##### Table of Contents



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

Form 10-QSBQuarterly Report Under Section 13 or 15(d) of
the Securities Exchange Act of 1934

|                                             |  |                            
|-------------------------------------------- |  | ---------------------------
|For the Quarterly Period Ended July 31, 2001 |  | Commission File No. 0-14234

KINGS ROAD ENTERTAINMENT, INC.(Name of small business issuer in its charter)

|                                                        |  |                                                
|------------------------------------------------------- |  | -----------------------------------------------
|Delaware
(State or other jurisdiction
of incorporation) |  | 95-3587522
(I.R.S. Employer
Identification No.)

12 East 33rd Street, 12th Floor
New York, NY 10016
(Address of principal executive office)

Issuers telephone number: (212) 252-9519

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

YES [X]        NO [   ]

As of October 22, 2001, the Registrant had 3,664,390 shares of its common stock
outstanding.

Transitional Small Business Disclosure Format: YES [   ]        NO [X]





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TABLE OF CONTENTS



|                               |                                                                                               |                                            |  |  |  |  |  | 
|------------------------------ | --------------------------------------------------------------------------------------------- | ------------------------------------------ |  |  |  |  |  | 
|PART I  FINANCIAL INFORMATION
|                               | Item 1  Financial Statements                                                                
|                               |                                                                                               | CONSOLIDATED BALANCE SHEET                
|                               |                                                                                               | CONSOLIDATED STATEMENTS OF OPERATIONS     
|                               |                                                                                               | CONSOLIDATED STATEMENTS OF CASH FLOWS     
|                               |                                                                                               | NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
|                               | Item 2  Managements Discussion and Analysis of Financial Position and Results of Operations
|PART II  OTHER INFORMATION   
|                               | Item 1  Legal Proceedings                                                                   
|                               | Item 6  Exhibits and Reports on Form 8-K                                                    
|SIGNATURES                    



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PART I  FINANCIAL INFORMATION




Item 1  Financial Statements




KINGS ROAD ENTERTAINMENT, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(UNAUDITED)

|                                            |                                                                                                     |                             |         |               |         |  
|------------------------------------------- | --------------------------------------------------------------------------------------------------- | --------------------------- | ------- | ------------- | ------- | -
|                                            |                                                                                                     |                             |         | AS OF        
|                                            |                                                                                                     |                             |         | JULY 31, 2001
|                                            |                                                                                                     |                             |         |              
|ASSETS                                      |                                                                                                     |                             |         |              
|                                            | Cash and Cash Equivalents                                                                           |                             | $       | 13,486        |        
|                                            | Inventories                                                                                         |                             |         | 22,709        |        
|                                            | Accounts Receivable                                                                                 |                             |         | 67,346        |        
|                                            | Film Development Costs, Net                                                                         |                             |         | 143,693       |        
|                                            | Prepaid Expenses and Deposits                                                                       |                             |         | 6,698         |        
|                                            | Fixed Assets, Net                                                                                   |                             |         | 2,205         |        
|                                            | Goodwill                                                                                            |                             |         | 52,090        |        
|                                            |                                                                                                     |                             |         |              
|TOTAL ASSETS                                |                                                                                                     | $                           | 308,227 |              
|                                            |                                                                                                     |                             |         |              
|LIABILITIES AND STOCKHOLDERS DEFICIT       |                                                                                                     |                             |         |              
|LIABILITIES                                 |                                                                                                     |                             |         |              
|                                            | Accounts Payable                                                                                    |                             |         | 256,631       |        
|                                            | Accrued Expenses                                                                                    |                             |         | 65,502        |        
|                                            | Note Payable                                                                                        |                             |         | 19,000        |        
|                                            | Deferred Revenue                                                                                    |                             |         | 17,241        |        
|                                            |                                                                                                     |                             |         |              
|                                            |                                                                                                     | TOTAL LIABILITIES           |         |               | 358,374 |  
|COMMITMENTS AND CONTINGENCIES               |                                                                                                     |                             |         |              
|STOCKHOLDERS DEFICIT                       |                                                                                                     |                             |         |              
|                                            | Common Stock, $.01 par value, 12,000,000 shares
authorized, 3,664,390 shares issued and outstanding |                             |         | 36,644        |        
|                                            | Additional Paid-In Capital                                                                          |                             |         | 24,906,655    |        
|                                            | Deficit                                                                                             |                             |         | (24,993,446   | )      
|                                            |                                                                                                     |                             |         |              
|                                            |                                                                                                     | TOTAL STOCKHOLDERS DEFICIT |         |               | (50,147 | )
|                                            |                                                                                                     |                             |         |              
|TOTAL LIABILITIES AND STOCKHOLDERS DEFICIT |                                                                                                     | $                           | 308,227 |              
|                                            |                                                                                                     |                             |         |              

