EXHIBIT 13

54

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[FIRSTWAVE LOGO]





FIRSTWAVE TECHNOLOGIES, INC.

2001 ANNUAL REPORT

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FINANCIAL HIGHLIGHTS

|                                                      |  | For the Year Ended December 31,
(In thousands, except per share amounts) |       
|----------------------------------------------------- |  | ------------------------------------------------------------------------ | ------
|
|Net revenues                                          |  | $                                                                        | 8,501 
|Loss before income taxes                              |  |                                                                          | (1,214
|Income tax (provision) benefit                        |  |                                                                          | (6    
|Net loss                                              |  |                                                                          | (1,220
|Net loss applicable to common shareholders            |  |                                                                          | (1,825
|Basic and diluted net loss per share                  |  |                                                                          | (0.87 
|Total assets                                          |  |                                                                          | 6,016 
|Total non current liabilities                         |  |                                                                          |      
|Common stock subject to repurchase                    |  |                                                                          |      
|Redeemable preferred stock                            |  |                                                                          |      
|Basic and diluted weighted average shares outstanding |  |                                                                          | 2,099 





TABLE OF CONTENTS

|Letter to Shareholders                                              |  | 2
|------------------------------------------------------------------- |  | -
|Condensed Consolidated Balance Sheet                                |  | 3
|Condensed Consolidated Statement of Operations                      |  | 4
|Condensed Consolidated Statement of Changes in Shareholders' Equity |  | 5
|Condensed Consolidated Statement of Cash Flows                      |  | 6
|Report of Independent Accountants                                   |  | 7
|Board of Directors                                                  |  | 8
|Officers                                                            |  | 9
|Shareholder Information                                             |  | 9





Note:
Except for historical information contained herein, the matters set forth in this annual report contain forward-looking statements. The Company noted that the forward-looking statements
contained in this report involve a number of risks and uncertainties that could cause actual results to differ materially from any such statement, such as the Company's capital requirements and other
liquidity concerns, potential fluctuations in quarterly results due to market demand, competition, technological developments, the Company's ability to continue to comply with NASDAQ listing
requirements, and the size, timing, and contractual terms of orders, and also the risks and uncertainties discussed in the Company's Form 10-K, filed with the Securities and
Exchange Commission on March 29, 2002, under the caption "Risk Factors," which discussion is incorporated herein by this reference.

1

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LETTER TO SHAREHOLDERS

Firstwave Technologies, in 2001, likens its past year to the rise of the legendary phoenix from the ashes to live another lifeand Firstwave is just
beginning that new life. During the first half of the year, Firstwave focused on our primary principlesdelivering leading-edge technology while maintaining customer
satisfaction with the goal of creating value for our shareholders. To achieve this goal, the Company kept expense levels low while continuing to enhance our totally web-based Customer
Relationship Management (CRM) offering and building a pipeline of potential customers. Firstwave's commitment to its principles resulted in the best quarter the Company has had in four years with a
profitable fourth quarter and several major customer project undertakings. We will remain focused on our core principles in the coming year with plans to continue our improved performance.

Our Technology.Firstwave's totally web-based technology continues to receive industry
recognitionas the "Best Internet-based CRM Solution" for 2001 and 2000 by the Denali Group, a leading industry analyst, and as one of the
"Top 30 CRM software packages" for 2002, 2001, and 2000 by ISM, Inc., a leading CRM consulting and research firm. Customers implementing our eCRM
suite are impressed with its ease of use capabilities and rapid deployment. During 2001, we announced a partnership for hosting our application with IBM, thereby offering a solution for our customers
looking for an ASP application. We also began rebuilding strong global partnerships. Strategic partnerships in the UK continue to produce significant contributions, and our partner in Australia is
building an impressive pipeline of potential prospects for our CRM solution.

