EUROMED, INC.
                           8214 WESTCHESTER SUITE 500
                               DALLAS, TEXAS 75225
                                  214-692-3544
                                  214-987-2091



December 01, 1998


Securities and Exchange Commission
450 Fifth Street, N.W.
Washington, D.C. 20549

Attention:        John L. Krug
                  Mail Stop 7-6

Re:               EuroMed, Inc.

Dear Mr. Krug:

         On behalf of EuroMed,  Inc. I hereby transmitt the 10k for the period
 end 09/30/97.


Best Regards,

Elbert G. Tindell
Chairman of the Board




                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 10-Q

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

FOR THE QUARTERLY PERIOD ENDED SEPTEMBER 30, 1997

                                       OR

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

           FOR THE TRANSITION PERIOD FROM _______________ TO ____________


                                  EUROMED, INC.
             (Exact name of registrant as specified in its charter)

                         COMMISSION FILE NUMBER 0-27720

<TABLE>
<S>                                                                                     <C>

                                 NEVADA                                                    88-0317700
                     (State or other jurisdiction of                                    (I.R.S. Employer
                     incorporation or organization)                                    Identification No.)

                       8214 Westchester, Suite 500
                              Dallas, Texas                                                   75225
                (Address of principal executive offices)                                   (Zip Code)
</TABLE>

                                 (214) 220-0693
              (Registrant's telephone number, including area code)

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

                                    Yes No X

As of  December  01,  1998,  there  were  1,407,000  shares  outstanding  of the
registrant's common stock, $0.01 par value.
---------------------------------------------------------- 






<PAGE>


                                      INDEX

                          PART I. FINANCIAL INFORMATION

                                                                        PAGE NO.
                                                                 --------------

ITEM 1.  FINANCIAL STATEMENTS (UNAUDITED):

                  Balance Sheets -
                           December 31, 1996 and September 30, 1997            3

                  Statements of Operations -
                           Three months and nine months ended 
                           September 30, 1996 and 1997                         5

                  Statements of Cash Flows -
                           Nine months ended September 30, 1996 and 1997       6

                  Notes to Financial Statements                                7

ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
                  CONDITION AND RESULTS OF OPERATIONS10


                           PART II. OTHER INFORMATION

ITEM 1.  LEGAL PROCEEDINGS 12

ITEM 4.  SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS  12

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K   13




<PAGE>


                                                                 
                         EUROMED, INC. AND SUBSIDIARIES
                                       
                                 BALANCE SHEETS

<TABLE>
<CAPTION>

                                                                       December 31,          September 30,
                                                                            1996                     1997
                                                                                               (Unaudited)
<S>                                                                    <C>                      <C>           

                                     ASSETS

Current Assets
     Cash and cash equivalents                                         $    26,757           $            -
     Receivables -
         Amount due from sale of discontinued operations                           -            1,200,000
         Due from EuroMed Europe, B.V.                                            -               300,000
     Prepaid expenses                                                         5,590                           -
                                                                       ------------          ------------------
         TOTAL CURRENT ASSETS                                                32,347            1,500,000
                                                                       ------------          -----------

Net Assets of Discontinued Operations                                     5,207,529                          -
                                                                         ----------          -----------------

         TOTAL ASSETS                                                  $5,239,876            $1,500,000
                                                                       ==========            ==========


</TABLE>






     
                            See accompanying notes to
                             financial statements.
<PAGE>
                         EUROMED, INC. AND SUBSIDIARIES

                                 BALANCE SHEETS


<TABLE>
<CAPTION>
 

                                                                       December 31,          September 30,
                                                                            1996                     1997

                                                                                               (Unaudited)

                      LIABILITIES AND STOCKHOLDERS' EQUITY
<S>                                                                   <C>                      <C>    
Current liabilities
     Accounts payable and accrued liabilities                          $    13,576             $   164,652
                                                                       -----------             -----------

         TOTAL CURRENT LIABILITIES                                         13,576                  164,652
                                                                  -------------        ---------------------

Stockholders' Equity
     Common Stock, par value $.01 per share;
         20,000,000 shares authorized; 4,000,000 and 2,300,000
         shares issued and outstanding, respectively                        40,000                  23,000
     Additional paid-in capital                                         12,013,000              10,330,000
     Retained (deficit)                                                 (6,661,362)             (8,885,402)
     Cumulative currency translation adjustment                            (33,088)                          -
                                                                       -----------           -----------------
                                                                         5,358,550               1,467,598

