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FORM 10-QSB

U.S. SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

|  |  |                                                                                        
|- |  | ---------------------------------------------------------------------------------------
|x |  | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934

|                                              |  |                               
|--------------------------------------------- |  | ------------------------------
|For the quarterly period ended
March 31, 2003 |  | Commission file Number
0-26150

MILE MARKER INTERNATIONAL, INC.

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(Exact Name Of Small Business Registrant As Specified In Its Charter)


|                                               |  |                                     
|---------------------------------------------- |  | ------------------------------------
|Florida                                        |  | 11-2128469                          
|                                               |  |                                     
|(State or other
jurisdiction of
incorporation) |  | (IRS Employer
Identification
Number)

1450 S.W. 13th Court, Pompano Beach, Florida 33069

---

(Address of principal executive offices)


Registrants Telephone Number: (954) 782-0604

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 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 o

APPLICABLE ONLY TO CORPORATE ISSUERS

On March 31, 2003, the Registrant had outstanding 10,218,729 shares of
common stock, $.001 par value.



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TABLE OF CONTENTS



|                                           |                                                                   |  |  |  |  |  |  | 
|------------------------------------------ | ----------------------------------------------------------------- |  |  |  |  |  |  | 
|PART I  FINANCIAL INFORMATION            
|                                           | Item 1. Financial Statements of Mile Marker International, Inc.  
|Consolidated Balance Sheets               
|Consolidated Statements of Income         
|Consolidated Statements of Cash Flows     
|NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
|                                           | Item 2. Managements Discussion and Analysis or Plan of Operation
|                                           | Item 3. Controls and Procedures                                  
|PART II  OTHER INFORMATION               
|                                           | Item 1. Legal Proceedings                                        
|                                           | Item 2. Changes in Securities and Use of Proceeds                
|                                           | Item 3. Defaults Upon Senior Securities                          
|                                           | Item 4. Submission of Matters to a Vote of Security Holders      
|                                           | Item 5. Other Information                                        
|                                           | Item 6. Exhibits and Reports on Form 8K                          
|SIGNATURES                                
|CERTIFICATION                             
|CERTIFICATION                             



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MILE MARKER INTERNATIONAL, INC.

INDEX

|               |  |                                                                                              |  |         
|-------------- |  | -------------------------------------------------------------------------------------------- |  | --------
|               |  |                                                                                              |  | Page No.
|               |  |                                                                                              |  |         
|PART I         |  | FINANCIAL INFORMATION                                                                        |  |         
|               |  |                                                                                              |  |         
|Item 1.        |  | Financial Statements                                                                         |  |         
|               |  |                                                                                              |  |         
|               |  | Consolidated Balance Sheets, March 31, 2003, and
December 31, 2002                           |  | 4       
|               |  |                                                                                              |  |         
|               |  | Consolidated Statements of Income, Three months ended
March 31, 2003, and March 31, 2002     |  | 5       
|               |  |                                                                                              |  |         
|               |  | Consolidated Statements of Cash Flows, Three months ended
March 31, 2003, and March 31, 2002 |  | 6       
|               |  |                                                                                              |  |         
|               |  | Notes to Consolidated Financial Statements                                                   |  | 7       
|               |  |                                                                                              |  |         
|Item 2.        |  | Managements Discussion and Analysis or Plan of Operation                                    |  | 8-10    
|               |  |                                                                                              |  |         
|Item 3.        |  | Controls and Procedures                                                                      |  | 10      
|               |  |                                                                                              |  |         
|PART II        |  | OTHER INFORMATION                                                                            |  |         
|               |  |                                                                                              |  |         
|Item 1.        |  | Legal Proceedings                                                                            |  | 10      
|               |  |                                                                                              |  |         
|Item 2.        |  | Changes in Securities and Use of Proceeds                                                    |  | 11      
|               |  |                                                                                              |  |         
|Item 3.        |  | Defaults Upon Senior Securities                                                              |  | 11      
|               |  |                                                                                              |  |         
|Item 4.        |  | Submission of Matters to a Vote of Security Holders                                          |  | 11      
|               |  |                                                                                              |  |         
|Item 5.        |  | Other Information                                                                            |  | 11      
|               |  |                                                                                              |  |         
|Item 6.        |  | Exhibits and Reports on Form 8-K                                                             |  | 11      
|               |  |                                                                                              |  |         
|SIGNATURES     |  | 12                                                                                          
|               |  |                                                                                              |  |         
|CERTIFICATIONS |  | 13-16                                                                                       

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MILE MARKER INTERNATIONAL, INC.

