase agreement was collateralized by Investments that had an estimated net
realizable value of approximately $2,004,000.

6.      
RESERVE FOR ESTIMATED LIQUIDATION COSTS

At the time of the adoption of liquidation basis accounting, the Company
recorded $700,000 for estimated professional fees and other expenses anticipated
over the course of the liquidation. At June 30, 2002 and December 31, 2001, the
reserve for estimated liquidation costs amounted to $505,119 and $524,937,
respectively. During the three and six months ended June 30, 2002, the Company
paid $15,011 and $19,818, respectively, of liquidation costs.

7.      
LOSS PER SHARE ("LPS")

Basic LPS is computed by dividing the net loss attributable to common shares by
the weighted average number of common shares outstanding during the period. The
calculation of diluted LPS considers the effect of all dilutive potential common
shares that were outstanding during the period under the Company's stock
incentive plan. Basic and diluted LPS for the three and six months ended June
30, 2001 was as follows:

`For the Three Months Ended
                                           June 30, 2001

                       Net Loss               Shares              Per-share
                     (Numerator)           (Denominator)            Amount

Basic LPS           $ (1,260,420)            14,038,983          $      (0.09)
                    ============             ==========          ============

Diluted LPS         $ (1,260,420)            14,038,983          $      (0.09)
                    ============             ==========          ============

                                      For the Six Months Ended
                                           June 30, 2001

                       Net Loss               Shares              Per-share
                     (Numerator)           (Denominator)            Amount


Basic LPS           $ (3,357,816)            14,038,983          $      (0.24)
                    ============             ==========          ============

Diluted LPS         $ (3,357,816)            14,038,983          $      (0.24)
                    ============             ==========          ============`

For the three and six months ended June 30, 2001, there were no deferred common
shares reserved for issuance and there were no outstanding options to purchase
common shares of the Company.

8.      
MANAGEMENT AGREEMENT

From November 1, 1999 to November 1, 2001, Mariner Mortgage Management, L.L.C.
("Mariner") served as the external manager of the Company and was responsible
for the day-to-day management of the Company's investments and
operations.

Under the most recent management agreement, which was entered into on November
1, 2000 and terminated on November 1, 2001, Mariner became entitled to be paid
an incentive fee upon the earlier of (1) the termination date of the management
agreement or (2) the date on which the Board of Directors adopted resolutions
approving the liquidation and dissolution, referred to as the anniversary date,
which it did on April 25, 2001, equal to the number of shares outstanding on the
applicable date, multiplied by:

| |  | 10% of the difference between the 15-day average closing market price (plus any
distributions per share other than common stock) of the Company's common
stock preceding November 1, 2001 (or such earlier anniversary date, as set forth
in the agreement) and $3.317 per share (which approximates the average closing
price of the Company's common stock for the fifteen days ended October 31,
2000) up to the equivalent of $3.50 per share;
| | - | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| |  | 15% of the difference between the 15-day average closing market price (plus any
distributions per share other than common stock) of the Company's common stock
preceding November 1, 2001 or on the anniversary date, whichever is earlier, and
$3.50 per share up to $4.00 per share; and
| | - | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| |  | 20% of the difference between the 15-day average closing market price (plus any
distributions per share other than common stock) of the Company's common stock
preceding November 1, 2001 or on the anniversary date, whichever is earlier, and
$4.00 per share.
| | - | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Based upon this calculation, an incentive fee of $1,219,285 was paid to Mariner
on May 1, 2001. Mariner was not entitled to receive any other fee upon the
adoption of the Plan of Liquidation and Dissolution.

In accordance with the terms of the management agreement, Mariner continued to
receive its base management fee of $50,000 per month until the termination of
the management agreement. During the three and six months ended June 30, 2001,
the Company incurred base fees of $150,000 and $300,000,
respectively.

