SECURITIES AND EXCHANGE COMMISSION
                            Washington, D. C. 20549

                                   Form 10-KSB

     [X] Annual  report  pursuant  to  section  13 or  15(d)  of the  securities
         exchange act of 1934 For the fiscal year ended

                                       or

     [ ] Transition report under section 13 or 15(d) of the securities  exchange
         act of 1934 For the transition period from to

                        Commission file number 333-93475

                  PIF/Cornerstone Ministries Investments, Inc.
        (Exact name of small business issuer as specified in its charter)

              Georgia                                  58-2232313
   (State or other jurisdiction                      (IRS Employer
          of incorporation)                        Identification No.)

6030 Bethelview Road, Suite 101, Cumming, GA             30040
  (Address of principal executive offices)             (Zip Code)

           Issuer's telephone number, including area code 404.323.3311

  Cornerstone Ministries Investments, Inc. , 6035 Atlantic Boulevard, Suite C,
                          Norcross, Georgia 30071-1345
         (Former name or former address, if changed since last report.)

Securities registered under Section 12(b) of the Exchange Act:

Common stock, without par value    Chicago Stock Exchange (approved for listing)
     Title of each class            Name of each exchange on which registered

Securities  registered under Section 12(g) of the Exchange Act: (Title of class)
Not applicable (Section 15(d) filing)

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 ___

Check if there is no disclosure of delinquent  filers in response to Item 405 of
Regulation S-B contained in this form, and no disclosure  will be contained,  to
the  best  of  registrant's   knowledge,  in  definitive  proxy  or  information
statements  incorporated  by  reference  in Part III of this Form  10-KSB or any
amendment to this Form 10-KSB. [X]

State issuer's revenues for its most recent fiscal year  $ 931,806

State the aggregate market value of the voting and non-voting common equity held
by non-affiliates  computed by reference to the price at which the common equity
was sold,  or the average bid and asked  price of such  common  equity,  as of a
specified  date within the past 60 days.  As of February 28, 2001 the  aggregate
market value was $2,659,022 based upon current public offering price.

State the number of shares outstanding of each of the issuer's classes of common
equity, as of the latest  practicable date. 415,739 shares of common stock as of
February 28, 2001

Documents incorporated by reference: Portions of Issuer's Form SB-2 Registration
Statement,  effective May 3, 2000.  (Issuer has not furnished any annual reports
to shareowners or proxy solicitation materials.)
<PAGE>

                                     Part I

Item 1. Description of Business.

The  information  required by this item is  incorporated  by reference  from the
section  "Business" on pages 9 through 14 of the final  Prospectus  contained in
the Issuer's Pre-effective  amendment no. 2 to Form SB-2, as it became effective
with the Commission on May 1, 2000.

Item 2. Description of Property.

The  information  required by this item is  incorporated  by reference  from the
section "Business:  Facilities" on page 14 of the final Prospectus  contained in
the Issuer's Pre-effective  amendment no. 2 to Form SB-2, as it became effective
with the Commission on May 1, 2000.

Item 3. Legal Proceedings.

The  information  required by this item is  incorporated  by reference  from the
section  "Business:  Legal  proceedings"  on  page  14 of the  final  Prospectus
contained  in the Issuer's  Pre-effective  amendment  no. 2 to Form SB-2,  as it
became effective with the Commission on May 1, 2000.

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

No  matters  were  submitted  to a vote of  security  holders  during the fourth
quarter of the fiscal year covered by this report,  through the  solicitation of
proxies or otherwise.

                                     Part II

Item 5. Market for Common Equity and Related Stockholder Matters.

The Issuer is in the process of its initial  public  offering.  Its common stock
has been  approved  for Tier II  registration  on the  Chicago  Stock  Exchange,
subject to completion of the offering within certain numerical requirements.

There have been no recent sales of unregistered securities.

Following is information on the use of the proceeds  received  through  February
28, 2001 from the Issuer's ongoing initial public offering of its common stock:

(1)  The effective date of the Securities Act registration  statement was May 1,
     2000 and the file number assigned is 333-93475.

(2)  The offering commenced May 1, 2000.

(3)  The offering has not terminated.
     There are no underwriters.

Item 6. Management's Discussion and Analysis or Plan of Operation.

Merger with Presbyterian Investors Fund, Inc.

On  December  29,  2000  Presbyterian  Investors  Fund,  Inc.,  a not for profit
corporation,  merged into Cornerstone Ministries  Investments,  Inc. The name of
the merged entity became PIF/Cornerstone Ministries Investments, Inc.

The $ 23,280,643  in assets from PIF are primarily  performing  church loans and
cash  held  in  money  market  accounts  awaiting   distribution   according  to
outstanding  loan  commitments.  The $  23,280,643  in  liabilities  assumed are
primarily  Certificates of  Participation  in three loan funds.  These are fixed
term,  fixed rate  securities  that are either  unsecured or  collateralized  by
specific loan assets.