Our Financial Position.Revenues for 2001 were $8.5 million, which were down from 2000, but
net loss for the year decreased 70%, from $6,116,000 in 2000, to $1,825,000 in 2001. To clarify this improvement, the loss for 2000 was increased by the write-off at the end of 2000 of the
$2.8 million deferred tax asset Firstwave had previously carried on its balance sheet. Services revenues led the way increasing 56%, or $1,647,000, while related services expenses decreased
13%, or $292,000. However, an important note is profitability and growth of revenue in the fourth quarter which produced a profit of $309,000, or $0.15 earnings per basic share. In addition, we are
very pleased that our cash balance of $1.9 million reflects an increase of 45%, or $579,000, over December 31, 2000, even after paying down all outstanding debt during the year. For the
year ended December 31, 2000, our independent accountants issued their opinion with a going concern explanation. However, for the year ended December 31, 2001, we are pleased that our
independent accountants have issued an opinion without a going concern explanation. We feel our improved financial performance and outlook warrants this change in the opinion.

Our Firstwave Team.We are beginning to expand our sales and marketing efforts as well as our
development and services teams. Our product recognition and customer satisfaction enable us to attract talented CRM employees. We bring more than 17 years of experience to our CRM solution and
continue to build and improve our technology based on our knowledge and experience in this industrywe sincerely believe that we can deliver an affordable, efficient and focused CRM
solution to our customers. The experience, talent and vision of our team will continue to deliver customer satisfaction and create shareholder value.

Looking Ahead.Our success in returning to profitability during a time of financial crisis has
generated significant enthusiasm and energy both in the marketplace and internally. We continue to build an exceptional network of satisfied customers, business partners and employees, all of whom
recognize the value of delivering a customer-focused solution. Although the economy and industry have produced new challenges, opportunities continue to grow. I encourage you to attend our Annual
Meeting of Shareholders on May 2, 2002, to be held in our offices in Atlanta, Georgia. You will have an opportunity to see our new product and meet the Firstwave team.

Thank
you to our customers who believed in us, to our employees for your many contributions, and to our stockholders for your continuing support. We look forward to an exciting year of
growth at Firstwave Technologies.

/s/
Richard T. Brock

Richard T. Brock
President and Chief Executive Officer

2

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CONDENSED CONSOLIDATED BALANCE SHEET
(IN THOUSANDS, EXCEPT SHARE DATA)

|                                     |                                                                                                                                                                                                                       | December 31,              |      
|------------------------------------ | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ------------------------- | -----
|
|Assets                               |                                                                                                                                                                                                                       |                           |      
|Current assets                       |                                                                                                                                                                                                                       |                           |      
|                                     | Cash and cash equivalents                                                                                                                                                                                             |                           | $    
|                                     | Restricted cash                                                                                                                                                                                                       |                           |      
|                                     | Accounts receivable, less allowance for doubtful accounts of $90 and $287                                                                                                                                             |                           |      
|                                     | Prepaid expenses and other assets                                                                                                                                                                                     |                           |      
|                                     |                                                                                                                                                                                                                       |                           |      
|                                     |                                                                                                                                                                                                                       | Total current assets      |      
|Property and equipment, net          |                                                                                                                                                                                                                       |                           | 421  
|Software development costs, net      |                                                                                                                                                                                                                       |                           | 1,762
|Goodwill                             |                                                                                                                                                                                                                       |                           | 166  
|                                     |                                                                                                                                                                                                                       |                           |      
|                                     |                                                                                                                                                                                                                       | $                         | 6,016
|                                     |                                                                                                                                                                                                                       |                           |      
|Liabilities and Shareholders' Equity |                                                                                                                                                                                                                       |                           |      
|Current liabilities                  |                                                                                                                                                                                                                       |                           |      
|                                     | Accounts payable                                                                                                                                                                                                      |                           | $    
|                                     | Sales tax payable                                                                                                                                                                                                     |                           |      
|                                     | Deferred revenue                                                                                                                                                                                                      |                           |      
|                                     | Accrued employee compensation and benefits                                                                                                                                                                            |                           |      
|                                     | Borrowings                                                                                                                                                                                                            |                           |      
|                                     | Dividends payable                                                                                                                                                                                                     |                           |      
|                                     | Other accrued liabilities                                                                                                                                                                                             |                           |      
|                                     |                                                                                                                                                                                                                       |                           |      
|                                     |                                                                                                                                                                                                                       | Total current liabilities |      
|                                     |                                                                                                                                                                                                                       |                           |      
|Redeemable Preferred Stock           |                                                                                                                                                                                                                       |                           |      
|                                     | Preferred stock, no par value; 1,000,000 shares authorized; 27,020 shares issued; 17,020 shares outstanding; $100 per share liquidation preference                                                                    |                           |      
|                                     |                                                                                                                                                                                                                       |                           |      
|Commitments and contingencies        |                                                                                                                                                                                                                       |                           |      
|Shareholders' equity                 |                                                                                                                                                                                                                       |                           |      
|                                     | Preferred stock, no par value; 1,000,000 shares authorized; 43,687 shares issued; 33,687 shares outstanding; 17,020 shares @$100 per share liquidation preference 16,667 shares @$75 per share liquidation
preference |                           |      
|                                     | Common stock, par value, $.0019 per share; 10,000,000 shares authorized; 2,100,351 and 2,096,157 shares issued and outstanding                                                                                        |                           |      
|                                     | Additional paid-in capital                                                                                                                                                                                            |                           |      
|                                     | Cumulative translation account                                                                                                                                                                                        |                           |      
|                                     | Accumulated deficit                                                                                                                                                                                                   |                           |      
|                                     |                                                                                                                                                                                                                       |                           |      
|                                     |                                                                                                                                                                                                                       |                           | 3,957
|                                     |                                                                                                                                                                                                                       |                           |      
|                                     |                                                                                                                                                                                                                       | $                         | 6,016
|                                     |                                                                                                                                                                                                                       |                           |      