Upon the termination of the most recent management agreement on November 1,
2001, the Company became self managed and entered into employment agreements
with William J. Michaelcheck, the President and Chief Executive Officer of the
Company, and Charles R. Howe, II, the Vice President, Treasurer and Secretary of
the Company, each at a salary of $10,000 per month. Messrs. Michaelcheck and
Howe previously were responsible for managing the Company's portfolio at Mariner
and continue to have significant responsibilities at Mariner. On November 1,
2001, the Company also entered into a support services agreement with Mariner
Investment Group, Inc. ("Mariner Investment Group"), an affiliate of Mariner,
under which Mariner Investment Group provides the Company with office space and
services, bookkeeping and accounting services and such other services as may be
agreed upon from time to time by the Company and Mariner Investment Group for a
fee of $30,000 per month. For the three and six months ended June 30, 2002, the
Company incurred $60,000 and $120,000, respectively, of expenses under the
employment agreements and $90,000 and $180,000, respectively, of expenses under
the support services agreement. The Compensation Committee continues to review
the support services agreement and the employment arrangements with Messrs.
Michaelcheck and Howe in connection with the ongoing liquidation of the
Company.

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

The following discussion should be read in conjunction with the Company's
financial statements as of and for the three and six months ended June 30, 2002
and notes thereto and with the audited financial statements included in the
Company's Annual Report on Form 10-K for the year ended December 31, 2001.
References herein to "LASER" or the "Company" include LASER Mortgage Management,
Inc., a Maryland corporation, prior to the date of the Reincorporation described
in Note 1 to the Notes to Financial Statements included as part of Item
1.

Forward-Looking Statements

"Safe Harbor" statement under the Private Securities Litigation Reform Act of
1995: Statements in this discussion regarding the Company and its business,
which are not historical facts, are "forward-looking statements" that involve
risks and uncertainties. Risks and uncertainties, which could cause results to
differ from those discussed in the forward-looking statements herein, are listed
in the Company's Annual Report filed on Form 10-K.

General

As of June 30, 2002, the Company has liquidated all of its Mortgage Assets
pursuant to the Plan of Liquidation and Dissolution, thereby minimizing
substantially the risk of loss on the Company's net assets in liquidation.
However, the valuation of assets and liabilities at their estimated net
realizable values and estimated settlement amounts, respectively, necessarily
requires estimates and assumptions. Actual costs associated with the liquidation
and other factors may affect the amounts ultimately realized or settled, and
those amounts may differ, perhaps materially, from the carrying values on the
Company's financial statements.

The Company conducted its operations before January 2002 so as not to become
regulated as an "investment company" under the Investment Company Act of 1940
(the "Investment Company Act"). As a result of the sales of Mortgage Assets
described above, and applicable provisions of the Investment Company Act, the
Company will not engage in any transactions except those which are "merely
incidental to its dissolution" so as to avoid having to register as an
"investment company" under the Investment Company Act.

At its inception, the Company elected to be taxed for federal income tax
purposes as a REIT under the Code. In order to qualify as a REIT, the Company
must satisfy a number of asset, income and distribution tests, including the
requirement that 75% of its gross income be derived from real estate sources.
The Company does not expect to qualify as a REIT for the year beginning January
2002 because less than 75% of the Company's gross income for the 2002 taxable
year is expected to be derived from real estate sources.

The New York Stock Exchange ("NYSE") announced on May 15, 2002 that, as a
consequence of the Company's adoption of the Plan of Liquidation and
Distribution, it would take action to delist the Company's common stock. The
Company did not challenge the NYSE's actions and the NYSE suspended trading in
the common stock on May 24, 2002.

Changes in Net Assets in Liquidation for the Three and Six
Months Ended June 30, 2002

Under liquidation basis accounting, net assets in liquidation amounted to $18.5
million at June 30, 2002 and were essentially unchanged for the three and six
months then ended. The Company's portfolio of interest earning assets, net of
interest bearing liabilities, earned $0.1 million and $0.3 million,
respectively, of net interest income. In addition, the Company recorded a net
increase of $0.1 million and $0.2 million, respectively, from securities
comprised primarily of payments received on a security previously determined to
be impaired. General and administrative expenses during these periods amounted
to $(0.2) million and $(0.5) million, respectively, and consisted of $(0.1)
million and $(0.2) million, respectively, of fees paid pursuant to the support
services agreement and $(0.1) million and $(0.3) million, respectively, of
professional fees, payroll and other expenses.