PIF/CMI  had  assets  on  December  31,  2000  of  $31,124,693;  liabilities  of
$28,542,096; and a total equity of $2,582,597.
<PAGE>

Overview of operations

Since  their  inception,  both CMI and PIF have been  focused  on  serving  only
faith-based  organizations,  principally  churches.  We also  offer  specialized
programs for churches and  non-profit  sponsors of senior housing and affordable
housing  programs.  While our earnings  have  historically  come from  financing
churches,  that began to change  during the last quarter of 2000 as CMI began to
realize revenues from investment in senior and affordable housing projects.

PIF/CMI generates  revenue from origination and renewal fees on loans,  interest
on these  loans,  gains on the sale of property  and  interest  on money  market
accounts.  We also receive limited lease income, but we are no longer pursuing a
lease/purchase  strategy. We currently charge a 10% fee on new loans and renewal
fees of as much as 5% of the  outstanding  balance  of the  renewing  loan.  Our
interest  rate on all new loans is  currently  from 10% to 12%.  Some  loans are
participating  loans,  enabling  PIF/CMI to receive income from the gains on the
sale  of  property  for  which  it has  provided  financing.  The  participation
percentage varies between 25% and 33% of the gains on the sale of real estate.

Comparison of Periods Ending December 31, 1999 and December 31, 2000
Income

         General.  Assets  increased  from  $4,502,381  at the  end of  1999  to
$31,124,693  at the end of 2000, as a result of the merger with PIF and the sale
of CMI's stock and  certificates.  The  December 29, 2000 merger was too late to
materially  affect  income for the year.  Gross income was $534,336 for 1999 and
$912,396 for 2000.  Net income for these  periods,  before  dividends  but after
taxes,  was $116,138 and  $214,228.  The increase in gross and net income is the
result of  increased  investable  assets  resulting  from the sale of shares and
certificates.

Total loans  outstanding on December 31, 1999 were $3,412,979 and $26,469,809 on
December 31,  2000.  Our other  assets at the end of 2000  included  $273,500 in
investments  in church  bonds and $869,066 in interest  receivable.  We also had
investments in liquid  securities of $2,181,280,  as required by PIF's financing
terms.

         Interest  Income.  Interest income on loans  increased  during the year
2000,  from  148,758 to 432,590,  largely as a result of  additional  loans made
during this period. The total increase in loans outstanding, prior to the merger
with PIF was  $1,981,212,  from  $3,412,979  at December  1999 to  $5,394,191 at
December 29, 2000.  The loan  balance as of December  31, 2000,  reflecting  the
effects of the merger was  $26,469,809.  Pro forma loan interest  income for the
full year 2000 for the combined companies would have been $2,244,862.

Investment  interest  income  prior to the  merger  decreased  from  $34,453  to
$19,410,  reflecting a more rapid deployment of available funds into loans. PIF,
prior to the merger, earned $193,166 in investment interest income in 2000, plus
$27,631 in bond interest income.

         Fee Income.  Fee income for the twelve months ending  December 31, 2000
was $478,806  versus  $263,162 for the same period in 1999.  The increase is the
result of  additional  loans  being  made  during  the course of the year out of
increased funds arising from the sale of stock and certificates, as well as some
limited  refinancing  of  existing  loans  by  third  parties,   providing  some
additional loanable assets. Total pro forma fee income for the combined entities
for the twelve months ending December 31, 2000 was $1,308,140.

         Income from the sale of  property.  CMI did not realize any income from
the sale of property  during the year 2000. By the end of 1999, CMI had disposed
of most of the property to which it held title. None of its participating  loans
had sold property during the course of the year.  PIF/CMI  currently holds title
to one  property,  in Soddy Daisy,  TN, which it expects to sell during the year
2001.

Expenses

         Interest Expenses. As a result of its growth in assets, and as a result
of drawing  $750,000  from its line of credit,  CMI  experienced  an increase in
interest expense from $209,541 to $314,871.  This increase in interest  expense,
in addition to the interest expense on the LOC of $53,360,  is a result of a net
increase in outstanding certificate principal of $1,692,864,  from $3,063,334 to
$4,756,198.   The  company  began  sales  of  its  Series  B   Certificates   of
Participation  in May 2000 and the  increase is the net of sales less $55,000 in
principal balance of certificates that matured. From the proceeds of the current
offering of stock and  certificates,  the company  fully
<PAGE>

repaid its LOC prior to the merger with PIF.  The  combined  pro-forma  interest
expense for 2000, reflecting the merger, was $2,354,546.

         Marketing  and  Selling  Expenses.  To  date,  CMI  has  not  committed
substantial  resources  for marketing  its lending  capabilities  because of the
continuing  backlog  of  projects  with  which  it has  been  approached.  Total
promotional  expenses in 2000 were $21,435, an increase of $14,000 over expenses
in 1999.