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

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KINGS ROAD ENTERTAINMENT, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)

|                           |                                                              |  |                      |           |      |  |         |           | 
|-------------------------- | ------------------------------------------------------------ |  | -------------------- | --------- | ---- |  | ------- | --------- | 
|                           |                                                              |  | FOR THE THREE MONTHS
|                           |                                                              |  | ENDED JULY 31,      
|                           |                                                              |  |                     
|                           |                                                              |  | 2001                 |           | 2000
|                           |                                                              |  |                      |           |     
|REVENUES                   |                                                              |  |                      |           |      |  |         |          
|                           | Feature Films                                                |  | $                    | 150,201   |      |  | $       | 692,565   | 
|                           | Merchandise Catalog Sales                                    |  |                      | 36,943    |      |  |         | 0         | 
|                           |                                                              |  |                      |           |      |  |         |          
|                           |                                                              |  | 187,144              |           |      |  | 692,565 |          
|COSTS AND EXPENSES         |                                                              |  |                      |           |      |  |         |          
|                           | Costs Related to Revenue                                     |  |                      | 29,852    |      |  |         | 225,693   | 
|                           | Selling Expenses                                             |  |                      | 5,534     |      |  |         | 35,585    | 
|                           | General & Administrative Expenses                            |  |                      | 292,601   |      |  |         | 156,648   | 
|                           |                                                              |  |                      |           |      |  |         |          
|                           |                                                              |  | 327,987              |           |      |  | 417,926 |          
|                           |                                                              |  |                      |           |      |  |         |          
|                           | OPERATING (LOSS) INCOME                                      |  |                      | (140,843  | )    |  |         | 274,639   | 
|OTHER INCOME (EXPENSE)     |                                                              |  |                      |           |      |  |         |          
|                           | Interest Income                                              |  |                      | 38        |      |  |         | 5,778     | 
|                           | Interest Expense                                             |  |                      | (339      | )    |  |         | 0         | 
|                           | Impairment of Goodwill                                       |  |                      | (15,875   | )    |  |         | 0         | 
|                           |                                                              |  |                      |           |      |  |         |          
|                           |                                                              |  | (16,176              | )         |      |  | 5,778   |          
|                           |                                                              |  |                      |           |      |  |         |          
|                           | (LOSS) INCOME BEFORE INCOME TAXES                            |  |                      | (157,019  | )    |  |         | 280,417   | 
|Provision for Income Taxes |                                                              |  | 0                    |           |      |  | 1,600   |          
|                           |                                                              |  |                      |           |      |  |         |          
|                           | NET (LOSS) INCOME                                            |  | $                    | (157,019  | )    |  | $       | 278,817   | 
|                           |                                                              |  |                      |           |      |  |         |          
|                           | Net (Loss) Income Per Share  Basic
and Diluted              |  | $                    | (0.04     | )    |  | $       | 0.08      | 
|                           |                                                              |  |                      |           |      |  |         |          
|                           | Weighted Average Number of Common
Shares  Basic and Diluted |  |                      | 3,664,390 |      |  |         | 3,541,140 | 
|                           |                                                              |  |                      |           |      |  |         |          

