<PAGE>   1
                                   FORM 10-Q

                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549


(Mark One)

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

For the quarterly period ended        March 31, 1997
                              -----------------------------

                                       OR

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

For the transition period from                      to                     
                               ---------------------  ---------------------
Commission file number        0-17737                                  
                      -------------------------------------------------


                        Fiduciary Capital Partners, L.P.
             -----------------------------------------------------
             (Exact name of registrant as specified in its charter)



         Delaware                                        86-0653600 
 -----------------------                             -------------------
 (State of organization)                              (I.R.S. Employer
                                                     Identification No.)



    410 17th Street
       Suite 400
    Denver, Colorado                                        80202
   ------------------                                     ---------
  (Address of principal                                   (Zip Code)
   executive offices)


       Registrant's telephone number, including area code (800) 866-7607
                                                          --------------


         Indicate by check mark whether the registrant (1) has filed all
reports required to be filed by Section 13 or 15(d) of the Securities Exchange
Act of 1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days. Yes X No    .
                                             --    --


<PAGE>   2

                        Fiduciary Capital Partners, L.P.
                     Quarterly Report on Form 10-Q for the
                          Quarter Ended March 31, 1997




                               Table of Contents


<TABLE>
<CAPTION>
                                                                                                 Page
<S>               <C>                                                                              <C>
  Part I.         FINANCIAL INFORMATION

                  Item 1.    Financial Statements (unaudited)                                       3

                             Schedule of Investments -
                             March 31, 1997                                                         3

                             Balance Sheets - March 31, 1997 and
                             December 31, 1996                                                      5

                             Statements of Operations for the three months
                             ended March 31, 1997 and 1996                                          6

                             Statements of Cash Flows for the three months
                             ended March 31, 1997 and 1996                                          7

                             Statements of Changes in Net Assets for the
                             three months ended March 31, 1997 and
                             for the year ended December 31, 1996                                   8

                             Selected Per Unit Data and Ratios                                      9

                             Notes to Financial Statements                                         10

                  Item 2.    Management's Discussion and Analysis
                             of Financial Condition and Results of
                             Operations                                                             12


  Part II.        OTHER INFORMATION

                  Item 1. Legal Proceedings                                                         16

                  Item 6. Exhibits and Reports on Form 8-K                                          16

</TABLE>




                                       2



<PAGE>   3


                         Part I. FINANCIAL INFORMATION

Item 1.  Financial Statements


                        FIDUCIARY CAPITAL PARTNERS, L.P.

                            SCHEDULE OF INVESTMENTS

                                 MARCH 31, 1997
                                  (unaudited)

<TABLE>
<CAPTION>
--------------------------------------------------------------------------------------------------------------------------
Principal
Amount/                                              Investment          Amortized                    % of Total   
Shares              Investment                          Date               Cost          Value        Investments
--------------------------------------------------------------------------------------------------------------------------
<S>                 <C>                              <C>               <C>          <C>                   <C>
MANAGED COMPANIES:

182,453.91 sh.      Neodata Corporation,
                    10.00% Class A Convertible       12/27/90 &
                    Preferred Stock - Series 2*      09/30/92          $   337,945  $           1
10,607.78 sh.       Neodata Corporation,             12/27/90 &
                    Common Stock*                    09/30/92                    1              1
--------------------------------------------------------------------------------------------------------------------------
                                                                           337,946              2        0.0%
--------------------------------------------------------------------------------------------------------------------------
27,944 sh.          KEMET Corporation,
                    Common Stock(1)*                 07/11/91                9,905        529,190
--------------------------------------------------------------------------------------------------------------------------
                                                                             9,905        529,190        2.8
--------------------------------------------------------------------------------------------------------------------------
75,856 sh.          ar accessories group,
                    incorporated, Warrants
                    to Purchase Class B
                    Common Stock(2)*                 07/30/92              104,091              1
27,392 sh.          ar accessories group,
                    incorporated, Class A
                    Common Stock(2)*                 07/30/92              273,920        260,223
--------------------------------------------------------------------------------------------------------------------------
                                                                           378,011        260,224        1.4
--------------------------------------------------------------------------------------------------------------------------
$6,087,185          Elgin National Industries, Inc.,
                    13.00% Senior Subordinated
                    Notes due 9/01/01(3)             09/24/93            5,984,873      5,984,873
7,119.71 sh.        ENI Holding Corp.,
                    10.00% Preferred Stock
                    due 12/31/01                     09/24/93              711,971        962,347
489.27 sh.          ENI Holding Corp.,
                    Class B Common Stock*            09/24/93               48,927         48,927
510.83 sh.          ENI Holding Corp.,
                    Warrants to Purchase Class B
                    Common Stock*                    09/24/93               51,078         51,078
--------------------------------------------------------------------------------------------------------------------------
                                                                         6,796,849      7,047,225       36.9
--------------------------------------------------------------------------------------------------------------------------
$983,520            LMC Operating Corp.,
                    12.00% Senior Subordinated
                    Revolving Notes
                    due 10/31/00(4)                  11/01/96              983,520        983,520
260,400 sh.         LMC Operating Corp., 7.00%
                    Cumulative Redeemable
                    Preferred Stock*                 06/10/94            2,596,621      2,596,621
27.28 sh.           LMC Operating Corp.,
                    Common Stock*                    02/09/96              545,599          4,799
52.08 sh.           LMC Credit Corp.,
                    Common Stock*                    02/09/96                    1              1
--------------------------------------------------------------------------------------------------------------------------
                                                                         4,125,741      3,584,941       18.7
--------------------------------------------------------------------------------------------------------------------------
</TABLE>