3

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CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
(IN THOUSANDS, EXCEPT PER SHARE DATA)

|                                                      |                            | For the year ended
December 31, |                                           
|----------------------------------------------------- | -------------------------- | ------------------------------- | ------------------------------------------
|
|Net revenues                                          |                            |                                 |                                           
|                                                      | Software                   |                                 | $                                         
|                                                      | Services                   |                                 |                                           
|                                                      | Maintenance                |                                 |                                           
|                                                      | Other                      |                                 |                                           
|                                                      |                            |                                 |                                           
|                                                      |                            |                                 | 8,501                                     
|Costs and expenses                                    |                            |                                 |                                           
|                                                      | Cost of revenues           |                                 |                                           
|                                                      |                            | Software                        |                                           
|                                                      |                            | Services                        |                                           
|                                                      |                            | Maintenance                     |                                           
|                                                      |                            | Other                           |                                           
|                                                      | Sales and marketing        |                                 |                                           
|                                                      | Product development        |                                 |                                           
|                                                      | General and administrative |                                 |                                           
|                                                      |                            |                                 |                                           
|                                                      |                            |                                 | Operating loss                            
|Interest income, net                                  |                            |                                 | (57                                       
|Other income                                          |                            |                                 | 80                                        
|                                                      |                            |                                 |                                           
|                                                      |                            |                                 | Loss before income taxes                  
|Income tax provision                                  |                            |                                 | (6                                        
|                                                      |                            |                                 |                                           
|                                                      |                            |                                 | Net loss                                  
|                                                      |                            |                                 |                                           
|Dividends on preferred stock                          |                            |                                 | (605                                      
|                                                      |                            |                                 |                                           
|                                                      |                            |                                 | Net loss applicable to common shareholders
|                                                      |                            |                                 |                                           
|Basic and diluted net loss per share                  |                            | $                               | (.87                                      
|                                                      |                            |                                 |                                           
|Basic and diluted weighted average shares outstanding |                            |                                 | 2,099                                     
|                                                      |                            |                                 |                                           