         Operating and  Administrative  Expenses.  Operating and  administrative
expenses  totaled  $152,092 in 1999 and $196,072 in 2000.  This  increase can be
attributed  to having a larger asset base on which  administrative  services are
calculated.  Prior to the merger, CMI paid PIF an administrative services fee of
1.5% of assets.  This component of operating and  administrative  fees increased
from $47,400 to $76,125. Other areas of expense increase were: accounting,  from
$7,595 to $12,  373;  legal  expense,  from $3,265 to $10,925;  as well as other
smaller increases.  CMI also experienced some reduction in expenses between 1999
and 2000:  from $43, 257 to $3,964 in consulting fees and from $15,256 to $9,363
in trust service fees.

Selling commissions are paid in cash but capitalized over three, five, and seven
years depending on whether a three-year  certificate,  five-year  certificate or
common stock is sold.  Commissions  increased from $18,046 in 1999 to $36,716 in
2000 as  certificates  and common stock have been sold in the current  offering,
which  commenced  in  May  2000.   Commission  expense,   and  the  accompanying
capitalized assets will increase as securities continue to be sold.

Amortized  legal expenses  increased as a result of the new offering in the year
2000.  Legal  expenses  associated  with  both  the 1998  offering  and the 2000
offering are  capitalized  and amortized.  We capitalized and are amortizing the
costs  associated  with the transfer of  registrar,  paying  agent,  and trustee
services.

         Taxes. CMI paid taxes of $56,567 in 1999 on pre-tax income of $172,705.
We estimate  taxes for the year 2000 will be  approximately  $130,166 on pre-tax
income of $344,394. Total expenses,  including taxes, for 1999 were $418,200 and
$717,578 for 2000.

Dividends

         We paid quarterly  dividends  totaling $1.00 per share during 1999, for
an annual rate based on the initial stock  offering  price of 10%. In January of
2000 the Board of Directors voted to split the existing  shares,  reducing their
price  from  $10.00  per share to $6.50 per share and  increasing  the number of
shares  outstanding.  The Board also  elected to change the payment of dividends
from  quarterly  to  semi-annual   periods.   During  2000  the  Board  declared
semi-annual dividends of $0.78 each per share, for an annualized return of 12%.

Liquidity and Capital Resources

         Cash from  Operations.  Net cash provided from operating  activities in
1999 was $19,215 and for 2000 was $1,540,958.

         Cash from  Financings.  CMI began  operations  in 1996 with an  initial
investment of $510,000 from  individuals  and PIF. CMI's first offering of stock
and certificates in 1998 raised a total of $3,747,306.

         Current  Offering.  CMI  is  currently  seeking  new  capital  of up to
$19,275,000,  consisting of  $2,275,000 in common stock (shares  priced at $6.50
per share) and  $17,000,000 in unsecured  debt. This offering began in May 2000.
Through December 31, 2000, 214,035 shares had been sold, raising $1,391,228, and
an additional  $1,754,922 in certificates had been sold. The total realized from
this ongoing  offering is $3,146,150.  A portion of these new  investments  came
from maturing investments in PIF.

We believe that additional sales of new investments from the current and planned
offerings,  as well as cash on hand, expected refinancings and sales of existing
loans,  will be sufficient  to meet our capital needs for the next quarter.  The
amount and timing of our future capital requirements will depend on factors such
as the  origination  and  funding of new  investments,  the costs of  additional
underwriting and marketing efforts, and general expenses of operations.

Effects of Inflation

Inflation,  which has been limited  during the course of our operating  history,
has had  little  effect  on  operations  and we do not  believe  it will  have a
significant  effect on our cost of capital or on the rates that we charge on our
loans.
<PAGE>

Inflation  resulting  in  increased  prices for real  estate  could  potentially
increase the gains  realized  from the sale of property,  while at the same time
decrease the ability of some potential clients to purchase,  finance, or lease a
property.

Item 7. Financial Statements.

The  information  required  by this  item is on pages  F-1  through  F-9 of this
Report.

Item  8.  Changes  In and  Disagreements  With  Accountants  on  Accounting  and
Financial Disclosure.

None.

                                    Part III

Item 9. Directors, Executive Officers, Promoters and Control Persons; Compliance
with Section 16(a) of the Exchange Act.

The  information  required by this item is  incorporated  by reference  from the
section  "Management"  on  page  14 of the  final  Prospectus  contained  in the
Issuer's Pre-effective amendment no. 2 to Form SB-2, as it became effective with
the Commission on May 1, 2000. William Lamberth is no longer a director.

Item 10. Executive Compensation.

During the fiscal year ended  December 31, 2000,  Cecil Brooks and John Ottinger
were the Issuer's only executive officers. They were compensated by Presbyterian
Investors   Fund  and  their   services  to  the  Issuer  are  included  in  the
administrative  services  agreement the Issuer had with  Presbyterian  Investors
Fund. The Issuer has no employment agreements.

Item 11. Security Ownership of Certain Beneficial Owners and Management.