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

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KINGS ROAD ENTERTAINMENT, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)

|                                                     |                                                                                                    |                                            |         |                      |         |      |         |          |         |  
|---------------------------------------------------- | -------------------------------------------------------------------------------------------------- | ------------------------------------------ | ------- | -------------------- | ------- | ---- | ------- | -------- | ------- | -
|                                                     |                                                                                                    |                                            |         | FOR THE THREE MONTHS
|                                                     |                                                                                                    |                                            |         | ENDED JULY 31,      
|                                                     |                                                                                                    |                                            |         |                     
|                                                     |                                                                                                    |                                            |         | 2001                 |         | 2000
|                                                     |                                                                                                    |                                            |         |                      |         |     
|CASH FLOWS FROM OPERATING ACTIVITIES:                |                                                                                                    |                                            |         |                      |         |      |         |         
|                                                     | Net (Loss) Income                                                                                  |                                            | $       | (157,019             | )       |      | $       | 278,817  |        
|                                                     | Adjustments to reconcile Net (Loss) Income to Net Cash
Provided by (Used in) Operating Activities: |                                            |         |                      |         |      |         |          |        
|                                                     |                                                                                                    | Depreciation and Amortization              |         |                      | 358     |      |         |          | 227,020 |  
|                                                     |                                                                                                    | Impairment of Goodwill                     |         |                      | 15,875  |      |         |          | 0       |  
|                                                     | Changes in Assets and Liabilities:                                                                 |                                            |         |                      |         |      |         |          |        
|                                                     |                                                                                                    | (Increase) Decrease in Accounts Receivable |         |                      | (14,456 | )    |         |          | 1,210   |  
|                                                     |                                                                                                    | Decrease in Inventory                      |         |                      | 11,362  |      |         |          | 0       |  
|                                                     |                                                                                                    | (Increase) in Note Receivable              |         |                      | 0       |      |         |          | (31,500 | )
|                                                     |                                                                                                    | Decrease in Prepaid Expenses               |         |                      | 42,933  |      |         |          | 2,250   |  
|                                                     |                                                                                                    | Increase in Accounts Payable               |         |                      | 53,262  |      |         |          | 27,902  |  
|                                                     |                                                                                                    | Increase in Accrued Expenses               |         |                      | 9,129   |      |         |          | 0       |  
|                                                     |                                                                                                    | Increase in Deferred Revenue               |         |                      | 14,941  |      |         |          | 8,030   |  
|                                                     |                                                                                                    |                                            |         |                      |         |      |         |         
|                                                     | NET CASH AND CASH EQUIVALENTS (USED IN)
PROVIDED BY OPERATING ACTIVITIES                           |                                            |         | (23,615              | )       |      |         | 513,729  |        
|CASH FLOWS FROM INVESTING ACTIVITIES:                |                                                                                                    |                                            |         |                      |         |      |         |         
|                                                     | Purchases of Marketable Securities                                                                 |                                            |         | 0                    |         |      |         | (300,440 | )      
|                                                     | Gross Additions to Film Development Costs                                                          |                                            |         | (17,376              | )       |      |         | (139,143 | )      
|                                                     | Purchase of Other Investments                                                                      |                                            |         | 0                    |         |      |         | (4,500   | )      
|                                                     | Disposal of Fixed Assets                                                                           |                                            |         | 0                    |         |      |         | 3,638    |        
|                                                     |                                                                                                    |                                            |         |                      |         |      |         |         
|                                                     | NET CASH AND CASH EQUIVALENTS USED IN
INVESTING ACTIVITIES                                         |                                            |         | (17,376              | )       |      |         | (440,445 | )      
|CASH FLOWS FROM FINANCING ACTIVITIES:                |                                                                                                    |                                            |         |                      |         |      |         |         
|                                                     | NET CASH AND CASH EQUIVALENTS PROVIDED
BY FINANCING ACTIVITIES                                     |                                            |         | 0                    |         |      |         | 0        |        
|                                                     |                                                                                                    |                                            |         |                      |         |      |         |         
|NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS |                                                                                                    |                                            | (40,991 | )                    |         |      | 73,284  |         
|CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD     |                                                                                                    |                                            | 54,477  |                      |         |      | 85,159  |         
|                                                     |                                                                                                    |                                            |         |                      |         |      |         |         
|CASH AND CASH EQUIVALENTS AT END OF PERIOD           |                                                                                                    | $                                          | 13,486  |                      |         | $    | 158,443 |         
|                                                     |                                                                                                    |                                            |         |                      |         |      |         |         

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

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KINGS ROAD ENTERTAINMENT, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTE A  BASIS OF PRESENTATION

The accompanying unaudited consolidated financial statements have been prepared
in accordance with generally accepted accounting principles for interim
financial statements. Accordingly, they do not include all of the information
and disclosures required for annual financial statements. These financial
statements should be read in conjunction with the audited financial statements
and related footnotes for the year ended April 30, 2001 included in the Kings
Road Entertainment, Inc. (Company or Registrant) annual report on Form
10-KSB for that period.