RISKS AND UNCERTAINTIES

Current and potential shareholders should consider carefully the risk factors
described below. Any of these factors, or others, many of which are beyond the
Companys control, could negatively affect the Companys revenues,
profitability or cash flows in the future. These factors include:



| |  |  | Demand for the Companys products in general and from U.S. Government
entities in particular.                                     
| | - |  | ----------------------------------------------------------------------------------------------------------------------------------
|
| |  |  | Magnitude of price and product competition for the Companys products.                                                            
|
| |  |  | Effects of weather and natural disasters on demand for the Companys products.                                                    
|
| |  |  | Effects of foreign political, economic or military developments on
the Companys
international customer or supplier relationships.
|
| |  |  | Ability to control costs and expenses.                                                                                            
|
| |  |  | Ability to retain qualified personnel.                                                                                            
|
| |  |  | Ability to develop and introduce new or enhanced versions of the
Companys products.                                              

FORWARD-LOOKING STATEMENTS

When used in this Quarterly Report on Form 10-QSB or in future filings by the
Company (as hereinafter defined) with the Securities and Exchange Commission,
in the Companys press releases or other public or shareholder communications,
or in oral statements made with the approval of an authorized executive
officer, the words or phrases will likely result, are expected to,  will
continue, is anticipated, estimate, project, or similar expressions
are intended to identify forward-looking statements. The Company wishes to
caution readers not to place undue reliance on any such forward-looking
statements, which speak as of the date made, and to advise readers that various
factors, including regional and national economic conditions, substantial
changes in levels of market interest rates, credit and other risks of
manufacturing, distributing or marketing activities, and competitive and
regulatory factors could affect the companys financial performance and could
cause the Companys actual results for future periods to differ materially from
those anticipated by any forward-looking statements.

The Company does not undertake and specifically disclaims any obligation to
update any forward-looking statements to reflect the occurrence of anticipated
or unanticipated events or circumstances after the date of such statements.

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PART I  FINANCIAL INFORMATION




Item 1. Financial Statements of Mile Marker International, Inc.

MILE MARKER INTERNATIONAL, INC. AND SUBSIDIARY




Consolidated Balance Sheets


March 31, 2003 and December 31, 2002
UNAUDITED


|                                                                                                                                                           |                                                                                                  |                            |              |           |           |           |              |           |           |           | 
|---------------------------------------------------------------------------------------------------------------------------------------------------------- | ------------------------------------------------------------------------------------------------ | -------------------------- | ------------ | --------- | --------- | --------- | ------------ | --------- | --------- | --------- | 
|                                                                                                                                                           |                                                                                                  |                            |              |           | March 31, |           | December 31,
|                                                                                                                                                           |                                                                                                  |                            |              |           | 2003      |           | 2002        
|                                                                                                                                                           |                                                                                                  |                            |              |           |           |           |             
|ASSETS                                                                                                                                                     |                                                                                                  |                            |              |           |           |           |              |          
|CURRENT ASSETS                                                                                                                                             |                                                                                                  |                            |              |           |           |           |              |          
|                                                                                                                                                           | Cash                                                                                             |                            | $            | 123,359   |           |           | $            | 101,868   |          
|                                                                                                                                                           | Accounts Receivable, net of allowance for doubtful
accounts of $24,000 and $36,000, respectively |                            |              | 1,071,378 |           |           |              | 1,021,921 |          
|                                                                                                                                                           | Inventories                                                                                      |                            |              | 2,982,531 |           |           |              | 3,161,372 |          
|                                                                                                                                                           | Notes and Other Receivables                                                                      |                            |              | 110,377   |           |           |              | 198,144   |          
|                                                                                                                                                           | Deferred Tax Asset                                                                               |                            |              | 49,378    |           |           |              | 51,415    |          
|                                                                                                                                                           | Prepaid Expenses                                                                                 |                            |              | 48,469    |           |           |              | 44,598    |          
|                                                                                                                                                           |                                                                                                  |                            |              |           |           |           |              |          
|                                                                                                                                                           |                                                                                                  | Total Current Assets       |              |           | 4,385,492 |           |              |           | 4,579,318 |          
|                                                                                                                                                          
|PROPERTY AND EQUIPMENT, NET                                                                                                                                |                                                                                                  |                            | 1,874,417    |           |           |           | 361,842      |          
|INTANGIBLE ASSETS, NET                                                                                                                                     |                                                                                                  |                            | 125,926      |           |           |           | 71,963       |          
|OTHER ASSETS                                                                                                                                               |                                                                                                  |                            | 79,364       |           |           |           | 134,623      |          
|                                                                                                                                                           |                                                                                                  |                            |              |           |           |           |              |          
|                                                                                                                                                           |                                                                                                  |                            | Total Assets |           | $         | 6,465,199 |              |           | $         | 5,147,746 | 
|                                                                                                                                                           |                                                                                                  |                            |              |           |           |           |              |          