4

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CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDER'S EQUITY
(IN THOUSANDS, EXCEPT SHARE DATA)

|                                               |                    | Common Stock(1) |   | Preferred Stock |    |   |        |   |   | Accumulated
other
comprehensive
income/(loss) |   |   |        |   |  
|---------------------------------------------- | ------------------ | --------------- | - | --------------- | -- | - | ------ | - | - | --------------------------------------------- | - | - | ------ | - | -
|
|
|Balance at December 31, 1998                   |                    | 1,717,107       |   | $               | 10 |   |       |   | $ |                                              |   | $ | 19,813 |   | $
|Exercise of common stock options               |                    | 28,022          |   |                 |   |   |       |   |   |                                              |   |   | 243    |   |  
|Employee stock purchases                       |                    | 1,632           |   |                 |   |   |       |   |   |                                              |   |   | 9      |   |  
|Issuance of stock and warrants                 |                    | 166,667         |   |                 | 1  |   |       |   |   |                                              |   |   | 1,509  |   |  
|Dividends                                      |                    |                |   |                 |   |   |       |   |   |                                              |   |   | (123   | ) |  
|Comprehensive loss                             |                    |                 |   |                 |    |   |        |   |   |                                               |   |   |        |   |  
|Net loss                                       |                    |                |   |                 |   |   |       |   |   |                                              |   |   |       |   |  
|Foreign currency translation adjustment        |                    |                |   |                 |   |   |       |   |   |                                              |   |   |       |   |  
|                                               |                    |                 |   |                 |    |   |        |   |   |                                               |   |   |        |   |  
|                                               | Comprehensive loss |                 |   |                 |    |   |        |   |   |                                               |   |   |        |   |  
|                                               |                    |                 |   |                 |    |   |        |   |   |                                               |   |   |        |   |  
|Balance at December 31, 1999                   |                    | 1,913,428       |   |                 | 11 |   |       |   |   |                                              |   |   | 21,451 |   |  
|Exercise of common stock options               |                    | 20,125          |   |                 |   |   |       |   |   |                                              |   |   | 196    |   |  
|Employee stock purchases                       |                    | 792             |   |                 |   |   |       |   |   |                                              |   |   | 8      |   |  
|Conversion of Series A Preferred to Common     |                    | 161,812         |   |                 | 1  |   |       |   |   |                                              |   |   | 999    |   |  
|Issuance of warrants                           |                    |                |   |                 |   |   |       |   |   |                                              |   |   | 46     |   |  
|Dividends                                      |                    |                |   |                 |   |   |       |   |   |                                              |   |   | (113   | ) |  
|Comprehensive loss                             |                    |                 |   |                 |    |   |        |   |   |                                               |   |   |        |   |  
|Net loss                                       |                    |                |   |                 |   |   |       |   |   |                                              |   |   |       |   |  
|Foreign currency translation adjustment        |                    |                |   |                 |   |   |       |   |   |                                              |   |   |       |   |  
|                                               |                    |                 |   |                 |    |   |        |   |   |                                               |   |   |        |   |  
|                                               | Comprehensive loss |                 |   |                 |    |   |        |   |   |                                               |   |   |        |   |  
|                                               |                    |                 |   |                 |    |   |        |   |   |                                               |   |   |        |   |  
|Balance at December 31, 2000                   |                    | 2,096,157       |   |                 | 12 |   |       |   |   |                                              |   |   | 22,587 |   |  
|Exercise of common stock options               |                    | 567             |   |                 |   |   |       |   |   |                                              |   |   | 3      |   |  
|Employee stock purchases                       |                    | 3,556           |   |                 |   |   |       |   |   |                                              |   |   | 9      |   |  
|Shares issued at reverse split due to rounding |                    | 71              |   |                 |   |   |       |   |   |                                              |   |   |       |   |  
|Series A Convertible Preferred Stock(2)        |                    |                |   |                 |   |   | 10,000 |   |   | 1,000                                         |   |   |       |   |  
|Series B Convertible Preferred Stock(2)        |                    |                |   |                 |   |   | 7,020  |   |   | 702                                           |   |   |       |   |  
|Series C Convertible Preferred Stock(3)        |                    |                |   |                 |   |   | 16,667 |   |   | 1,131                                         |   |   |       |   |  
|Dividends                                      |                    |                |   |                 |    |   |       |   |   |                                              |   |   | (196   | ) |  
|Comprehensive loss                             |                    |                 |   |                 |    |   |        |   |   |                                               |   |   |        |   |  
|Net loss                                       |                    |                |   |                 |   |   |       |   |   |                                              |   |   |       |   |  
|Foreign currency translation adjustment        |                    |                |   |                 |   |   |       |   |   |                                              |   |   |       |   |  
|                                               |                    |                 |   |                 |    |   |        |   |   |                                               |   |   |        |   |  
|                                               | Comprehensive loss |                 |  |                 |    |  |        |  |   |                                               |  |   |        |  |  
|                                               |                    |                 |   |                 |    |   |        |   |   |                                               |   |   |        |   |  
|Balance at December 31, 2001                   |                    | 2,100,351       |   | $               | 12 |   | 33,687 |   | $ | 2,833                                         |   | $ | 22,403 |   |  