 The following table shows the beneficial ownership of the Issuer's common stock
as of December 31, 2000 owned by each of CMI's directors and executive officers,
each  shareowner  known  by the  Issuer  to own  beneficially  5% or more of its
outstanding  shares and (iii) all directors and officers as a group.  We believe
that  the  beneficial  owners  of  the  common  stock  listed  below,  based  on
information  they  furnished,  have sole  investment and voting power over their
shares, subject to community property laws where applicable.

Name of  Beneficial Owner               Number of      Percentage of Total
                                        Shares         Common Stock
                                        Beneficially   Beneficially Owned
                                        Owned

Cecil A. Brooks                         1,953               *            *

Taylor McGown                           1,538               *            *

Irving B. Wicker                        1,538               *            *

John T. Ottinger                        1,540               *            *

All directors and executive officers    6.659              1.6%          *
as a group (4 Persons)


* Amounts to less than one percent.
<PAGE>

Item 12. Certain Relationships and Related Transactions. Furnish the information
required by Item 404 of Regulation S-B.

The  information  required by this item is  incorporated  by reference  from the
section "Certain  Transactions" on page 17 of the final Prospectus  contained in
the Issuer's Pre-effective  amendment no. 2 to Form SB-2, as it became effective
with the Commission on May 1, 2000.

Item 13. Exhibits and Reports on Form 8-K.

     Exhibit Number                 Description                  Incorporated
  (Part III, Form 1-A)                                          by reference to

        2.1              Amended  and  Restated  Articles of
                         Incorporation of the Issuer                  3.1*

        2.2              Amended and Restated By-laws of the
                         Issuer                                       3.2*

        3                Article  III.A.,   page  1  of  the
                         Amended  and  Restated  Articles of
                         Incorporation  and  Article  III of
                         the  Amended and  Restated  By-laws
                         (Reference  is made to Exhibits 2.1
                         and 2.2)

        6.1              Administrative  Services  Agreement
                         with  Presbyterian  Investors Fund,
                         Inc.                                        10.1*

        6.2              Plan of Merger                               7(c)^

*    Exhibit  number in Part II, Item 27 of the Issuer's Form SB-2, as it became
     effective with the Commission on May 1, 2000.

^    Exhibit number in Form 8-K Report for December 29, 2000,  filed January 16,
     2001.

No reports on Form 8-K were filed during the last quarter of the period  covered
by this report.
<PAGE>


                             T. JACKSON McDANIEL III

                           Certified Public Accountant
                               1439 McLendon Drive
                                     Suite C
                                Decatur, GA 30033
                                 (770) 491-0609

To the Board of Directors
PIF/Cornerstone Ministries Investments, Inc.
Cumming, Ga

I have audited the  accompanying  balance  sheet of  PIF/Cornerstone  Ministries
Investments,  Inc.  as of  December  31,  2000,  1999 and  1998 and the  related
statements of income, retained earnings, cash flows and changes in stockholders'
equity  for  the  years  then  ended.   These   financial   statements  are  the
responsibility of the Company's  management.  My responsibility is to express an
opinion on these financial statements based on my audit.

I conducted my audit in accordance with generally  accepted auditing  standards.
Those standards  require that I plan and perform the audit to obtain  reasonable
assurance   about  whether  the  financial   statements  are  free  of  material
misstatement.  An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements.  An audit also includes
assessing the  accounting  principles  used and  significant  estimates  made by
management,  as well as evaluating the overall financial statement presentation.
I believe that my audit provides a reasonable basis for my opinion.

In my opinion, the financial statements referred to above present fairly, in all
material  respects,   the  financial  position  of  PIF/Cornerstone   Ministries
Investments,  Inc. as of December 31, 2000, 1999 and 1998 and the results of its
operations,  its cash flows and  changes in  stockholders'  equity for the years
then ended in conformity with generally accepted accounting principles.

S/T. Jackson McDaniel III

March 12, 2001
                                                                             F-1
<PAGE>

<TABLE>
PIF/CORNERSTONE MINISTRIES INVESTMENTS, INC.
BALANCE SHEET
December 31, 2000, December 31, 1999 and December 31, 1998

<CAPTION>
ASSETS

                                                       12/31/00        12/31/99         12/31/98
                                                    -------------    ------------      ------------
<S>                                                 <C>              <C>             <C>
CURRENT ASSETS
 CASH                                               $  2,181,280     $   706,035     $     677,576
 ACCOUNTS RECEIVABLE                                      67,085               -                 -
 ACCRUED INTEREST RECEIVABLE                             869,066          46,167             1,948
                                                    -------------    ------------      ------------

          TOTAL CURRENT ASSETS                         3,117,431         752,202           679,524


REAL ESTATE LOANS RECEIVABLE                          26,469,809       3,412,979           625,179

FIXED ASSETS-NET OF ACCUMULATED
 DEPRECIATION                                              6,689

INTANGIBLE ASSETS-NET OF ACCUMULATED
  AMORTIZATION                                           455,226         332,200           199,510