In the opinion of the Companys management, all adjustments (consisting of
normal recurring accruals) necessary to present fairly the Companys financial
position at July 31, 2001 and the results of its operations and cash flows for
the three month periods ended July 31, 2001 and 2000, respectively, have been
included.

The results of operations for the three month period ended July 31, 2001 are
not necessarily indicative of the results to be expected for the full fiscal
year. For further information, refer to the audited financial statements and
footnotes thereto included in the Companys annual report on Form 10-KSB for
the year ended April 30, 2001.

The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions
that affect the reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the financial statements and
the reported amounts of revenues and expenses during the reporting periods.
Actual results could differ from those estimates. Certain amounts for the
three month period ended July 31, 2000 have been reclassified to conform to the
presentation of the July 31, 2001 amounts. The reclassifications have no
effect on reported net income (loss).

NOTE B  FILM DEVELOPMENT COSTS

Film development costs consist of film script projects actively in development
at July 31, 2001.

NOTE C  NOTES PAYABLE

In connection with the acquisition of Animal Town, Inc. (Animal Town) on
August 31, 2000, the Company issued a note payable to the seller of the common
stock of Animal Town in the principal amount of $39,000, bearing interest at 7%
per annum with an initial maturity date of November 30, 2000. The outstanding
balance of the note payable at July 31, 2001 was $20,131, consisting of $19,000
of principal and $1,131 of accrued interest. The parties, by agreement, have
extended the maturity date of the outstanding balance of the note to November
30, 2001.

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KINGS ROAD ENTERTAINMENT, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTE D  INCOME TAXES

A reconciliation of the provision for income taxes to the expected income tax
expense at the statutory federal tax rate of 34% is as follows:

|                                                  |  |               |         |               |  |   |         |  
|------------------------------------------------- |  | ------------- | ------- | ------------- |  | - | ------- | -
|                                                  |  | Three Months  |         | Three Months 
|                                                  |  | Ended         |         | Ended        
|                                                  |  | July 31, 2001 |         | July 31, 2000
|                                                  |  |               |         |              
|Computed Expected Tax (Benefit) at
Statutory Rate |  | $             | (53,387 | )             |  | $ | 95,342  |  
|State and Local Taxes                             |  |               | 0       |               |  |   | 1,600   |  
|Valuation Allowance                               |  |               | 53,387  |               |  |   | (95,342 | )
|                                                  |  |               |         |               |  |   |         |  
|                                                  |  | $             | 0       |               |  | $ | 1,600   |  
|                                                  |  |               |         |               |  |   |         |  

NOTE E   SEGMENT INFORMATION

The Companys two reportable segments are distinct business areas that are
managed separately and offer different products. The Companys operating
segments consist of (1) entertainment products and (2) a childrens mail order
catalog operation. The entertainment products include the development,
production and distribution of feature length motion pictures. The childrens
mail order catalog operation consists solely of the distribution of the Animal
Town catalog.

The following table presents segment information for the three months ended
July 31, 2001 and 2000:

|                        |                        |   |          |         |      |   |         |         | 
|----------------------- | ---------------------- | - | -------- | ------- | ---- | - | ------- | ------- | 
|                        |                        |   | 2001     |         | 2000
|                        |                        |   |          |         |     
|Revenues:               |                        |   |          |         |      |   |         |        
|                        | Entertainment Products |   | $        | 150,201 |      |   | $       | 692,565 | 
|                        | Mail Order Catalog     |   |          | 36,943  |      |   |         | 0       | 
|                        |                        |   |          |         |      |   |         |        
|Total Revenues          |                        | $ | 187,144  |         |      | $ | 692,565 |        
|                        |                        |   |          |         |      |   |         |        
|Net (Loss) Income:      |                        |   |          |         |      |   |         |        
|                        | Entertainment Products |   | $        | (72,073 | )    |   | $       | 278,817 | 
|                        | Mail Order Catalog     |   |          | (84,946 | )    |   |         | 0       | 
|                        |                        |   |          |         |      |   |         |        
|Total Net (Loss) Income |                        | $ | (157,019 | )       |      | $ | 278,817 |        
|                        |                        |   |          |         |      |   |         |        

NOTE F  LITIGATION AND CONSEQUENCES

In the ordinary course of business, the Company has or may become involved in
disputes or litigation. On the basis of information available to it,
management believes such contingencies will not have a materially adverse
effect on the Companys financial position or results of operations.