5

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CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
(IN THOUSANDS)

|                                                 |                                                                            | For Year Ended
December 31,                            |                                           
|------------------------------------------------ | -------------------------------------------------------------------------- | ------------------------------------------------------ | ------------------------------------------
|
|Cash flows from operating activities             |                                                                            |                                                        |                                           
|                                                 | Net loss                                                                   |                                                        | $                                         
|                                                 | Adjustments to reconcile net loss to net cash used in operating activities |                                                        |                                           
|                                                 |                                                                            | Depreciation and amortization                          |                                           
|                                                 |                                                                            | (Gain)/loss on disposal of fixed assets                |                                           
|                                                 |                                                                            | Interest on investments                                |                                           
|                                                 |                                                                            | Provision for bad debts                                |                                           
|                                                 |                                                                            | Stock compensation                                     |                                           
|                                                 |                                                                            | Deferred tax asset                                     |                                           
|                                                 |                                                                            | Changes in assets and liabilities (net of acquisition) |                                           
|                                                 |                                                                            |                                                        | Accounts receivable                       
|                                                 |                                                                            |                                                        | Prepaid expenses and other assets         
|                                                 |                                                                            |                                                        | Accounts payable                          
|                                                 |                                                                            |                                                        | Sales tax payable                         
|                                                 |                                                                            |                                                        | Deferred revenue                          
|                                                 |                                                                            |                                                        | Accrued employee compensation and benefits
|                                                 |                                                                            |                                                        | Other accrued liabilities                 
|                                                 |                                                                            |                                                        |                                           
|                                                 |                                                                            |                                                        |                                           
|                                                 |                                                                            |                                                        |                                           
|                                                 |                                                                            |                                                        |                                           
|                                                 |                                                                            |                                                        |                                           
|Cash flows from investing activities             |                                                                            |                                                        |                                           
|                                                 | Software development costs                                                 |                                                        |                                           
|                                                 | Purchases of property and equipment,net                                    |                                                        |                                           
|                                                 | Purchase of investment securities                                          |                                                        |                                           
|                                                 | Proceeds from sale of investment securities                                |                                                        |                                           
|                                                 | Loss on investments                                                        |                                                        |                                           
|                                                 |                                                                            |                                                        |                                           
|                                                 |                                                                            |                                                        |                                           
|                                                 |                                                                            |                                                        |                                           
|Cash flows from financing activities             |                                                                            |                                                        |                                           
|                                                 | Proceeds from issuance of convertible preferred stock, net                 |                                                        |                                           
|                                                 | Proceeds from issuance of common stock                                     |                                                        |                                           
|                                                 | Exercise of common stock options                                           |                                                        |                                           
|                                                 | Proceeds from employee stock purchase plan                                 |                                                        |                                           
|                                                 | Proceeds from borrowings                                                   |                                                        |                                           
|                                                 | Repayment of borrowings                                                    |                                                        |                                           
|                                                 | Purchase of investments used to secure borrowings                          |                                                        |                                           
|                                                 | Proceeds from investments used to secure borrowings                        |                                                        |                                           
|                                                 | Payment of dividends on convertible preferred stock                        |                                                        |                                           
|                                                 |                                                                            |                                                        |                                           
|                                                 |                                                                            |                                                        |                                           
|                                                 |                                                                            |                                                        |                                           
|Effect of exchange rate changes on cash          |                                                                            |                                                        | 11                                        
|Net increase/(decrease) in cash                  |                                                                            |                                                        | 579                                       
|Cash and cash equivalents, beginning of year     |                                                                            |                                                        | 1,281                                     
|                                                 |                                                                            |                                                        |                                           
|Cash and cash equivalents, end of year           |                                                                            | $                                                      | 1,860                                     
|                                                 |                                                                            |                                                        |                                           
|Supplemental disclosure of cash flow information |                                                                            |                                                        |                                           
|                                                 | Cash paid for interest                                                     |                                                        | $                                         
|                                                 |                                                                            |                                                        |                                           
|                                                 | Cash paid for income taxes                                                 |                                                        | $                                         
|                                                 |                                                                            |                                                        |                                           