|                                                                                                                                                           |                                                                                                  |                            |              |           |           |           |              |          
|LIABILITIES AND SHAREHOLDERS EQUITY                                                                                                                       |                                                                                                  |                            |              |           |           |           |              |          
|CURRENT LIABILITIES                                                                                                                                        |                                                                                                  |                            |              |           |           |           |              |          
|                                                                                                                                                           | Notes Payable  Line of Credit                                                                   |                            | $            | 1,219,293 |           |           | $            | 1,187,650 |          
|                                                                                                                                                           | Notes Payable  Current Portion                                                                  |                            |              | 63,000    |           |           |              |          |          
|                                                                                                                                                           | Accounts Payable                                                                                 |                            |              | 249,374   |           |           |              | 447,564   |          
|                                                                                                                                                           | Income Taxes Payable                                                                             |                            |              | 148,864   |           |           |              | 48,708    |          
|                                                                                                                                                           | Accrued Liabilities                                                                              |                            |              | 125,462   |           |           |              | 70,461    |          
|                                                                                                                                                           |                                                                                                  |                            |              |           |           |           |              |          
|                                                                                                                                                           |                                                                                                  | Total Current Liabilities  |              |           | 1,805,993 |           |              |           | 1,754,383 |          
|                                                                                                                                                           |                                                                                                  |                            |              |           |           |           |              |          
|DEFERRED TAX LIABILITY                                                                                                                                     |                                                                                                  |                            | 33,538       |           |           |           | 30,988       |          
|                                                                                                                                                           |                                                                                                  |                            |              |           |           |           |              |          
|LONG-TERM DEBT                                                                                                                                             |                                                                                                  |                            |              |           |           |           |              |          
|                                                                                                                                                           | Other Notes Payable                                                                              |                            |              | 1,197,000 |           |           |              |          |          
|                                                                                                                                                           |                                                                                                  |                            |              |           |           |           |              |          
|                                                                                                                                                           |                                                                                                  | Total Liabilities          |              |           | 3,036,531 |           |              |           | 1,785,371 |          
|                                                                                                                                                           |                                                                                                  |                            |              |           |           |           |              |          
|                                                                                                                                                           |                                                                                                  |                            |              |           |           |           |              |          
|SHAREHOLDERS EQUITY                                                                                                                                       |                                                                                                  |                            |              |           |           |           |              |          
|Common Stock, $.001 par value; 20,000,000 shares
authorized, 10,218,729 and 10,268,799 shares issued at
March 31, 2003 and December 31, 2002, respectively |                                                                                                  |                            | 10,219       |           |           |           | 10,269       |          
|Additional Paid-in Capital                                                                                                                                 |                                                                                                  |                            | 1,192,364    |           |           |           | 1,233,634    |          
|Less Treasury Shares (50,000 and 75,060 shares at cost)                                                                                                    |                                                                                                  |                            | (31,000      | )         |           |           | (51,060      | )        
|Retained Earnings                                                                                                                                          |                                                                                                  |                            | 2,257,085    |           |           |           | 2,169,532    |          
|                                                                                                                                                           |                                                                                                  |                            |              |           |           |           |              |          
|                                                                                                                                                           |                                                                                                  | Total Shareholders Equity |              |           | 3,428,668 |           |              |           | 3,362,375 |          
|                                                                                                                                                           |                                                                                                  |                            |              |           |           |           |              |          
|Total Liabilities & Shareholders Equity                                                                                                                   |                                                                                                  | $                          | 6,465,199    |           |           | $         | 5,147,746    |          
|                                                                                                                                                           |                                                                                                  |                            |              |           |           |           |              |          