During the three and six months ended June 30, 2002, net cash of $1.9 million
and $18.5 million, respectively, was generated from the Company's operating and
investing activities, including $2.0 million and $18.6 million, respectively, of
proceeds from sales of, and principal payments on, securities. At June 30, 2002,
the balance of cash and cash equivalents amounted to $19.5 million.

Results of Operations for the Three and Six Months Ended June
30, 2001

Net Income (Loss) Summary

General. For the three months ended June 30, 2001, the Company had net
income of $0.6 million, or $0.05 per weighted average share, excluding aggregate
net losses from investment activities of $(1.9) million, or $(0.14) per share.
For the three months ended June 30, 2001, the weighted average number of shares
of common stock outstanding was 14,038,983; no distributions or dividends were
declared or paid and return on average stockholders' equity was (1.97)% on an
actual basis.

For the six months ended June 30, 2001, the Company had net income of $2.2
million, or $0.16 per weighted average share, excluding aggregate net losses
from investment activities and the interest rate agreement of $(4.3) million, or
$(0.31) per share, and the accrued incentive fee of $(1.2) million, or $(0.09)
per share. For the six months ended June 30, 2001, the weighted average number
of shares of common stock outstanding was 14,038,983; no distributions or
dividends were declared or paid and return on average stockholders' equity was
(5.14)% on an actual basis.

Gains/Losses from investment activities. For the three months ended June
30, 2001, the Company sold securities and recorded a net realized loss of $(1.9)
million, or $(0.14) per share. Also during this period, the Company recorded a
$1.0 million increase in other comprehensive income from the unrealized net gain
on securities for an overall net loss in stockholders' equity from securities of
$(0.9) million.

For the six months ended June 30, 2001, the Company sold securities and recorded
a net realized loss of $(4.2) million, or $(0.30) per share. Also during this
period, the Company recorded a $1.1 million increase in other comprehensive
income from the unrealized net gain on securities for an overall net loss in
stockholders' equity from securities of $(3.1) million.

Interest Income and Average Interest Earning Asset
Yield

Historically, the Company earned interest income primarily from its portfolio of
investments and cash equivalents. The table below shows, for the three and six
months ended June 30, 2001, the Company's average balance of cash equivalents,
investments, the yields earned on each type of interest earning asset, the yield
on average interest earning assets and total interest income.

`AVERAGE INTEREST EARNING ASSETS, YIELDS AND INTEREST INCOME
                                                 (dollars in thousands)

                                                           Total                 Yield on   Yield on
                                              Average     Average    Yield on     Average   Average
                                  Average    Amortized   Interest     Average    Amortized  Interest    Total
                                   Cash       Cost of     Earning      Cash       Cost of    Earning   Interest
                                Equivalents Investments   Assets    Equivalents Investments   Assets    Income
For the three months ended:
June 30, 2001                     $22,266    $100,899    $123,165      4.51%       6.58%      6.21%     $1,913
For the six months ended:
June 30, 2001                     $19,015    $183,233    $202,248      4.84%       7.38%      7.14%     $7,221`

During the three and six months ended June 30, 2001, the Company reduced its
portfolio of Mortgage Securities and Mortgage Derivatives and the leverage
financing used to maintain the portfolio in contemplation of a liquidation or
sale of the Company.

Interest Expense and the Average Cost of Funds

Historically, the Company incurred interest expense primarily from borrowed
funds under short-term repurchase agreements that financed most of its portfolio
of investments. Interest expense is calculated in the same manner for tax and
GAAP purposes. The Company generally has structured its borrowings to closely
correlate the Company's cost of borrowed funds with changes in one-month
LIBOR.

The table below shows, for the three and six months ended June 30, 2001, the
Company's average borrowed funds, interest expense and average cost of funds
compared to average one and six-month LIBOR.