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|         |  |                                                                                     
|-------- |  | ------------------------------------------------------------------------------------
|Item 2  |  | Managements Discussion and Analysis of Financial Position and
Results of Operations

Recent Developments

Subsequent to the fiscal year ended April 30, 1995, the Company has not
produced any new films and has derived its film revenues almost exclusively
from the exploitation of films produced in prior years. The Company continues
to fund and develop motion picture film scripts, with the intention of either
producing the film, establishing a partnership or joint venture with another
film production company or an outright sale of the developed script.

On August 31, 2000, the Company completed the acquisition of the common
stock of Animal Town, Inc. (Animal Town), a privately-held direct mail order
catalogue company that markets childrens toys, games, crafts and books
specializing in cooperative play and development, animal protection and
environmental awareness. The Company acquired all of the outstanding common
stock of Animal Town in exchange for approximately $12,000 in cash, a note
payable in the amount of $39,000 to the seller of the common stock and the
issuance of 77,000 shares of the Companys common stock, the exact number of
shares determined based upon a debt-for-equity exchange offer made to existing
Animal Town creditors that commenced on September 29, 2000 and was concluded on
January 29, 2001. The Company also agreed, on an interim basis in advance of
the closing of the acquisition, to provide a secured credit facility in order
for Animal Town to immediately commence production of a Fall 2000 catalog. The
credit facility to Animal Town was consummated, which allowed for the
production, printing and subsequent distribution of over 600,000 catalogs, and
was collateralized by all of Animal Towns inventory, trademarks and
proprietary customer list. The Company is presently evaluating the Animal Town
operation, which may include a substantial reduction, total cessation or sale
of the operation. The Company expects revenues from merchandise sales to
substantially decline.

Results of Operations

For the quarters ended July 31, 2001 and 2000, feature film revenues were
approximately $150,000 and $693,000, respectively, a decrease of approximately
$543,000. The substantial decrease in feature film revenues was attributable
to (1) the sale of the Companys rights to Ticker, a feature film project that had been
developed by the Company, for approximately $243,000, during the quarter ended
July 31, 2000 for which there were no comparable sales during the quarter ended
July 31, 2001 and (2) decreased domestic and foreign distribution revenues from
feature films in the Companys film library. Revenues derived from
merchandising sales of the Animal Town childrens catalog were approximately
$37,000 and $0 for the quarters ended July 31, 2001 and 2000, respectively, the
increase totally attributable to the Companys acquisition of Animal Town on
August 31, 2000 and for which there were no comparable revenues during the
quarter ended July 31, 2000. The Company is presently evaluating the Animal
Town catalog operation, which may include a substantial reduction, total
cessation or sale of the operation. The Company expects revenues from
merchandise sales to substantially decline. Interest income decreased to $38
for the quarter ended July 31, 2001 compared to approximately $5,800 for the
quarter ended July 31, 2000, reflecting a decrease in cash and marketable
securities held during the quarter ended July 31, 2001.

Costs related to sales were approximately $30,000 and $226,000 for the
quarters ended July 31, 2001 and 2000, respectively. The comparable decrease
resulted primarily from the amortization of costs related to Ticker. Selling
costs were approximately $6,000 and $36,000

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for the quarters ended July 31,
2001 and 2000, respectively. The comparable decrease resulted primarily from a
reduction in commissions payable to the Companys sales agents handling
domestic and foreign distribution of the Companys film library.

General and administrative costs were approximately $293,000 and $157,000
for the quarters ended July 31, 2001 and 2000, respectively. The comparable
increase resulted primarily from initial operating costs and expenses
associated with the Animal Town catalog, which the Company acquired on August
31, 2000 and for which there were no comparable costs and expenses during the
quarter ended July 31, 2000. The Company expects to reduce its general and
administrative costs as it evaluates an alternative plan of operation for the
Animal Town catalog. Interest expense was approximately $400 for the quarter
ended July 31, 2001 and was attributable to a note payable issued by the
Company on August 31, 2000 in connection with the acquisition of Animal Town.
During the quarter ended July 31, 2000, the Company had no interest expense.
The Company recorded an impairment charge of approximately $16,000 during the
quarter ended July 31, 2001 for the writedown of goodwill associated with the
Animal Town acquisition. There was no comparable impairment charge during the
quarter ended July 31, 2000.