The accompanying notes are an integral part of these financial statements.

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MILE MARKER INTERNATIONAL, INC. AND SUBSIDIARY




Consolidated Statements of Income


Three Months Ended March 31,
UNAUDITED


|                                         |                                     |                                               |                                           |                              |            |         |           |      |            |         |           |  
|---------------------------------------- | ----------------------------------- | --------------------------------------------- | ----------------------------------------- | ---------------------------- | ---------- | ------- | --------- | ---- | ---------- | ------- | --------- | -
|                                         |                                     |                                               |                                           |                              |            | 2003    |           | 2002
|                                         |                                     |                                               |                                           |                              |            |         |           |     
|Sales                                    |                                     | $                                             | 2,666,123                                 |                              |            | $       | 3,509,080 |     
|Cost of Sales                            |                                     |                                               | 1,358,426                                 |                              |            |         | 1,668,738 |     
|                                         |                                     |                                               |                                           |                              |            |         |           |     
|                                         |                                     |                                               |                                           | Gross Profit                 |            |         | 1,307,697 |      |            |         | 1,840,342 |  
|                                         |                                     |                                               |                                           |                              |            |         |           |     
|                                         |                                     |                                               |                                           |                              |            |         |           |     
|Selling Expenses                         |                                     |                                               | 297,365                                   |                              |            |         | 246,863   |     
|                                         |                                     |                                               |                                           |                              |            |         |           |     
|                                         |                                     |                                               |                                           |                              |            |         |           |     
|General and Administrative Expenses      |                                     |                                               |                                           |                              |            |         |           |     
|                                         |                                     | Salaries and Wages                            |                                           |                              | 363,369    |         |           |      | 361,671    |        
|                                         |                                     | Professional Fees                             |                                           |                              | 52,718     |         |           |      | 79,578     |        
|                                         |                                     | Rent                                          |                                           |                              | 11,540     |         |           |      | 41,734     |        
|                                         |                                     | Depreciation and Amortization                 |                                           |                              | 40,194     |         |           |      | 34,038     |        
|                                         |                                     | Insurance                                     |                                           |                              | 21,450     |         |           |      | 22,983     |        
|                                         |                                     | Vehicle Expenses                              |                                           |                              | 18,249     |         |           |      | 12,827     |        
|                                         |                                     | Research & Development                        |                                           |                              | 4,970      |         |           |      | 3,594      |        
|                                         |                                     | Other                                         |                                           |                              | 93,140     |         |           |      | 81,707     |        
|                                         |                                     |                                               |                                           |                              |            |         |           |     
|                                         |                                     |                                               | Total General and Administrative Expenses |                              |            | 605,630 |           |      |            | 638,132 |          
|                                         |                                     |                                               |                                           |                              |            |         |           |     
|                                         |                                     |                                               |                                           | Total Expenses               |            |         | 902,995   |      |            |         | 884,995   |  
|                                         |                                     |                                               |                                           |                              |            |         |           |     
|                                         |                                     |                                               |                                           |                              |            |         |           |     
|Income from Operations                   |                                     |                                               | 404,702                                   |                              |            |         | 955,347   |     
|                                         |                                     |                                               |                                           |                              |            |         |           |     
|                                         |                                     |                                               |                                           |                              |            |         |           |     
|Other Income (Expense)                   |                                     |                                               |                                           |                              |            |         |           |     
|                                         |                                     |                                               |                                           | Interest Expense             |            |         | (23,395   | )    |            |         | (26,377   | )
|                                         |                                     |                                               |                                           | Interest Income              |            |         | 6,299     |      |            |         | 4,481     |  
|                                         |                                     |                                               |                                           | Other Income (Expense)       |            |         |          |      |            |         | (5,322    | )
|                                         |                                     |                                               |                                           |                              |            |         |           |     
|                                         |                                     |                                               |                                           | Total Other Income (Expense) |            |         | (17,096   | )    |            |         | (27,218   | )
|                                         |                                     |                                               |                                           |                              |            |         |           |     
|Income before Provision for Income Taxes |                                     |                                               | 387,606                                   |                              |            |         | 928,129   |     
|                                         |                                     |                                               |                                           |                              |            |         |           |     
|Provision for Income Taxes               |                                     |                                               | (147,522                                  | )                            |            |         | (353,525  | )   
|                                         |                                     |                                               |                                           |                              |            |         |           |     
|                                         |                                     |                                               |                                           |                              |            |         |           |     
|                                         |                                     |                                               | Net Income                                |                              | $          | 240,084 |           |      | $          | 574,604 |          
|                                         |                                     |                                               |                                           |                              |            |         |           |     
|                                         |                                     |                                               |                                           |                              |            |         |           |     
|Per Share Data:                          |                                     |                                               |                                           |                              |            |         |           |     
|                                         |                                     | Weighted Average Shares Outstanding  Basic   |                                           |                              | 10,235,975 |         |           |      | 10,634,357 |        
|                                         |                                     | Weighted Average Shares Outstanding  Diluted |                                           |                              | 10,251,560 |         |           |      | 10,639,194 |        
|                                         |                                     |                                               |                                           |                              |            |         |           |     
|                                         | Earnings per Common Share  Basic   |                                               | $                                         | 0.02                         |            |         | $         | 0.05 |           
|                                         | Earnings per Common Share  Diluted |                                               | $                                         | 0.02                         |            |         | $         | 0.05 |           