`AVERAGE COST OF FUNDS
                                                         (dollars in thousands)

                                                                                    Average     Average    Average
                                                                                    One-Month   Cost of    Cost of
                                                                                     LIBOR       Funds      Funds
                                                                                    Relative    Relative   Relative
                                                                                       to          to         to
                                 Average             Average   Average    Average    Average     Average    Average
                                Borrowed  Interest  Cost of   One-Month  Six-Month  Six-Month   One-Month  Six-Month
                                  Funds    Expense    Funds     LIBOR      LIBOR      LIBOR       LIBOR      LIBOR
For the three months ended:
June 30, 2001                   $ 61,308    $ 703     4.54%     4.30%      4.14%      0.16%       0.24%      0.40%
For the six months ended:
June 30, 2001                   $139,756   $3,907     5.56%     4.90%      4.66%      0.24%       0.66%      0.90%`

During the first and second quarters of 2001, interest rates decreased due
primarily to the interest rate setting actions taken by the Federal Reserve
Board.

Interest Rate Agreement

The Company followed an interest-rate risk-management strategy designed to
protect against the adverse effects of major interest rate changes and used a
derivative purchased interest rate cap agreement ("cap").

As a result of the reduction in interest rates in January 2001, the Company
closed out the existing cap, with a notional amount of $100.0 million, for $0.3
million in cash and recognized a net loss of $(0.1) million, or $(0.01) per
share in the statement of operations that is comprised of a realized loss of
$(2.7) million and an unrealized gain of $2.6 million from the reversal of the
unrealized loss on the cap at December 31, 2000 due to its sale.

The Company did not enter into any other interest rate agreement during the
three and six months ended June 30, 2001.

General and Administrative Expenses

General and administrative expenses ("operating expenses" or "G&A expense")
were $0.6 million and $2.3 million for the three and six months ended June 30,
2001, respectively, consisting of management and incentive fees incurred to
Mariner of $0.2 million and $1.5 million, respectively, and professional and
other expenses of $0.4 million and $0.8 million, respectively. There were no
differences in the calculation of G&A expense for taxable and GAAP income
purposes. The "Efficiency Ratio" is the G&A expense divided by the net
interest income.

`G&A EXPENSE RATIOS
                                           (dollars in thousands)

                                                                        Total G&A
                                                                        Expense/    Total G&A
                                                                         Average     Expense/
                                                                        Interest     Average
                                                                         Earning   Stockholders' Efficiency
                          Management  Incentive  Other G&A   Total G&A   Assets       Equity        Ratio
                              Fee        Fee      Expense     Expense   (Actual)     (Actual)     (Actual)

For the three months ended:
June 30, 2001               $  150      $   --    $  420      $  570      0.46%        0.89%       47.09%
For the six months ended:
June 30, 2001               $  300      $1,219    $  838      $2,357      1.17%        3.61%       71.14%`

Net Loss and Return on Average Stockholders'
Equity

Net loss was $(1.3) million and $(3.4) million for the three and six months
ended June 30, 2001, respectively. Return on average stockholders' equity, on an
actual basis, for the three and six months ended June 30, 2001 was (1.97)% and
(5.14)%, respectively.

The table below shows, on an actual basis, for the three and six months ended
June 30, 2001 the Company's net interest income, losses from investment
activities and G&A expense each as a percentage of average stockholders'
equity, and the return on average stockholders' equity.

`COMPONENTS OF RETURN ON AVERAGE STOCKHOLDERS' EQUITY

                                                                                             Return on
                                                          Losses from                         Average
                                       Net Interest       Investment                       Stockholders'
                                          Income          Activities       G&A Expense        Equity

For the three months ended:
June 30, 2001                              1.90%            (2.98)%           0.89%           (1.97)%
For the six months ended:
June 30, 2001                              5.07%            (6.60)%           3.61%           (5.14)%`

Distributions

For the three and six months ended June 30, 2002 and 2001, the Company did not
make any capital distributions or declare any dividends.

Financial Condition

Investments

During the six months ended June 30, 2002, the Company disposed of all of its
remaining Mortgage Securities and Mortgage Loans that it held on December 31,
2001 at their carrying values, pursuant to the Plan of Liquidation and
Dissolution. As of December 31, 2001, the Company's portfolio (stated at
estimated net realizable value) consisted of:

`As of December 31, 2001
                                           -----------------------
                                        Dollar Amount
            Securities                  (in millions)       Percentage
            ----------                  -------------       ----------
Agency Certificates................         $15.3              88.4%
Mortgage Loans.....................           2.0              11.6%
                                     -------------------- ---------------
   Total...........................         $17.3             100.0%
                                     ==================== ===============`

The tables below summarize the Company's investments at December 31,
2001.