         Less:  23,000 Treasury Shares, at cost                           (132,250)               (132,250)
                                                                       -----------             -----------

         TOTAL STOCKHOLDERS' EQUITY                                       5,226,300             1,335,348
                                                                       ----------            ----------

         TOTAL LIABILITIES AND
           STOCKHOLDERS' EQUITY                                          $5,239,876           $1,500,000
                                                                        ==========                

</TABLE>















                            See accompanying notes to
                             financial statements.
<PAGE>
                         EUROMED, INC. AND SUBSIDIARIES

                            STATEMENTS OF OPERATIONS

                                   (UNAUDITED)

<TABLE>
<CAPTION>

                                                         Three months ended                Nine months ended
                                                 September 30,    September 30,     September 30,    September 30
                                                         1996          1997              1996          1997
                                                 ------------------    ------------------------------- ------
<S>                                                 <C>          <C>              <C>              <C>           

Sales                                               $           - $              -  $            - $             -
Cost of goods sold                                               -                -              -               -
                                                     -------------  ---------------  ------------- ---------------

   Gross profit                                               -                -                 -            -

Selling, general and administrative expenses              36,578         147,839           491,942       591,359
                                                     -----------   -------------       -----------  ------------
Operating Profit (loss)                                 (36,578)        (147,839)         (491,942)    (591,359)

Interest income                                               -                -            69,602            -
Interest (expense)                                        (9,000)                  -        (9,000)              -
                                                     -----------  ------------------- ----------------------------
Income (loss) before income taxes                       (45,578)        (147,839)         (431,340)    (591,359)

Income tax (expense) benefit                                -                   -               -          -
                                                     --------------- ---------------------------------------------------

(Loss) from continuing operations                       (45,578)        (147,839)         (431,340)    (591,359)

Discontinued operations
   Income (loss) from discontinued operations           165,578         (271,051)          914,340     (713,695)
   Estimated loss on disposal of discontinued
       operations                                                -      (918,986)                -     (918,986)
                                                     ------------- -------------    -------------- ------------

Net income (loss)                                    $  120,000     $(1,337,876)       $   483,000  $(2,224,040)
                                                     ==========     ===========        ===========  ===========

Weighted average number of
   common shares outstanding                          3,787,500        2,300,000        3,060,000      3,320,000
                                                     ==========     ============       =========== =============

Income (loss) per share:
   Continuing operations                             $       (.01)$         (.06)    $        (.14)$        (.18)
   Discontinued operations -
       Income (loss) on operations                          .04             (.12)              .30         (.21)
       Estimated loss on disposal                                -           (.40)               -           (.28)
                                                     ------------- --------------   -------------- --------------

       Total                                         $        .03 $         (.58)     $         .16$        (.67)
                                                     ============ ==============      ===========================


</TABLE>






                            See accompanying notes to
                             financial statements.


                         EUROMED, INC. AND SUBSIDIARIES
                            STATEMENTS OF CASH FLOWS
       (UNAUDITED)
<TABLE>
<CAPTION>


                                                                                        Nine months ended
                                                                       September 30,             September 30,
                                                                             1996                         1997
                                                                       -----------------         -------------
<S>                                                                     <C>                    <C>

CASH FLOWS FROM OPERATING ACTIVITIES:
Net (loss) from continuing operations                                    $ (431,340)               $ (591,359)

Changes in operating assets and liabilities:
     Prepaid expenses                                                             -                      5,590
     Accounts payable and accrued liabilities                                        -                 151,075
                                                                       ---------------             -----------

         Net cash (used in) continuing operations                        (431,340)                    (434,694)
                                                                       ----------                ----------

         Net cash provided by discontinued operations                       331,340                   407,937
                                                                         ----------                ----------

         Net cash (used in) operating activities                           (100,000)                  (26,757)
                                                                          ---------               -----------

CASH FLOWS FROM INVESTING ACTIVITIES:
     Investment in unconsolidated subsidiary                           $(5,992,000)              $             -
                                                                       -----------               ---------------

         Net cash (used in) investing activities                         (5,992,000)                            -
                                                                        -----------              ----------------

CASH FLOW FROM FINANCING ACTIVITIES:
     Sale of common stock                                              6,247,500                                -
     Purchase of treasury shares                                           (132,250)                            -
                                                                       ------------              ----------------

         Net cash provided by financing activities                       6,115,250                               -
                                                                       -----------               -----------------

Net increase (decrease) in cash and cash equivalents                   23,250                         (26,757)

Cash and cash equivalents
     at the beginning of the nine month period                                       -                 26,757
                                                                       ---------------           ------------