The Company had a net loss of approximately $157,000 for the quarter ended
July 31, 2001 compared to net income of $279,000 for the quarter ended July 31,
2000. The substantial decrease in net income resulted primarily from (i)
significantly decreased revenues during the quarter ended July 31, 2001, as
discussed in detail above, and (ii) an increase in general and administrative
costs attributable to initial operating costs and expenses associated with the
Animal Town catalog. During the quarters ended July 31, 2001 and 2000, the
Company had no significant provisions for income taxes.

Liquidity and Capital Resources

The Companys principal source of working capital during the three month
period ended July 31, 2001 was motion picture licensing income and merchandise
product sales from its catalog operation. The Company continues to invest in
the development of motion picture film projects, the production of which
requires substantial capital. In the event that the Company
decides to invest in the production of one or more of its developed film
projects, the Company will need to examine and evaluate the additional capital
requirements to undertake such activities. The Company presently does not have
sufficient capital to pursue such activities. Except for the financing of new
film production costs, the Company believes it has sufficient working capital
to maintain its ongoing operations.

For the quarter ended July 31, 2001, the Companys net cash flow used in
operating activities was approximately $24,000 compared to net cash flow
provided by operating activities of approximately $514,000 for the quarter
ended July 31, 2000. The resulting decrease was principally attributable to
the substantial decrease in reported net income and principally accounted for
the significant reduction in net cash used in investing activities from
approximately $441,000 during the quarter ended July 31, 2000 to approximately
$17,000 during the quarter ended July 31, 2001. At July 31, 2001 and 2000, the
Company had cash and cash equivalents of approximately $13,000 and $158,000,
respectively.

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Future Commitments

The Company does not have, nor is it aware of, any material future
commitments.

Forward-Looking Statements

The foregoing discussion, as well as the other sections of this Quarterly
Report on Form 10-QSB, contains forward-looking statements that reflect the
Companys current views with respect to future events and financial results.
Forward-looking statements usually include the verbs anticipates, believes,
estimates, expects, intends, plans, projects, understands and other
verbs suggesting uncertainty. The Company reminds shareholders that
forward-looking statements are merely predictions and therefore inherently
subject to uncertainties and other factors which could cause the actual results
to differ materially from the forward-looking statements. Potential factors
that could affect forward-looking statements include, among other things, the
Companys ability to identify, produce and complete film projects that are
successful in the marketplace, to arrange financing, distribution and promotion
for these projects on favorable terms in various markets and to attract and
retain qualified personnel.




PART II  OTHER INFORMATION




Item 1  Legal Proceedings

In the ordinary course of business, the Company has or may become involved
in disputes or litigation. On the basis of information available to it,
management believes such contingencies will not have a materially adverse
impact on the Companys financial position or results of operations.




Item 6  Exhibits and Reports on Form 8-K

(a) Exhibits (numbered in accordance with Item 601 of Regulation S-B)

|    |  |                                                        
|--- |  | -------------------------------------------------------
|3.1 |  | Restated Certificate of Incorporation of Registrant.(1)
|3.2 |  | Bylaws of Registrant.(2)                               



---

|(1) |  | Incorporated by reference to Form 10-KSB for the fiscal year
ended April 30, 1998.
|--- |  | ----------------------------------------------------------------------------------
|(2) |  | Incorporated by reference to Form 10-K for the fiscal year
ended April 30, 1988.  

(b) Forms 8-K

None.

9



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SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities
Exchange Act of 1934, the Registrant has duly caused this report to be signed
on its behalf by the undersigned, thereunto duly authorized.

|                       |  |                                |  |                               
|---------------------- |  | ------------------------------ |  | ------------------------------
|Date: October 22, 2001 |  | KINGS ROAD ENTERTAINMENT, INC. |  |                               
|                      
|                       |  | By:                            |  | /s/ Michael L. Berresheim     
|                       |  |                                |  |                               
|                       |  |                                |  | Michael L. Beresheim, Chairman
|                       |  |                                |  | and Chief Executive Officer   

10