INVESTMENTS
 REAL ESTATE HELD                                        295,499

OTHER ASSETS
 PREMIUM PAID FOR ASSET ACQUISITION                      500,000
 BOND HOLDINGS                                           273,500
 PREPAID INSURANCE                                         5,507
 DEPOSIT                                                   1,031           5,000                 -
                                                    -------------    ------------      ------------

          TOTAL  ASSETS                             $ 31,124,693     $ 4,502,381     $   1,504,213
                                                    =============    ============    ==============



LIABILITIES AND SHAREHOLDER'S EQUITY

CURRENT LIABILITIES
 ACCOUNTS PAYABLE                                   $     26,337     $    87,537     $     147,534
 INTEREST PAYABLE                                      2,213,690          83,750             2,697
 INCOME TAXES PAYABLE                                    112,264          30,810                 -
 PAYROLL TAX LIABILITIES                                  34,871
 DIVIDENDS PAYABLE                                       151,974          29,776                 -
 DUE TO CHURCH GROWTH FOUNDATION                          22,240
 RENT DEPOSITS HELD                                          700             700             5,780
                                                    -------------    ------------      ------------

          TOTAL CURRENT LIABILITIES                    2,562,076         232,573           156,011

LONG TERM LIABILITIES-INVESTOR CERTIFICIATES
 INVESTOR CERTIFICATES                                25,483,051       3,056,276           608,500
 BOND FUND CERTIFICATES                                  474,145
                                                      -----------      ----------      ------------

          TOTAL LONG TERM LIABILITIES                 25,957,196       3,056,276           608,500

 DEFERRED INCOME TAXES                                    22,823          12,372             3,948
                                                    -------------    ------------      ------------

          TOTAL LIABILITIES                           28,542,096       3,301,221           768,459

COMMON STOCK, .01 PAR VALUE,
 10,000,000 SHARES AUTHORIZED,
 397,227  ISSUED AND OUTSTANDING                           3,972           1,191               730

PAID IN CAPITAL                                        2,578,286       1,189,839           729,140

RETAINED EARNINGS (DEFICIT)                                  339          10,130             5,884
                                                    -------------    ------------      ------------

          TOTAL SHAREHOLDER'S EQUITY                   2,582,597       1,201,160           735,754
                                                    -------------    ------------    --------------

TOTAL LIABILITIES AND MEMBER'S EQUITY               $ 31,124,693     $ 4,502,381     $   1,504,213
                                                    =============    ============    ==============

                                                                                                   F-2

               See accompanying accountant's report and notes to financial statements.
</TABLE>
<PAGE>

<TABLE>
PIF/CORNERSTONE MINISTRIES INVESTMENTS, INC
STATEMENT OF INCOME
   AND RETAINED EARNINGS
For the years ended December 31, 2000, December 31, 1999 and December 31, 1998

                                                                        12/31/00              12/31/99               12/31/98
                                                                  -----------------     ------------------         -------------
<S>                                                                <C>                   <C>                    <C>
REVENUES
 Interest Income-Loans                                             $       432,590       $        148,758       $        47,958
 Fees Earned                                                               478,806                263,162                     -
 Rental Income                                                                                      1,452                     -
 Other income                                                                1,000
 Gain on Sale of Real Estate                                                                       86,513                37,280
                                                                  -----------------     ------------------         -------------

 TOTAL REVENUES                                                            912,396                499,885                85,238

OPERATING EXPENSES
 Interest Expense-Investor Certificates                                    314,871                209,541                 6,297
 Interest on Line of Credit                                                 53,360
 Management Fees                                                            76,125                 47,400                     -
 Marketing Expenses                                                         92,239                 33,876                12,716
 Operating Expenses                                                         50,817                 70,816                20,313
                                                                  -----------------     ------------------         -------------

 TOTAL OPERATING EXPENSES                                                  587,412                361,633                39,325

NET INCOME FROM OPERATIONS                                                 324,984                138,252                45,913


OTHER INCOME (EXPENSE)
 Interest Income-Banks                                                      19,410                 34,453                 3,190
 Income Tax Expense                                                       (130,166)               (56,567)              (10,038)
                                                                  -----------------     ------------------         -------------

 TOTAL OTHER INCOME (EXPENSE)                                             (110,756)               (22,114)               (6,848)

NET INCOME                                                         $       214,228       $        116,138       $        39,065

RETAINED EARNINGS (DEFICIT)-BEGINNING OF YEAR                               10,130                  5,884                 5,069

DIVIDENDS                                                                 (224,019)              (111,892)              (38,250)
                                                                  -----------------     ------------------         -------------

RETAINED EARNINGS (DEFICIT)-END OF YEAR                            $           339       $         10,130       $         5,884
                                                                  =================     ==================         =============

                                                                                                                            F-3

                               See accompanying accountant's report and notes to financial statements.
</TABLE>
<PAGE>

<TABLE>
PIF/CORNERSTONE MINISTRIES INVESTMENTS, INC.
STATEMENT OF CHANGES IN STOCKHOLDER'S EQUITY
For the year ended December 31, 2000