The accompanying notes are an integral part of these financial statements

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MILE MARKER INTERNATIONAL, INC. AND SUBSIDIARY




Consolidated Statements of Cash Flows


Three Months Ended March 31,
UNAUDITED


|                                                                                            |                                 |                                              |            |          |        |   |           |           |         |  | 
|------------------------------------------------------------------------------------------- | ------------------------------- | -------------------------------------------- | ---------- | -------- | ------ | - | --------- | --------- | ------- |  | 
|                                                                                            |                                 |                                              |            |          | 2003   |   | 2002     
|                                                                                            |                                 |                                              |            |          |        |   |          
|OPERATING ACTIVITIES:                                                                       |                                 |                                              |            |          |        |   |           |          
|Net income                                                                                  |                                 | $                                            | 240,084    |          |        | $ | 574,604   |          
|Adjustments to reconcile net income to net cash
provided by (used in) operating activities: |                                 |                                              |            |          |        |   |           |          
|                                                                                            | Depreciation and amortization   |                                              |            | 48,892   |        |   |           | 41,728    |        
|                                                                                            | Deferred income taxes           |                                              |            | 4,586    |        |   |           | (6,605    | )      
|                                                                                            | Inventory obsolescence reserves |                                              |            | 6,358    |        |   |           | 19,937    |        
|                                                                                            | Bad debt provisions             |                                              |            | 22,238   |        |   |           | 9,638     |        
|                                                                                            |                                 |                                              |            |          |        |   |           |          
|(Increase) decrease in:                                                                     |                                 |                                              |            |          |        |   |           |          
|                                                                                            | Accounts receivable             |                                              |            | (71,695  | )      |   |           | 1,474,325 |        
|                                                                                            | Inventories                     |                                              |            | 172,483  |        |   |           | (166,269  | )      
|                                                                                            | Prepaid expenses                |                                              |            | (3,871   | )      |   |           | 33,554    |        
|                                                                                            | Other receivables               |                                              |            | 87,767   |        |   |           | (224,714  | )      
|                                                                                            | Other assets                    |                                              |            | 260      |        |   |           | 11,333    |        
|(Decrease) increase in:                                                                     |                                 |                                              |            |          |        |   |           |          
|                                                                                            | Accounts payable                |                                              |            | (198,190 | )      |   |           | (656,111  | )      
|                                                                                            | Income taxes payable            |                                              |            | 100,156  |        |   |           | (69,048   | )      
|                                                                                            | Accrued liabilities             |                                              |            | 55,001   |        |   |           | 9,738     |        
|                                                                                            |                                 |                                              |            |          |        |   |           |          
|Net cash provided by operating activities                                                   |                                 |                                              | 464,069    |          |        |   | 1,052,110 |          
|                                                                                            |                                 |                                              |            |          |        |   |           |          
|INVESTING ACTIVITIES:                                                                       |                                 |                                              |            |          |        |   |           |          
|Proceeds from sale of property and equipment                                                |                                 |                                              |           |          |        |   | 29,000    |          
|Additions to intangible assets                                                              |                                 |                                              | (67,070    | )        |        |   | (40,000   | )        
|Deposits on building                                                                        |                                 |                                              | (60,000    | )        |        |   |          |          
|Acquisitions of property and equipment                                                      |                                 |                                              | (1,433,360 | )        |        |   | (28,674   | )        
|                                                                                            |                                 |                                              |            |          |        |   |           |          
|Net cash (used in) investing activities                                                     |                                 |                                              | (1,560,430 | )        |        |   | (39,674   | )        
|                                                                                            |                                 |                                              |            |          |        |   |           |          
|FINANCING ACTIVITIES                                                                        |                                 |                                              |            |          |        |   |           |          
|(Repayment of) proceeds from short term borrowing  net                                     |                                 |                                              | 31,643     |          |        |   | (764,811  | )        
|Purchase and retirement of common stock                                                     |                                 |                                              | (21,260    | )        |        |   |          |          
|Purchase of treasury stock                                                                  |                                 |                                              |           |          |        |   | (62,000   | )        
|Payment of dividends                                                                        |                                 |                                              | (152,531   | )        |        |   |          |          
|Proceeds of long-term debt                                                                  |                                 |                                              | 1,260,000  |          |        |   |          |          
|Repayment of long-term debt                                                                 |                                 |                                              |           |          |        |   | (35,511   | )        
|                                                                                            |                                 |                                              |            |          |        |   |           |          
|Net cash provided by (used in) financing activities                                         |                                 |                                              | 1,117,852  |          |        |   | (862,322  | )        
|                                                                                            |                                 |                                              |            |          |        |   |           |          
|Increase in Cash                                                                            |                                 |                                              | 21,491     |          |        |   | 150,114   |          
|                                                                                            |                                 |                                              |            |          |        |   |           |          
|Cash at Beginning of Period                                                                 |                                 |                                              | 101,868    |          |        |   | 50,089    |          
|                                                                                            |                                 |                                              |            |          |        |   |           |          
|Cash at End of Period                                                                       |                                 | $                                            | 123,359    |          |        | $ | 200,203   |          
|                                                                                            |                                 |                                              |            |          |        |   |           |          
|                                                                                            |                                 |                                              |            |          |        |   |           |          
|Supplemental disclosure of cash flow information:                                           |                                 |                                              |            |          |        |   |           |          
|                                                                                            |                                 | Cash paid during the period for interest     |            | $        | 17,744 |   |           | $         | 19,369  | 
|                                                                                            |                                 | Cash paid during the period for income taxes |            | $        | 42,779 |   |           | $         | 429,178 | 

The accompanying notes are an integral part of these financial statements.

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MILE MARKER INTERNATIONAL, INC.




NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


(Unaudited)


Note 1: Basis of Presentation

The unaudited consolidated financial statements include the accounts of
Mile Marker International, Inc. and its wholly-owned subsidiary, Mile Marker,
Inc. (collectively the Company). All necessary adjustments to the financial
statements have been made, and significant inter-company accounts and
transactions have been eliminated in consolidation.

The accompanying unaudited consolidated financial statements, which are
for interim periods, do not include all disclosures provided in the annual
consolidated financial statements. These unaudited consolidated financial
statements should be read in conjunction with the consolidated financial
statements and the footnotes thereto contained in the Annual Report on Form
10-KSB for the year ended December 31, 2002, of Mile Marker International,
Inc., as filed with the U.S. Securities and Exchange Com-mission. The summary
December 31, 2002, balance sheet was derived from audited consolidated
financial statements, but does not include all disclosures required by
generally accepted accounting principles at December 31, 2002.

In the opinion of the Companys management, the accompanying unaudited
consolidated financial statements contain all adjustments (which are of a
normal recurring nature) necessary for a fair presentation of the financial
statements. The results for interim periods are not necessarily indicative of
results to be expected for the complete fiscal year.

Per share data was computed by dividing net income by the weighted average
number of shares outstanding during the period. The diluted share base for
the periods ended March 31, 2003 and 2002, includes incremental shares for
stock options outstanding during those periods.