Cash and cash equivalents
     at the end of the nine month period                               $     23,250              $               -
                                                                       ============              =================

Cash paid during the nine month period:
     Interest                                                          $      9,000              $              -
     Income taxes                                                      $          -              $              -

SUPPLEMENTAL SCHEDULE OF NONCASH INVESTING
     AND FINANCING ACTIVITIES:
         Common stock                                                  $              -          $    (17,000)
         Additional paid-in-capital                                                -                (1,683,000)
         Reduction in investment in Mutarestes B.V.                                  -               1,700,000
                                                                       --------------             -----------

                                                                       $            -            $            -
                                                                       ==============            =================
</TABLE>

                            See accompanying notes to
                             financial statements.




                         EUROMED, INC. AND SUBSIDIARIES

                          NOTES TO FINANCIAL STATEMENTS

                               SEPTEMBER 30, 1997


a.       Interim Financial Statements

The consolidated  financial information for the interim periods presented herein
has  not  been  audited  by  independent  accountants,  but  in the  opinion  of
management,  all adjustments  (consisting only of normal recurring  adjustments)
necessary for a fair presentation of the condensed  consolidated  balance sheets
and the  condensed  consolidated  statements  of earnings  and cash flows at the
dates and for the periods  indicated  have been made.  Results of operations for
interim periods are not necessarily  indicative of results of operations for the
respective full years.

b.       Earnings Per Share

Earnings  per share are computed on the  weighted  average  number of shares and
dilutive  equivalent shares of common stock  outstanding  during the three-month
and nine month  periods  ended  September  30, 1997,  using the  treasury  stock
method.
c.       Discontinued Operations

In the  summer  of 1997,  the  Company's  management  concluded  the sale of the
Company's  investment in Mutarestes  B.V. and determined that the Company should
divest itself of the remaining operating subsidiaries. On November 26, 1997, the
Company  executed  the  "Purchase  Agreement  by and between  EuroMed,  Inc. and
Neopharm B.V." Selected provisions of the agreement are as follows:

       !   80% of capital stock sold to Neopharm of EuroMed Europe, B.V.
       !   Sale Proceeds $1,000,000
       !   Retainment of $300,000 receivable from EuroMed Europe, B.V.
       !   Assignment to the Company of $500,000 of the claim against the
           purchaser of Mutarestes B.V.

Additionally,  in connection with the sale of EuroMed Europe,  B.V., the Company
entered  into a  settlement  agreement  with  Dr.  A.  Francois  Hinnen  and his
affiliates to return 1,000,000 common shares owned by them to the Company and in
return the Company would  transfer  ownership of certain  assets to Dr.  Hinnen.
Management has determined that the remaining 20% interest held in EuroMed Europe
B.V. had no realizable  value and the  collection of the $500,000  claim against
the purchse of Mutarestes B.V. was not probable; therefore no value was given to
these assets at September 30, 1997.




                                   (Continued)

                         EUROMED, INC. AND SUBSIDIARIES

                          NOTES TO FINANCIAL STATEMENTS

                               SEPTEMBER 30, 1997

c.       Discontinued Operations (Continued)

         The financial statement of EuroMed Europe B.V. as of 
September 30, 1997 are as follows:


                              EUROMED EUROPE, B.V.
                                  BALANCE SHEET
<TABLE>
<S>                                                                                 <C>

                               September 30, 1997

                                     ASSETS

                      Current Assets                                                  $6,850,655

                      Vehicles, Furniture and Equipment, net                             399,959

                      Other Assets                                                       510,281

                      Total Assets                                                    $7,760,895

                             LIABILITIES AND EQUITY

                      Liabilities                                                     $5,963,189

                      Equity                                                           1,797,706

                                                                                      $7,760,895

                              EUROMED EUROPE, B.V.
                             STATEMENT OF OPERATIONS
                      NINE MONTHS ENDED SEPTEMBER 30, 1997

                                                                                   ('000 omitted)

                      Sale $  26,395

                      Cost of Sale                                                        24,760

                      Gross Profit                                                         1,635

                      Selling, general and administrative expense                          2,349

                      Net (Loss)                                                      $     (714)
                                                                                      ==========
</TABLE>


                                   (Continued)

                         EUROMED, INC. AND SUBSIDIARIES

                          NOTES TO FINANCIAL STATEMENTS

                               SEPTEMBER 30, 1997

c.       Discontinued Operations (Continued)

The loss on the disposal of the Subsidiary is as follows:
<TABLE>
<S>                                                                                     <C>

                  Net investment in EuroMed Europe, B.V.                                $ 2,063,763

                  Professional fees incurred in connection
                     with sale of EuroMed Europe                                              55,223

                                                                                        2,118,986

                  Proceeds from sale                                                    (1,000,000)

                  Fair value of Francois Hinnen stock returned to company
                     (1,000,000 shares @ $.20)                                              (200,000)
                                                                                        ------------

                  Net loss                                                              $    918,986
                                                                                        ============

</TABLE>




<PAGE>


ITEM 2   MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND 
RESULTS OF OPERATIONS.