<CAPTION>
                                                                     Retained        Total
                                       Common        Paid-In         Earnings        Owner's
                                       Stock         Capital        (Deficit)        Equity
                                     ----------    -------------    ----------    -------------
<S>                                    <C>          <C>              <C>           <C>
Balance at December 31, 1999           $ 1,191      $ 1,189,839      $ 10,130      $ 1,201,160

Net Income (Loss) for the year                                                               -
 ended December 31, 2000                                              214,228          214,228

Dividends declared                                                   (224,019)        (224,019)

Capital contribution                     2,781        1,388,447                      1,391,228
                                     ----------    -------------    ----------    -------------

Balance at December 31, 2000           $ 3,972      $ 2,578,286         $ 339      $ 2,582,597
                                     ==========    =============    ==========    =============

                                                                                           F-4

           See accompanying accountant's report and notes to financial statements.
</TABLE>

<PAGE>

<TABLE>

PIF/CORNERSTONE MINISTRIES INVESTMENTS, INC.
STATEMENT OF CASH FLOWS
For the years ended December 31, 2000, December 31, 1999
  and December 31, 1998
<CAPTION>
                                                     12/31/00           12/31/99          12/31/98
                                                ----------------    ---------------       ----------
<S>                                              <C>                 <C>                <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
Cash from Operations:
   Net income (loss)                             $      214,228      $     116,138      $    39,065

  Items that do not use
    Cash:
      Amortization                                       31,945             14,332            3,879
  (Increase) Decrease in
    Accounts Receivable                                 (67,085)                 -                -
  (Increase) Decrease in
    Accrued Interest Receivable                        (822,899)           (44,219)             377
  (Increase) Decrease in
    Intangible Assets                                  (154,971)          (147,022)        (188,636)
  (Increase) Decrease in
    Other Assets                                         (1,538)            (5,000)               -
  Increase (Decrease) in
    Accounts Payable                                    (61,200)           (59,997)         147,534
  Increase (Decrease) in
    Interest Payable                                  2,129,940             81,053            2,697
  Increase (Decrease) in
    Dividends Payable                                   122,198             29,776                -
  Increase (Decrease) in
    Rent Deposit Payable                                                    (5,080)           4,599
  Increase (Decrease) in
    Income taxes payable                                 81,454             30,810                -
  Increase (Decrease) in
    Payroll Tax Liabilities                              34,871
  Increase (Decrease) in
    Other Liabilities                                    23,564
  Increase (Decrease) in
    Deferred tax liability                               10,451              8,424            3,948
                                                ----------------    ---------------       ----------

Net Cash Provided (Used) by
  Operating Activities                                1,540,958             19,215           13,463

Cash Flows From Investing Activities:
  Real Estate Purchased                                (295,499)
  Effect of PIF Asset Acquisition                      (308,966)
  Loans purchased                                   (21,720,888)                 -                -
  Loans made                                         (3,387,451)        (3,552,450)        (364,585)
  Loan principal repayments received                  2,051,509            764,874          162,703
                                                ----------------    ---------------       ----------
Net Cash Provided (Used) by
  Investing Activities                              (23,661,295)        (2,787,576)        (201,882)

Cash Flows From Financing Activties:
  Stock subscriptions sold                            1,391,228            461,160          219,870
  Certificates of Indebtedness Issued                 1,699,922
  Certificates of Indebtedness Acquired              20,726,853          2,417,776          608,500
  Dividends Paid                                       (222,421)           (82,116)         (38,250)
                                                ----------------    ---------------       ----------

Net Cash Provided by Financing Activities            23,595,582          2,796,820          790,120

Net Increase (Decrease)
  in Cash:                                            1,475,245             28,459          601,701
Cash-Beginning of Year                                  706,035            677,576           75,875
                                                ----------------    ---------------       ----------

Cash-End of Year                                $     2,181,280      $     706,035      $   677,576
                                                   =============       ============    =============

                                                 .                                               F-5
<FN>
During the year ended December 31,  2000 the Company
 paid cash interest of $317,360

    See accompanying accountant's report and notes to financial statements.
</FN>
</TABLE>
<PAGE>


                PIF/CORNERSTONE MINISTRIES INVESTMENTS, INC.
                          NOTES TO FINANCIAL STATEMENTS
                                DECEMBER 31, 2000

NOTE 1 - Summary of Significant Accounting Policies

(A)  Conformity  with Generally  Accepted  Accounting  Principles and Accounting
     Method

The accounting  policies of the Company conform to generally accepted accounting
principles  consistent to its industry.  The Company uses the accrual  method of
accounting.

(B) Description of Company's Operations

The Company is in the business of originating  and purchasing  Mortgage loans on
Church and Church related  properties.  Costs associated with loan  applications
received directly from borrowers are expensed as period costs.

The Company is also in the business of  investing  in Church and Church  related
real estate for the purpose of 1)selling at a profit,  2)leasing to Churches and
Church related activities.

(C) Organizational Information

The Company is a corporation organized under the laws of the State of Georgia.