Note 2: Shareholders Equity

During the quarter ending March 31, 2003, the Company purchased and
retired 25,010 shares of its common stock, $.001 par value, for $21,260.
50,000 shares of the Companys common stock were held in the Companys treasury
as of March 31, 2003. On January 31, 2003, the Company paid a cash dividend of
$0.015 per share on its common stock, totaling $152,531.

Note 3: Reclassification

Certain amounts in prior periods have been reclassified for comparative
purposes.

-7-



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##### Table of Contents






Item 2. Managements Discussion and Analysis or Plan of Operation

The following discussion and analysis should be read in conjunction with
the Financial Statements appearing elsewhere in this quarterly report on Form
10-QSB.

RESULTS OF OPERATIONS

The following table summarizes the results of operations, stated as a
percentage of sales, for the three months ended March 31, 2003 and 2002:

|                                             |                |  |       |      |      |  |       |      |  
|-------------------------------------------- | -------------- |  | ----- | ---- | ---- |  | ----- | ---- | -
|                                             |                |  | 2003  |      | 2002
|                                             |                |  |       |      |     
|Sales                                        |                |  | 100.0 | %    |      |  | 100.0 | %   
|Cost of Sales                                |                |  | 51.0  | %    |      |  | 47.5  | %   
|                                             |                |  |       |      |      |  |       |     
|                                             | Gross Profit   |  |       | 49.0 | %    |  |       | 52.5 | %
|Selling, General and
Administrative Expenses |                |  | 33.9  | %    |      |  | 25.2  | %   
|                                             |                |  |       |      |      |  |       |     
|Income from Operations                       |                |  | 15.1  | %    |      |  | 27.3  | %   
|Other Income/(Expense)                       |                |  | (0.6  | )%   |      |  | ( 0.8 | )%  
|                                             |                |  |       |      |      |  |       |     
|                                             | Pre-Tax Income |  |       | 14.5 | %    |  |       | 26.5 | %
|Income Taxes                                 |                |  | (5.5  | )%   |      |  | (10.1 | )%  
|                                             |                |  |       |      |      |  |       |     
|                                             | Net Income     |  |       | 9.0  | %    |  |       | 16.4 | %
|                                             |                |  |       |      |      |  |       |     

Sales of $2,666,123 for the three months ended March 31, 2003, were
$842,957, or approximately 24%, less than first quarter 2002 sales of
$3,509,080. This sales decrease was due primarily to $1,236,295 less military
winch sales in the first quarter of 2003 than in the comparable period in 2002
due to the Companys fulfillment of a major military contract in 2002. This
decrease in military winch sales was partially offset by an increase of
approximately $350,000 in commercial winch sales and approximately $85,000 in
hub sales during the first quarter of 2003 compared to the first quarter of
2002.

The Companys gross margins on its sales decreased from 52.5% in 2002 to
49.1% in 2003, primarily due to a shift in the Companys 2003 product mix to
more lower-margin winch products. Selling costs increased by $50,502, or
approximately 20%, from $246,863 in 2002 to $297,365 in 2003, primarily due to
higher advertising costs related to the Companys commercial winches.

General and administrative expenses for the three months ended March 31,
2003, decreased by $32,502, or about 5%, from $638,132 in the first quarter of
2002 to $605,630 in the first quarter of 2003. The most significant decrease in
general and administrative expenses from the first three months of 2002 related
primarily to rent expenses, which decreased by $30,194, or approximately 72%,
from 2002 levels due to temporary rental income received from the Companys
warehouse/office building purchased in January which it intends to occupy in
the second quarter of 2003. Relative to its sales, however, the Companys
total general and administrative costs increased from 18.2% of sales in the
first quarter of 2002 to 22.7% of sales in the first quarter of 2003.

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The Companys results of operations for the first three months of 2003
reflected operating income of $404,702 compared to income from operations of
$955,347 during the same period in 2002. Other expenses, consisting primarily
of interest, were $10,122 less in the first three months of 2003 than the
comparable period in 2002 primarily due to lower borrowings and higher interest
income. During the quarter ending March 31, 2003, the Company recorded income
before taxes of $387,605 compared to income before taxes of $928,129 during the
same period in 2002. The Companys net income of $240,084 after taxes in the
first quarter of 2003 is approximately 58% less than the net income of $574,604
for the first quarter of 2002. The net income in the first three months of
2003 represents earnings per share of $.02, both primary and fully diluted,
compared to $.05 earnings per share in the first quarter of 2002.

The primary reason for the lower income in the first quarter of 2003
compared to the comparable period in 2002 was the effect of the 24% lower sales
in 2003 on the Companys operating leverage. The Companys financial results
are heavily influenced by significant periodic sales to the U.S. military for
replacement winches for existing HMMWVs. There were no military replacement
winch sales in the first quarter of 2003 compared to about $2 million in the
first quarter of 2002. The Companys future sales will continue to be
significantly affected by its ability to obtain new military orders for
replacement winches. The timing of such military orders is generally
intermittent and unpredictable. Any new military orders received for
replacement winches would be expected to provide opportunities for substantial
increases in sales while the lack of such new military orders could have a
material adverse effect on the Companys future sales.