             The accompanying notes to financial statements are an
                        integral part of this schedule.

                                       3


<PAGE>   4

                        FIDUCIARY CAPITAL PARTNERS, L.P.

                      SCHEDULE OF INVESTMENTS (CONTINUED)

                                 MARCH 31, 1997
                                  (unaudited)

<TABLE>
<CAPTION>
--------------------------------------------------------------------------------------------------------------------------
Principal
Amount/                                            Investment            Amortized                   % of Total
Shares              Investment                        Date                 Cost            Value     Investments
--------------------------------------------------------------------------------------------------------------------------
<S>                 <C>                              <C>                  <C>             <C>         <C>
1,608 sh.           Mobile Technology, Inc.,         07/06/94 &
                    Common Stock*                    12/28/94              227,438         45,488

4,272 sh.           Mobile Technology, Inc.,
                    Warrants to Purchase             07/06/94 &
                    Common Stock(5)*                 12/28/94               60,492         10,568
--------------------------------------------------------------------------------------------------------------------------
                                                                           287,930         56,056        0.3
--------------------------------------------------------------------------------------------------------------------------
$1,460,000          R.B.M. Precision Metal
                    Products, Inc., 13.00%
                    Senior Subordinated
                    Secured Notes due
                    5/24/02(6)                       05/24/95            1,374,644      1,374,644
11,060.6 sh.        R.B.M. Precision Metal
                    Products, Inc., Warrants
                    to Purchase Common Stock*        05/24/95               82,955         82,955
--------------------------------------------------------------------------------------------------------------------------
                                                                         1,457,599      1,457,599        7.6
--------------------------------------------------------------------------------------------------------------------------
$3,934,080          Atlas Environmental, Inc.,
                    13.50% Senior Subordinated
                    Secured Notes due 01/19/03(7)*   01/25/96            3,819,626      2,680,167
407,659 sh.         Atlas Environmental, Inc.,
                    Warrants to Purchase
                    Common Stock(8)*                 01/25/96               40,766              1
--------------------------------------------------------------------------------------------------------------------------
                                                                         3,860,392      2,680,168       14.0
--------------------------------------------------------------------------------------------------------------------------
     Total Investments in Managed Companies (83.7% of net assets)       17,254,373     15,615,405       81.7
--------------------------------------------------------------------------------------------------------------------------
TEMPORARY INVESTMENTS:

$3,500,000          Cargill, Inc., 5.03%
                    Notes due 04/01/97               03/18/97            3,500,000      3,500,000
--------------------------------------------------------------------------------------------------------------------------
     Total  Temporary Investments (18.7% of net assets)                  3,500,000      3,500,000       18.3
--------------------------------------------------------------------------------------------------------------------------
     Total Investments (102.4% of net assets)                          $20,754,373    $19,115,405      100.0%
==========================================================================================================================
</TABLE>






(1)  The KEMET Corporation common stock trades on the NASDAQ National Market
     System.
(2)  Amity Leather Products Co. changed its corporate name to ar accessories
     group, incorporated during 1996.
(3)  The notes will amortize in eight equal quarterly installments of $760,898
     commencing on November 30, 1999.
(4)  The Fund has committed to provide up to $1,967,040 of subordinated debt
     financing pursuant to the terms of these notes.
(5)  The warrants have exercise prices of $20.00 per share (1,281 shares) and
     $35.00 per share (2,991 shares).
(6)  The notes will amortize in three equal annual installments of $486,667
     commencing on May 24, 2000.
(7)  The notes will amortize in five equal annual installments of $786,816
     commencing on January 19, 1999. The accrual of interest on the notes was
     discontinued by the Fund effective April 20, 1996.
(8)  The Atlas Environmental, Inc. common stock trades over the counter on a
     limited basis with quotations provided via the OTC Bulletin Board. The
     warrants have an exercise price of $8.00 per share.
*    Non-income producing security.