`SECURITIES
                                               (dollars in thousands)
                                                                                      Estimated
                                                                                         Net
                                                            Amortized                Realizable
                                                             Cost to     Estimated    Value to
                      Current                                Current        Net        Current     Weighted
                     Principal      Net       Amortized     Principal    Realizable   Principal    Average
                      Amount      Discount       Cost        Amount        Value       Amount    Life (Years)

December 31, 2001   $ 14,855    $      218   $   15,073      101.47%    $    15,305     103.03%       3.0

                                                   MORTGAGE LOANS
                                               (dollars in thousands)

                                                       Estimated
                                                          Net
                              Current                 Realizable
                             Principal    Estimated    Value to
                            Amount and       Net        Current     Weighted
                             Amortized    Realizable   Principal    Average
                               Cost         Value       Amount    Life (Years)


December 31, 2001          $ 2,004       $  2,004       100.00%        16.0`

The table below shows gross and net unrealized gains and (losses) on all
securities in the Company's portfolio at December 31, 2001 (stated at estimated
net realizable value).

`UNREALIZED GAINS AND LOSSES
                             (dollars in thousands)

                                                          At December 31, 2001
                                                          --------------------
Unrealized Gain                                              $          233
Unrealized Loss                                                          --
                                                             --------------
Net Unrealized Gain                                          $          233
                                                             ==============
Net Unrealized Gain as % of  Investments
  Principal Amount                                                     1.38%
Net Unrealized Gain as % of Investments
  Amortized Cost                                                       1.36%`

Liquidity and Capital Resources

Liquidity measures the Company's ability to turn non-cash assets into cash
during the liquidation period to satisfy its commitments to repay existing
borrowings, to pay ongoing general and administrative expenses including
estimated costs of liquidation, and to make distributions to stockholders. As of
June 30, 2002, all of the Company's non-cash assets were converted into cash. At
June 30, 2002, the balance of cash and cash equivalents amounted to $19.5
million. The Company will continue to generate liquidity through net earnings
held prior to distribution to stockholders. The Company believes that its cash
on hand and earnings from its cash equivalents will be adequate to support the
Company and pay its obligations during the liquidation period.

Item 3. Quantitative and Qualitative Disclosures About Market
Risk

Market Risk

Market risk is the exposure to loss resulting from changes in interest rates,
foreign currency exchange rates, commodity prices and equity prices. The primary
market risk exposure that the Company had been subject to is the movement in
interest rates with respect to its portfolio of Mortgage Assets, which were
highly sensitive to many factors, including governmental monetary and tax
policies, domestic and international economic and political considerations and
other factors beyond the control of the Company. As a result of the sales of all
of the remaining Mortgage Assets during the six months ended June 30, 2002, the
Company's market risk with respect to its portfolio of Mortgage Assets has been
eliminated.

The Company is exposed to interest rate risk as an investor in an overnight
reverse repurchase agreement. Due to the short-term maturity, the interest rate
risk to the Company is not significant.

Additionally, the Company is a party to certain other financial instruments,
including interest receivable, accounts payable and other accrued expenses that
are not interest rate sensitive.

PART II. OTHER INFORMATION

References in this Part II to "LASER" or the "Company" include LASER Mortgage
Management, Inc., a Maryland corporation, prior to the date of the
reincorporation described in Note 1 to the Notes to Financial Statements
included as part of Item 1.