(D) Organizational Expenses

The expenses  associated with organizing the corporation and beginning  business
have been capitalized and are being amortized over 60 months.

(E) Provision for Loan Losses

Management  is of the opinion that losses  arising from the default of Church or
Church related loans are not probable or reasonably estimated. Management has an
aggressive  policy of working out any potential  problem loans before they reach
the  default  stage.  As of the  balance  sheet  date no loan is in arrears in a
material  amount.  Therefore,  no allowance  for loan losses is reflected in the
accompanying statements.

                                                                             F-6
<PAGE>

                  PIF/CORNERSTONE MINISTRIES INVESTMENTS, INC.
                          NOTES TO FINANCIAL STATEMENTS
                                DECEMBER 31, 2000

(F) Comparative Data

The Balance Sheet information for the years ended December 31, 1999 and December
31, 1998 are  presented  for  comparative  purposes  and are not  intended to be
complete financial statement presentations.

(G) Accrued Interest Income

Interest  income  is  accrued  monthly  on  the  outstanding  balance  of  loans
receivable.

(H) Accrued Interest Expense

Interest on Certificates of Indebtedness is accrued  semiannually  from the date
of  issuance,  and  may  be  paid  semiannually.  Investors  holding  five  year
certificates in multiples of $10,000 may receive interest monthly.

(G) Cash and Cash Equivalents

Cash and cash equivalents  include checking accounts and short term certificates
with original maturities of 90 days of less.

NOTE 2 - LEASE COMMITMENTS

The Company currently has no lease commitments.  For the year ended December 31,
2000 the Company  shared  office space at no cost with its largest  shareholder.
Subsequent  to December 31, 2000 the Company  continued  this  arrangement  on a
month to month basis until it occupied  new office  space on February  28, 2001.
(See NOTE 12)

NOTE 3 - REAL ESTATE LOANS RECEIVABLE

At  December  31,  2000,  1999,  and 1998 the  Company  had  Real  Estate  Loans
Receivable  from  Churches  totaling  $26,469,809,   $3,412,979,   and  $625,179
respectively.  These loans mature over a period  beginning in 2001 and ending in
2012.  Of the total loans  receivable  at December  31, 2000  $21,720,888)  were
acquired as a result of the PIF Acquisition (See NOTE 11)

                                                                             F-7
<PAGE>

                  PIF/CORNERSTONE MINISTRIES INVESTMENTS, INC.
                          NOTES TO FINANCIAL STATEMENTS
                                DECEMBER 31, 2000

NOTE 4 - INTANGIBLE ASSETS

Intangible assets consist of costs incurred to 1)organize the Company,  2) costs
of  registering  the Company's  equity and debt  securities,  3) developing  the
Prospectus for registering of the Company's securities,  and 4) commissions paid
and/or  accrued  on the sale of debt  securities  and equity  securities.  These
intangibles are amortized on a straight line basis periods of 5 to 40 years.

NOTE 5 - INCOME TAXES

Income taxes payable and the  corresponding  expense on The Company's net income
for the years ended December 31, 2000,  December 31, and 1998, December 31, 1997
has been computed as follows:

                               12/31/2000         12/31/1999        12/31/1998
                             ---------------    ---------------    -------------

Current:    Federal           $ 101,519          $    36,044        $    4,128
            State                18,195                8,151             1,962



Deferred    Federal               9,058               10,747             2,820
            State                 1,394                1,625             1,128
                             ---------------    ---------------    -------------

                              $ 130,166         $     56,567       $    10,038
                             ===============    ===============    =============


Deferred  income taxes arise  because of timing  differences  between  financial
accounting  and  tax  accounting  rules  for  the  deductibility  of  intangible
amortization expense.

NOTE 6 - CASH CONCENTRATION

A cash concentration risk arises when the Company has more cash in one financial
institution  then is covered by  insurance.  At December 31, 2000,  December 31,
1999 and December 31, 1998 the Company had cash in one institution that was over
the amount insured by the FDIC of $2,081,280 $606,035, and $577,576.

                                                                             F-8
<PAGE>


                  PIF/CORNERSTONE MINISTRIES INVESTMENTS, INC.
                          NOTES TO FINANCIAL STATEMENTS
                                DECEMBER 31, 2000

NOTE 7 - SIGNIFICANT BUSINESS CONCENTRATION

At  December  31, 2000 the Company has loans  receivable  derived  from  lending
activities of $26,469,809.  Of this amount $5,155,426 or approximately  19.5% of
the total loan portfolio of the Company is from one entity. This entity borrowed
the funds to finance Phase I of an Assisted Living  Facility in Ft. Pierce,  Fl.
At December 31, 2000 this  facility had not yet opened.  However,  subsequent to
year end, the financed facility opened Phase I.

NOTE 8-NAME CHANGE

Prior to the year ended  December 31, 1998,  the Company was named  "Cornerstone
Ministries  Fund,  Inc.".  During the year ended  December 31, 1998, the Company
changed its name to "Cornerstone  Ministries  Investments,  Inc." to allow it to
register its securities in all 50 states and to more correctly  identify it with
its mission.