             The accompanying notes to financial statements are an
                        integral part of this schedule.

                                       4



<PAGE>   5

                        FIDUCIARY CAPITAL PARTNERS, L.P.

                                 BALANCE SHEETS

                      MARCH 31, 1997 AND DECEMBER 31, 1996
                                  (unaudited)


<TABLE>
<CAPTION>
                                                              1997            1996
                                                          ------------    ------------
<S>                                                       <C>             <C>         
ASSETS:

   Investments:
     Portfolio investments, at value:
       Managed companies (amortized cost -
         $17,254,373 and $17,244,123,
         respectively)                                    $ 15,615,405    $ 16,560,005
     Temporary investments, at amortized cost                3,500,000       3,797,256
                                                          ------------    ------------
       Total investments                                    19,115,405      20,357,261
   Cash and cash equivalents                                   330,642         272,543
   Accrued interest receivable                                 119,648         113,809
   Other assets                                                  2,637           7,648
                                                          ------------    ------------
     Total assets                                         $ 19,568,332    $ 20,751,261
                                                          ============    ============

LIABILITIES:

   Payable to affiliates (Notes 2, 3 and 4)               $     53,412    $     52,655
   Accounts payable and accrued liabilities                    461,564         479,745
   Distributions payable to partners                           393,690         393,690
                                                          ------------    ------------

     Total liabilities                                         908,666         926,090
                                                          ------------    ------------

COMMITMENTS AND CONTINGENCIES (Note 5)

NET ASSETS:

   Managing General Partner                                    (36,167)        (24,512)
   Limited Partners (equivalent to $14.39
     and $15.28, respectively, per limited
     partnership unit based on 1,299,176
     units outstanding)                                     18,695,833      19,849,683
                                                          ------------    ------------

       Net assets                                           18,659,666      19,825,171
                                                          ------------    ------------

         Total liabilities and net assets                 $ 19,568,332    $ 20,751,261
                                                          ============    ============
</TABLE>



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

                                       5


<PAGE>   6

                        FIDUCIARY CAPITAL PARTNERS, L.P.

                            STATEMENTS OF OPERATIONS

               FOR THE THREE MONTHS ENDED MARCH 31, 1997 AND 1996
                                  (unaudited)


<TABLE>
<CAPTION>
                                                             1997            1996
                                                          -----------    -----------
<S>                                                       <C>            <C>        
INVESTMENT INCOME:

   Income:
     Interest                                             $   333,845    $   483,644
                                                          -----------    -----------

       Total investment income                                333,845        483,644
                                                          -----------    -----------


   Expenses:
     Investment advisory fees (Note 2)                         22,279         48,722
     Professional fees                                         53,007         46,532
     Fund administration fees (Note 3)                         35,843         35,843
     Administrative expenses (Note 3)                          20,276         20,276
     Independent General Partner fees
       and expenses (Note 4)                                   13,673         18,318
     Other expenses                                             5,732         14,756
                                                          -----------    -----------

       Total expenses                                         150,810        184,447
                                                          -----------    -----------

NET INVESTMENT INCOME                                         183,035        299,197
                                                          -----------    -----------

REALIZED AND UNREALIZED
   GAIN (LOSS) ON INVESTMENTS:

     Net realized loss on investments                              --     (3,539,416)
     Net change in unrealized (loss) gain
       on investments                                        (954,850)     3,682,821
                                                          -----------    -----------

          Net (loss) gain on investments                     (954,850)       143,405
                                                          -----------    -----------

NET (DECREASE) INCREASE IN NET ASSETS
   RESULTING FROM OPERATIONS                              $  (771,815)   $   442,602
                                                          ===========    ===========
</TABLE>






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

                                       6


<PAGE>   7

                        FIDUCIARY CAPITAL PARTNERS, L.P.