6

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REPORT OF INDEPENDENT ACCOUNTANTS

To
The Board of Directors and Shareholders
Firstwave Technologies, Inc.
Atlanta, Georgia

We
have audited, in accordance with auditing standards generally accepted in the United States of America, the consolidated balance sheet of Firstwave Technologies, Inc. and
subsidiary as of December 31, 2001, and the related consolidated statements of income, retained earnings, and cash flows for the year then ended (not presented herein); and in our report dated
March 14, 2002, we expressed an unqualified opinion on those consolidated financial statements. The financial statements of Firstwave Technologies, Inc. and subsidiary as of
December 31, 2000 and for the years ended December 31, 2000 and 1999, were audited by other auditors whose report dated April 16, 2001, expressed an unqualified opinion on those
financial statements and expressed uncertainty regarding Firstwave Technologies, Inc. and subsidiary's ability to continue as a going concern.

In
our opinion, the information set forth in the accompanying condensed consolidated financial statements is fairly stated, in all material respects, in relation to the consolidated
financial statements from which it has been derived.

/s/
Cherry, Bekaert & Holland, L.L.P.

Atlanta,
Georgia
March 14, 2002

7

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BOARD OF DIRECTORS

James R. Porter, Chairman

Mr. Porter
has been a director of the Company since the Company's initial public offering in March 1993. He served from September 1985 until February 1997 as President,
Chief Executive Officer and a director of Triad Systems Corporation, a provider of business and information management solutions for the retail hard lines industry and the automotive aftermarket. From
February 1997 through June 1999, Mr. Porter served as Chairman of the Board of CCI/Triad and continues to serve on the CCI/Triad Board of Directors. Previously, he served as
Executive Vice President of Informatics General Corporation and United Systems International. Mr. Porter serves on the Board of Regents of Pepperdine University and on the Board of Trustees of
Abilene Christian University. Mr. Porter is also a director of Silicon Valley Bank, Cardone Industries, Inc., CCI/Triad, and American Central Gas Technologies. Mr. Porter earned
his BS from Texas A&M and attended Harvard Graduate School of Business.

Roger A. Babb

Mr. Babb
has been a director of the Company since March 1999. He is President and founder of Operation Simulation Associates, Inc., a software company developing power system
simulation software and providing consulting services to the electric power industry. He is also Chief Executive Officer of Babb International and a director of Babb Lumber Company, Inc., both
are building material manufacturing companies. He earned his BS in Electrical Engineering from the Georgia Institute of Technology.

Richard T. Brock

Mr. Brock
has been a director of the Company since the Company's inception in October 1984, and currently serves as the Company's President and Chief Executive Officer. He also served as
the Company's Chief Executive Officer from October 1984 until November 1992, and from November 1994 until December 1996. Mr. Brock is the founder of Brock Capital
Partners, a capital investment firm. He is also a director of Datastream Systems, Inc., a leading provider of maintenance software. Prior to founding the Company, Mr. Brock founded and
served as Chief Executive Officer of Management Control Systems, Inc. Mr. Brock received a MBA from Louisiana State University and a BS from Spring Hill College. He is also a Certified
Public Accountant.

John F. Keane

Mr. Keane
has been a director of the Company since December 1997. He is Chairman of Keane, Inc., an application development, outsourcing and integration services firm, which he
founded in 1965. Previous to this, Mr. Keane held various positions in marketing for IBM and was a consultant for Arthur D. Little. He serves as a director of Perkin Elmer, a global technology
company that supplies products to industrial markets. He also serves as a director of American Power Conversion, a provider of power protection systems and iPower Logistics, an
e-marketplace for industrial distributors and manufacturers. He is a graduate of Harvard College and Harvard School of Business.