Item 1. Legal Proceedings

On October 23, 2000, the Company filed suit in federal court in the Southern
District of New York against ASC, Nomura Asset and Nomura alleging that the
defendants defrauded the Company into purchasing over $19.0 million worth of
mortgage pass-through certificates by failing to disclose among other things,
that one of largest loans in the mortgage pool was seriously troubled. On
December 8, 2000, the defendants filed a motion to dismiss the action. On
September 5, 2001, such motion was granted with respect to the claims brought
under Sections 12(a)(2) and 15 of the Securities Act of 1933 and denied with
respect to the common law fraud claims and claims brought under Sections 10(b)
and 20(a) of Securities Exchange Act of 1934 and Rule 10b-5 promulgated
thereunder. Discovery is proceeding with regard to the surviving claims. A
recovery of this investment may be possible, but management is unable to predict
the likelihood of this occurrence.

Item 6. Exhibits and Reports on Form 8-K

(a) Exhibits

See Exhibit Index.

(b) Reports

None.

SIGNATURES

Pursuant to the requirements of the Securities Act of 1934, the registrant has
duly caused this report to be signed on its behalf by the undersigned thereunto
duly authorized.

|Dated: August 12, 2002 | LASER MORTGAGE MANAGEMENT, INC.
By: /s/ Charles R. Howe, II
       Charles R. Howe, II
       Chief Financial Officer
       (principal accounting officer)
       (authorized officer of registrant)
|---------------------- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

CERTIFICATION

I, William J. Michaelcheck, Chief Executive Officer of LASER Mortgage
Management, Inc. (the "Company"), pursuant to 18 U.S.C. Section 1350, as adopted
pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, do hereby certify as
follows:

1.          The Quarterly
Report on Form 10-Q of the Company for the period ended June 30, 2002 (the
"Report") fully complies with the requirements of Section 13(a) or 15(d) of the
Securities Exchange Act of 1934; and

2.          The information
contained in the Report fairly presents, in all material respects, the financial
condition and results of operations of the Company.

Date: August 13, 2002

| | /s/ William J. Michaelcheck
William J. Michaelcheck
Chief Executive Officer, Chairman and
Director
| | --------------------------------------------------------------------------------------------------

CERTIFICATION

I, Charles R. Howe, II, Chief Financial Officer of LASER Mortgage Management,
Inc. (the "Company"), pursuant to 18 U.S.C. Section 1350, as adopted pursuant to
Section 906 of the Sarbanes-Oxley Act of 2002, do hereby certify as follows:

1.          The Quarterly
Report on Form 10-Q of the Company for the period ended June 30, 2002 (the
"Report") fully complies with the requirements of Section 13(a) or 15(d) of the
Securities Exchange Act of 1934; and

2.          The information
contained in the Report fairly presents, in all material respects, the financial
condition and results of operations of the Company.

Date: August 12, 2002.

| | /s/ Charles R. Howe, II
Charles R. Howe, II
Vice President, Chief Financial Officer and
Treasurer
| | -------------------------------------------------------------------------------------------------

EXHIBIT INDEX

|Exhibit Number | Exhibit
|-------------- | -------

|2.1 | The Articles of Merger (Incorporated by reference to Exhibit 2.1 to Registrant's
Quarterly Report on Form 10-Q dated June 30, 2001.)
|--- | ------------------------------------------------------------------------------------------------------------------------------------

|2.2 | The Certificate of Ownership and Merger (Incorporated by reference to Exhibit
2.2 to Registrant's Quarterly Report on Form 10-Q dated June 30, 2001.)
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------

|2.3 | Plan of Liquidation and Dissolution of LASER Mortgage Management, Inc.
(Incorporated by reference to Exhibit 2.3 to Registrant's Quarterly Report on
Form 10-Q dated June 30, 2001.)
|--- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|3.1 | Restated Certificate of Incorporation of LASER Mortgage Management, Inc., a
Delaware corporation (Incorporated by reference to Exhibit 3.1 to Registrant's
Quarterly Report on Form 10-Q dated June 30, 2001.)
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|3.2 | Bylaws of LASER Mortgage Management, Inc., a Delaware corporation (Incorporated
by reference to Exhibit 3.2 to Registrant's Quarterly Report on Form 10-Q dated
June 30, 2001.)
|--- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|99.1 | Certificate of Dissolution (Incorporated by reference to Exhibit 99.1 to
Registrant's Quarterly Report on Form 10-Q dated September 30, 2001.)
|---- | ----------------------------------------------------------------------------------------------------------------------------------------------