GENERAL

Swiss  Nassau  Corporation  was  incorporated  on May 17,  1994 in the  state of
Nevada,  United States of America,  with  authorized and issued share capital of
1,000 shares of common stock with no par value (the "Common Stock).  On June 15,
1994,  computer  equipment  with  estimated  value of $4,998 was  contributed in
exchange for all of the shares of Swiss Nassau Corporation. On October 20, 1995,
Swiss Nassau Corporation  changed its name into EuroMed,  Inc. ("EuroMed" or the
"Company")  and increased its authorized  shares to 20,000,000  shares of Common
Stock with a new par value of $0.01 per share,  and 5,000,000  preferred  shares
with a par value of $0.01 per share. On October 20, 1995, EuroMed, Inc. effected
a 150 for 1 stock split of its Common Stock.

On November  17,  1995,  all of the shares of  Galenica  B.V.  ("Galenica")  and
Confedera B.V. ("Confedera"),  both based in Oosterhout,  the Netherlands,  were
exchanged by the ultimate shareholder of both companies for all of the shares of
a newly-formed  company,  EuroMed Europe B.V. ("EuroMed Europe").  Prior to this
transaction Galenica and Confedera were owned by B.V. Wisteria  ("Wisteria"),  a
Netherlands limited liability company, which is owned by Pantapharma B.V., which
is owned by A. Francois  Hinnen.  All of the shares of EuroMed  Europe were then
exchanged for 1,850,000  shares of Common Stock.  Neither EuroMed Europe nor the
Company  had  any  operations,   and  these   transactions   were  completed  in
contemplation  of an initial public  offering  ("IPO") of shares of EuroMed.  In
March 1996 EuroMed  completed its IPO by selling  1,150,000 shares of its common
stock at $6.50 per share.  The  proceeds  of the IPO and  850,000  shares of its
common stock were used to acquire Mutarestes B.V. and Subsidiary  ("Mutarestes")
in July 1996 (estimated  acquisition price of $11,729,500).  Almost immediately,
upon completion of the acquisition of Mutarestes,  differences developed between
various officers,  directors and shareholders.  Mutarestes was subsequently sold
in July 1997 with a significant  loss being recognized and the 850,000 shares of
common stock being  returned to the Company.  In addition,  A.  Francois  Hinnen
returned 850,000 shares of common stock to the Company to mitigate the effect of
the loss on the Mutarestes transactions.

As a result of the failed  acquisition of Mutarestes and a significant change in
the Dutch law as it related to the wholesale price of pharmaceuticals, the Board
of  Directors  concluded  that it was in the best  interest of EuroMed to divest
itself of its  remaining  Dutch  pharmaceutical  operations.  In November  1997,
EuroMed Europe and its subsidiaries were sold.  EuroMed recognized a substantial
loss on the  disposal  of  EuroMed  Europe;  therefore,  the Board of  Directors
negotiated with A. Francois  Hinnen the return of 1,000,000  shares of EuroMed's
common  stock to lessen the  effects of the loss on disposal  for the  remaining
shareholders.

EuroMed currently has no business  operations;  however, its President and Board
of Directors are actively seeking appropriate business acquisitions.















<PAGE>


RESULTS OF OPERATIONS

     Three  Months  Ended  September  30, 1997  Compared to Three  Months  Ended
September  30, 1996 and Nine Months Ended  September  30, 1997  Compared to Nine
Months Ended September 30, 1996

As of  September  30,  1997 the  Company  had no  sales.  Selling,  general  and
administrative  expenses for the three and nine months ended  September 30, 1997
were $147,839 and $591,359,  respectively, and were comprised primarily of legal
and professional fees incurred as part of the legal proceeding described in Part
II Item 1 Legal Proceedings.