Michael T. McNeight

Mr. McNeight
has been a director of the Company since May 1998. He served as Vice President of Sales Operations of Internet Security Systems, Inc., a software company providing
network security analysis and intrusion detection systems, from 1996 until his retirement in 2000. From 1995 to 1996, Mr. McNeight was Senior Vice President at TSW International, Inc., a
leading supplier of plant performance and maintenance management software. From 1993 through 1994, he served as Vice President and then President and Chief Executive Officer of Aurum
Software, Inc., a leading software company specializing in sales, marketing and customer support automation. He received his BA from Oklahoma State University and his MS from Texas Christian
University.

8

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OFFICERS

Richard T. BrockPresident and Chief Executive Officer

R. Kelly MayoVice President, Technical Services

Debbie N. QaqishVice President, Sales and Marketing

Judith A. VitaleChief Financial Officer

SHAREHOLDER INFORMATION

Corporate HeadquartersFirstwave Technologies, Inc.
Overlook III, Suite 1000
2859 Paces Ferry Road
Atlanta, GA 30339
(770) 431-1200

Transfer Agent and RegistrarAmerican Stock Transfer and Trust Company
59 Maiden Lane
New York, NY 10038
Information Contact:
Ms. Diane Strong
718-921-8145

Stock ListingNASDAQ Symbol: FSTW

Annual Meeting of ShareholdersThursday, May 2, 2002 at 2:00 p.m.
Firstwave Technologies, Inc. Corporate Offices
Overlook III, Suite 1000
2859 Paces Ferry Road
Atlanta, GA 30339

Corporate CounselKilpatrick Stockton L.L.P.
Atlanta, GA

Independent AccountantsCherry, Bekaert &Holland L.L.P.
Atlanta, GA

9

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Form 10-KA copy of the Company's Annual Report on Form 10K for the fiscal year ended December 31, 2001, as filed with the Securities and Exchange Commission, will be sent
to all stockholders. Additional copies will be sent upon request in writing to:

Judith
A. Vitale
Chief Financial Officer
Firstwave Technologies, Inc.
Overlook III, Suite 1000
2859 Paces Ferry Road
Atlanta, GA 30339

Product InquiriesFor more information about the Company's products and services, e-mail Firstwave at info@firstwave.net or call
770-431-1200/toll-free 800-540-6061. Visit Firstwave's web site at www.firstwave.net.

STOCK PRICE TABLE

The
following table shows the price range of the Company's Common Stock (high and low close information) for the indicated fiscal quarters as reported by NASDAQ. The prices represent quotations
between dealers and do not necessarily represent actual transactions and do not include retail mark-ups, mark downs, or commissions. All stock prices for both years have been adjusted to
reflect the one-for-three reverse stock split of the Common Stock effective September 12, 2001. As of December 31, 2001 there were approximately 54 shareholders
of record and approximately 3,200 persons or entities who held common stock in nominee name.

|2001 |  | First |      | Second |   | Third |  | Fourth |      | 2000 |   | First |  | Second |  | Third |       | Fourth
|---- |  | ----- | ---- | ------ | - | ----- |  | ------ | ---- | ---- | - | ----- |  | ------ |  | ----- | ----- | ------
|High |  | $     | 7.87 |        | $ | 3.90  |  | $      | 3.30 |      | $ | 2.19  |  | High   |  | $     | 54.57 |       
|Low  |  | $     | 2.62 |        | $ | 1.20  |  | $      | 1.62 |      | $ | 0.71  |  | Low    |  | $     | 9.57  |       
|     |  |       |      |        |   |       |  |        |      |      |   |       |  |        |  |       |       |       

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[Firstwave Logo]

Firstwave Technologies, Inc.

Overlook III, Suite 1000

2859
Paces Ferry Road

Atlanta,
GA 30339

770.431.1200

www.firstwave.net

2001 ANNUAL REPORT







©2002 Firstwave Technologies, Inc. Firstwave and the Firstwave logo are registered trademarks of
Firstwave Technologies, Inc.

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