The Companys first quarter 2003 sales included significant sales of
electric winches that were not present in the Companys sales for the first
quarter of 2002. The Companys basic sales strategy for 2003 is to increase
both hydraulic and electric winch sales to the commercial markets with the
addition of new winch models while continuing to sell significant numbers of
OEM hydraulic winches to the military for new HMMWVs.

LIQUIDITY AND CAPITAL RESOURCES

Net working capital decreased by $245,436 to $2,579,499 on March 31,
2003, from $2,824,935 on December 31, 2002, and the Companys current ratio
decreased to 2.43 at March 31, 2003, compared to 2.61 at December 31, 2002.
The Companys current assets decreased by $193,826 to $4,385,492 at March 31,
2003, compared to $4,579,318 at December 31, 2002. Most of this decrease in
current assets was due to a reduction of $178,841 in inventories from December
31, 2002 levels.

The Companys current liabilities increased by $51,610, from $1,754,383 on
December 31, 2002, to $1,805,993 on March 31, 2003. Short-term borrowings
under the Companys line of credit increased by $31,643 from the December 31,
2002, balance of $1,187,650 to $1,219,293 on March 31, 2003. Trade accounts
payable were reduced by $198,190 from $447,564 on December 31, 2002, to
$249,374 on March 31, 2003.

-9-



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##### Table of Contents



During the first quarter of 2003, the Companys operating activities
provided cash of $464,069. These funds and a long-term mortgage loan of
$1,260,000 provided funding for the $1,433,360 acquisition costs of property
and equipment. At the same time, $21,260 was used during this period to
purchase 25,010 shares of the Companys common stock, and $152,531 was used to
pay a cash dividend of $0.015 per common share. The Company has no material
commitments outstanding for major capital expenditures during 2002. However,
the Company may continue to pay dividends or repurchase its shares in the
future.

The Companys cash balances increased by $21,491 from the December 31,
2002, level of $101,868 to $123,359 on March 31, 2003, due to the timing of
deposits in transit. The Company funds its operations chiefly through the
collection of its trade receivables, supplemented with periodic short-term
borrowings from a lender.

The Company has a $3,500,000 working capital line of credit from a lender
at an interest rate of 2.55% above the One Month London Interbank Offered Rate.
On January
16, 2003, the Companys lender extended the maturity date of this working
capital line of credit to February 28, 2004. The Companys actual borrowings
at March 31, 2003, were only about 35% of its total availability due to the
significant cash flow generated from its operations, which also facilitated a
substantial reduction of its accounts payable.

On February 6, 2003, the Companys lender supplemented the Companys
existing working capital line of credit with a 10-year $1,260,000 revolving
line of credit secured by the Companys warehouse and office building.




Item 3. Controls and Procedures

Based on an evaluation conducted within 90 days of the filing date of this
report, the Chief Financial Officer and the Chief Executive Officer of the
Registrant have determined the effectiveness of the Registrants disclosure
controls and procedures. These officers determined that there were no
significant changes in the Registrants internal controls or in other factors
that could significantly affect these controls subsequent to the date of their
evaluation, including any corrective actions with regard to significant
deficiencies and material weaknesses.




PART II  OTHER INFORMATION




Item 1. Legal Proceedings

From time to time, the Company is a party to business disputes arising in
the normal course of its business operations. The Companys management
believes that none of these actions, standing alone, or in the aggregate,
currently are material to the Companys operations or finances.

-10-



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##### Table of Contents






Item 2. Changes in Securities and Use of Proceeds

None.




Item 3. Defaults Upon Senior Securities

None




Item 4. Submission of Matters to a Vote of Security Holders

None




Item 5. Other Information

None




Item 6. Exhibits and Reports on Form 8K

None

-11-



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##### Table of Contents






SIGNATURES

In accordance with 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, duly authorized.

|                                             |  |                                                                                              
|-------------------------------------------- |  | ---------------------------------------------------------------------------------------------
|MILE MARKER INTERNATIONAL, INC.
(Registrant) |  |                                                                                              
|                                             |  |                                                                                              
|                                             |  |                                                                                              
|5-2-03                                       |  | /s/ Richard E. Aho                                                                           
|                                             |  |                                                                                              
|(Date)                                       |  | Richard E. Aho, President and
Chief Executive Officer                                        
|                                             |  |                                                                                              
|                                             |  |                                                                                              
|5-2-03                                       |  | /s/ Alvin A. Hirsch,                                                                         
|                                             |  |                                                                                              
|(Date)                                       |  | Alvin A. Hirsch, Secretary/Treasurer
and Chief Financial Officer
Principal Accounting Officer

-12-



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##### Table of Contents






CERTIFICATION

Pursuant to Section 302 of the Securities Exchange Act of 1934

I, Richard E. Aho, certify that:

1.     I have reviewed this quarterly report on Form10-QSB of Mile Marker
International, Inc. (the Registrant).

2.     Based on my knowledge, this quarterly report does not contain any untrue
statement of a material fact or omit to state a material fact necessary to make
the statements made, in light of the circumstances under which such statements
were made, not misleading with respect to the period covered by this quarterly
report;