Selling, general and administrative expenses for the three and nine months ended
September 30, 1996 were $30,578 and $491,942,  respectively,  and were comprised
primarily  of legal and  accounting  expenses  incurred in  connection  with the
Company's initial public offering and professional fees for the recurring public
reporting.  The $69,600  interest  income was earned on the funds  raised on the
initial  public  offering  prior to the time the  funds  were  expended  for the
investment in Mutarestes B.V.

LIQUIDITY AND CAPITAL RESOURCES

         Cash (used in)  operations  was  $(26,757)  for the nine  months  ended
September 30, 1997 compared with $(100,000)  provided by operations for the nine
months  ended  September  30,  1996.  The cash  used in  operations  was  offset
partially by advances from the discontinued operations.

         Net cash  provided by financing  activities  was $0 for the nine months
ended  September  30, 1997 compared  with  $6,115,000  for the nine months ended
September 30, 1996. The Company's initial public offering of shares on March 19,
1996, was the significant source of cash for the nine months ended September 30,
1996.

         Cash and cash equivalents at the end of the nine months ended September
30,  1997  was  $-0-  compared  with  $23,250  at the end of nine  months  ended
September 30, 1996.

         Management  is of the opinion  that the  proceeds  from the sale of the
discontinued operations,  should be sufficient to finance and sustain operations
at the  present  level  for at least  twelve  months  or until  such  time as an
appropriate merger is completed.





<PAGE>


                                     PART II

ITEM 1.   LEGAL PROCEEDINGS

         The Company is still involved in three legal proceedings, two in Nevada
State  Court  and one in the  United  States  District  Court  for the  Northern
District  of Texas.  There has been no  substantive  activity  in the past three
months in the first Nevada suit filed by the Company  against  former  directors
Gregory Alan Gaylor and Robert Jansonius.

         The second legal  proceeding  is a lawsuit  filed by the Company in the
United States  District Court for the Northern  District of Texas against Gaylor
for his malicious interference with Company management,  business disparagement,
and violation of federal securities laws. On July 29, 1997, U.S. Senior District
Judge  Barefoot  Sanders  granted a Final  Judgment  awarding the Company actual
damages against Gaylor in the amount of $5,350,000,  and punitive damages in the
amount of $10,700,000 for Gaylor's  malicious and intentional  interference  and
disparagement of the Company's management.  Gaylor was also permanently enjoined
from  violating  federal  securities  laws,   including  Section  13(d)  of  the
Securities Exchange Act of 1934.

         The third legal  proceeding is a Nevada lawsuit filed by Gaylor and Jan
Bouwman  (another  former  director),  on behalf of themselves and the Company's
minority shareholders,  against the Company. Among other allegations, Gaylor and
Bouwman  requested  that a receiver be  appointed to run the Company and that an
injunction  be  entered  to  block  the  Company's   divestiture  of  Pluripharm
International,  B.V. On July 3, 1997,  the Nevada State Court denied  Gaylor and
Bouwman's  requested relief but, with the agreement of the Company,  appointed a
special  master to  conduct  an  investigation  of  specific  transactions.  The
master's  report has not been  received  and  discovery in the case has not been
completed. The Company denies Gaylor and Bouwman's allegations and will continue
to vigorously defend the case.




<PAGE>


ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K

(a)      Exhibits


                        Number and Description of Exhibit

Number       Exhibit Description

2.1          Assets and Liabilities Transfer Agreement by and between 
             Pluripharm 
             International B.V. and Houdstermaatscheppy B.V. dated July
             4, 1997.(2)
3.1          Restated Articles of Incorporation of the Registrant.(1)
3.2          Bylaws of the Registrant.(1)
4.1          Specimen Common Stock Certificate.(1)
10.1         Summary of Management Contract dated February 15, 1997, by and 
             between EuroMed, Inc. and the Anderson Group.(2)
27.1         Financial Data Schedule.(*)

             *     Filed herewith.

             (1)  Previously filed as an Exhibit to the company's Registration
                  Statement No. 33-80805 on Form S-1 and incorporated by herein
                  reference.

             (2)  Previously filed as an Exhibit to Report in Form 8-K dated 
                  July 4, 1997, and incorporated herein by referenced

(b)          Reports of Form 8-K

             The Company filed a report on Form 8-K dated July 4, 1997 to report
on Item 2 event.


<PAGE>


                                   SIGNATURES

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

EuroMed, Inc.

Dated: December 1, 1998


       Signature                                                    Title




/s/ Elbert G. Tindell                                            President and
Elbert G. Tindell                                          Chairman of the Board




/s/ Robert A. Shuey, III                               Chief Executive Officer,
Robert A. Shuey, III                                   Chief Financial Officer,
                                                     Treasurer and Director