At the end of the year ended  December  31, 2000 the Company  again  changed its
name as a result of the  acquisition  of assets  of the  Presbyterian  Investors
Fund, Inc. (See NOTE 12).  Effective December 29, 2000 the Company's name became
PIF/Cornerstone Ministries Investments, Inc.

NOTE 9-SECURITIES OFFERING

In December 1999 the Company filed a Form SB-2 Registration  Statement under the
Securities Act of 1933.  Under this  Registration  Statement it is the Company's
intent to raise approximately  $19,275,000 in additional capital.  This is to be
accomplished  through the issuance of $2,275,000 in additional  Common Stock and
$17,000,000 in new Certificates of Indebtedness.

As of the  date of the  accompanying  accountant's  report  the  company  has an
additional 278,100 shares of stock outstanding as a result of this offering.

NOTE 10-STOCK SPLIT

In December of 1999 the board of  directors  authorized a stock split in a ratio
of  approximately  1.53 to 1. This split was effected for shareholders of record
on January 2, 2000, and effected as of January 15, 2000. The split has no effect
on the earnings or cash position of the company at December 31, 2000.

                                                                             F-9
<PAGE>

                  PIF/CORNERSTONE MINISTRIES INVESTMENTS, INC.
                          NOTES TO FINANCIAL STATEMENTS
                                DECEMBER 31, 2000

NOTE 11-ACQUISITION OF ASSETS OF PRESBYTERIAN INVESTORS FUND, INC.

On October 11, 2000 the Board of Directors  agreed to acquire  certain assets of
the  Presbyterian  Investors  Fund,  Inc.  (PIF).  PIF  was in the  business  of
originating  and  purchasing  loans  made to  churches  that are  members of The
Presbyterian Church in America (PCA). The acquisition price was determined by an
evaluation of the loan  portfolio of PIF and was to be paid by the assumption of
certain liabilities of PIF plus a premium to be paid for the assets that was not
to be less than  $500,000.  This  acquisition  was closed on  December  29, 2000
effective as of that date. The financial statements to which these footnotes are
a part include the results of that acquisition.

NOTE 12-SUBSEQUENT EVENT-REAL ESTATE ACQUISITION

On February 1, 2001 the company  acquired two office condos to be used as office
space.  The purchase  price was $250,000.  The company  occupied this new office
space on  February  28,  2001.  Until  the new space was  occupied  the  company
operated under a month to month lease at $1,031 a month.

                                                                            F-10
<PAGE>

                                   SIGNATURES

In  accordance  with Section  15(d) of the Exchange  Act, the Issuer caused this
report to be signed on its behalf by the undersigned, thereunto duly authorized.


                          PIF/CORNERSTONE MINISTRIES INVESTMENTS, INC. (Issuer)

                          By   S/Cecil A. Brooks               March  22 , 2001
                               ------------------------------
                               Cecil A. Brooks, Chief Executive

Officer

     Each person whose signature appears below appoints Cecil A. Brooks, John T.
Ottinger,  or either of them,  his or her  attorney-in-fact,  with full power of
substitution and  resubstitution,  to sign any and all amendments to this report
on Form 10-KSB of  PIF/Cornerstone  Ministries  Investments,  Inc.,  and to file
them, with all their exhibits and other related  documents,  with the Securities
and   Exchange   Commission,   ratifying   and   confirming   all   that   their
attorney-in-fact  and agent or his or her substitute or substitutes may lawfully
do or cause to be done by virtue of this appointment.

<TABLE>
In  accordance  with the Exchange  Act, this report has been signed below by the
following persons on behalf of the Issuer and in the capacities and on the dates
indicated.
<CAPTION>
                 Signature                                    Title                                Date
                 ---------                                    -----                                ----
<S>                                                  <C>                                             <C>
   S/Cecil A. Brooks                                 Chief Executive Officer, President and          March 22, 2001
--------------------------------------------         Chairman of the Board of Directors
   Cecil A. Brooks

   S/John T. Ottinger                                Vice President, Chief Financial Officer         March 22, 2001
--------------------------------------------         Secretary, Treasurer and Director
   John T. Ottinger                                  (Principal financial and accounting officer)

   S/Theodore R. Fox                                 Director                                        March 22, 2001
--------------------------------------------
   Theodore R. Fox

   S/Richard E. McLaughlin                           Director                                        March 22, 2001
--------------------------------------------
   Richard E. McLaughlin

   S/Jayme Sickert                                   Director                                        March 22, 2001
--------------------------------------------
   Jayme Sickert

   S/Irving B. Wicker                                Director                                        March 22, 2001
--------------------------------------------
   Irving B. Wicker

   S/Taylor McGown                                   Director                                        March 22, 2001
--------------------------------------------
   Taylor McGown

    S/Henry Darden                                   Director                                        March 22, 2001
--------------------------------------------
   Henry Darden
</TABLE>