3.     Based on my knowledge, the financial statements, and other financial
information included in this quarterly report, fairly present in all material
respects the financial condition, results of operations and cash flows of the
issuer as of, and for, the periods presented in this quarterly report;

4.     The Registants other certifying officers and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined in
Exchange Act Rules 13a-14 and 15d-14) for the Registrant and we have:



| |                                                                                                                                                                                                                                                                                                    
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | (a) designed such disclosure controls and procedures to ensure that material
information relating to the Registrant, including its consolidated
subsidiaries, is made known to us by others within those entities, particularly
during the period in which this quarterly report is being prepared;



| |                                                                                                                                                                                                  
| | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | (b) evaluated the effectiveness of the Registrants disclosure controls and
procedures as of a date within 90 days prior to the filing date of this
quarterly report (the Evaluation Date); and



| |                                                                                                                                                                            
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | (c) presented in this quarterly report our conclusions about the effectiveness
of the disclosure controls and procedures based on our evaluation as of the
Evaluation Date;

5.     The Registrants other certifying officers and I have disclosed, based on
our most recent evaluation, to the Registrants auditors and the audit
committee of Registrants board of directors (or persons fulfilling the
equivalent function):



| |                                                                                                                                                                                                                                                                                                   
| | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | (a) all significant deficiencies in the design or operation of internal
controls which could adversely affect the Registrants ability to record,
process, summarize and report financial data and have identified for the
Registrants auditors any material weaknesses in internal controls; and



| |                                                                                                                                                       
| | ------------------------------------------------------------------------------------------------------------------------------------------------------
| | (b) any fraud, whether or not material, that involves management or other
employees who have a significant role in the issuers internal controls; and

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6.     The Registrants other certifying officers and I have indicated in this
quarterly report whether or not there were significant changes in internal
controls or in other factors that could significantly affect internal controls
subsequent to the date of our most recent evaluation, including any corrective
actions with regard to significant deficiencies and material weaknesses.

|             |  |                                       
|------------ |  | --------------------------------------
|Date: 5-2-03 |  |                                       
|             |  |                                       
|             |  | /s/ Richard E. Aho                    
|             |  |                                       
|             |  | Richard E. Aho
Chief Executive Officer

-14-



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##### Table of Contents






CERTIFICATION

Pursuant to Section 302 of the Securities Exchange Act of 1934

I, Alvin A. Hirsch, certify that:

1.     I have reviewed this quarterly report on Form10-QSB of Mile Marker
International, Inc. (the Registrant).

2.     Based on my knowledge, this quarterly report does not contain any untrue
statement of a material fact or omit to state a material fact necessary to make
the statements made, in light of the circumstances under which such statements
were made, not misleading with respect to the period covered by this quarterly
report;

3.     Based on my knowledge, the financial statements, and other financial
information included in this quarterly report, fairly present in all material
respects the financial condition, results of operations and cash flows of the
issuer as of, and for, the periods presented in this quarterly report;

4.     The Registants other certifying officers and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined in
Exchange Act Rules 13a-14 and 15d-14) for the Registrant and we have:



| |                                                                                                                                                                                                                                                                                                    
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | (a) designed such disclosure controls and procedures to ensure that material
information relating to the Registrant, including its consolidated
subsidiaries, is made known to us by others within those entities, particularly
during the period in which this quarterly report is being prepared;



| |                                                                                                                                                                                                  
| | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | (b) evaluated the effectiveness of the Registrants disclosure controls and
procedures as of a date within 90 days prior to the filing date of this
quarterly report (the Evaluation Date); and



| |                                                                                                                                                                            
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | (c) presented in this quarterly report our conclusions about the effectiveness
of the disclosure controls and procedures based on our evaluation as of the
Evaluation Date;

5.     The Registrants other certifying officers and I have disclosed, based on
our most recent evaluation, to the Registrants auditors and the audit
committee of Registrants board of directors (or persons fulfilling the
equivalent function):



| |                                                                                                                                                                                                                                                                                                   
| | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | (a) all significant deficiencies in the design or operation of internal
controls which could adversely affect the Registrants ability to record,
process, summarize and report financial data and have identified for the
Registrants auditors any material weaknesses in internal controls; and



| |                                                                                                                                                       
| | ------------------------------------------------------------------------------------------------------------------------------------------------------
| | (b) any fraud, whether or not material, that involves management or other
employees who have a significant role in the issuers internal controls; and

-15-



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6.     The Registrants other certifying officers and I have indicated in this
quarterly report whether or not there were significant changes in internal
controls or in other factors that could significantly affect internal controls
subsequent to the date of our most recent evaluation, including any corrective
actions with regard to significant deficiencies and material weaknesses.

|             |  |                                        
|------------ |  | ---------------------------------------
|Date: 5-2-03 |  |                                        
|             |  |                                        
|             |  | /s/ Alvin A. Hirsch                    
|             |  |                                        
|             |  | Alvin A. Hirsch
Chief Financial Officer

-16-