                            STATEMENTS OF CASH FLOWS

               FOR THE THREE MONTHS ENDED MARCH 31, 1997 AND 1996
                                  (unaudited)


<TABLE>
<CAPTION>
                                                                            1997            1996
                                                                         -----------    -----------
<S>                                                                      <C>            <C>        
CASH FLOWS FROM OPERATING ACTIVITIES:

   Net (decrease) increase in net assets resulting from operations       $  (771,815)   $   442,602
   Adjustments to reconcile net (decrease) increase in net
     assets resulting from operations to net cash
     provided by operating activities:
       Accreted discount on portfolio investments                            (10,250)       (12,857)
       Change in assets and liabilities:
         Accrued interest receivable                                          (5,839)       (60,219)
         Other assets                                                          5,011         (4,131)
         Payable to affiliates                                                   757         13,322
         Accounts payable and accrued liabilities                            (18,181)        13,998
       Net realized loss on investments                                           --      3,539,416
       Net change in unrealized loss (gain)
          on investments                                                     954,850     (3,682,821)
                                                                         -----------    -----------
           Net cash provided by operating activities                         154,533        249,310
                                                                         -----------    -----------

CASH FLOWS FROM INVESTING ACTIVITIES:

   Purchase of portfolio investments                                              --     (3,855,398)
   Proceeds from dispositions of portfolio investments                            --      1,320,711
   Sale of temporary investments, net                                        297,256      3,405,717
                                                                         -----------    -----------
     Net cash provided by investing activities                               297,256        871,030
                                                                         -----------    -----------

CASH FLOWS FROM FINANCING ACTIVITIES:

   Cash distributions paid to partners                                      (393,690)      (426,438)
                                                                         -----------    -----------
     Net cash used in financing activities                                  (393,690)      (426,438)
                                                                         -----------    -----------

NET INCREASE IN CASH AND
   CASH EQUIVALENTS                                                           58,099        693,902

CASH AND CASH EQUIVALENTS AT
   BEGINNING OF PERIOD                                                       272,543        200,969
                                                                         -----------    -----------

CASH AND CASH EQUIVALENTS AT
   END OF PERIOD                                                         $   330,642    $   894,871
                                                                         ===========    ===========
</TABLE>




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

                                       7

<PAGE>   8


                        FIDUCIARY CAPITAL PARTNERS, L.P.

                      STATEMENTS OF CHANGES IN NET ASSETS

                   FOR THE THREE MONTHS ENDED MARCH 31, 1997

                    AND FOR THE YEAR ENDED DECEMBER 31, 1996
                                  (unaudited)


<TABLE>
<CAPTION>
                                                              1997            1996
                                                          ------------    ------------
<S>                                                       <C>             <C>         
Increase in net assets resulting from operations:
   Net investment income                                  $    183,035    $    951,907
   Net realized loss on investments                                 --      (3,948,869)
   Net change in unrealized (loss) gain
     on investments                                           (954,850)      2,591,211
                                                          ------------    ------------
       Net decrease in net assets
         resulting from operations                            (771,815)       (405,751)

Repurchase of limited partnership units                             --      (1,719,362)

Distributions to partners from -
   Net investment income                                      (183,035)     (1,174,520)
   Realized gain on investments                                     --        (498,482)
   Return of capital                                          (210,655)             --
                                                          ------------    ------------

     Total decrease in net assets                           (1,165,505)     (3,798,115)

Net assets:

   Beginning of period                                      19,825,171      23,623,286
                                                          ------------    ------------

   End of period (including no undistributed
     net investment income)                               $ 18,659,666    $ 19,825,171
                                                          ============    ============

</TABLE>



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

                                       8

<PAGE>   9


                        FIDUCIARY CAPITAL PARTNERS, L.P.

                       SELECTED PER UNIT DATA AND RATIOS

               FOR THE THREE MONTHS ENDED MARCH 31, 1997 AND 1996
                                  (unaudited)


<TABLE>
<CAPTION>
                                                                                   1997                    1996
                                                                                 ---------              ---------
<S>                                                                              <C>                    <C>      
Per Unit Data:

   Investment income                                                             $     .25              $     .34
   Expenses                                                                           (.11)                  (.13)
                                                                                 ---------              ---------
     Net investment income                                                             .14                    .21

   Net realized loss on investments                                                      -                  (2.49)

   Net change in unrealized (loss) gain
     on investments                                                                   (.73)                  2.59

   Distributions declared to partners                                                 (.30)                  (.30)
                                                                                 ---------              ---------

     Net (decrease) increase in net asset value                                       (.89)                   .01

       Net asset value:
         Beginning of period                                                         15.28                  16.79
                                                                                 ---------              ---------
         End of period                                                           $   14.39              $   16.80
                                                                                 =========              =========

Ratios (annualized):
   Ratio of expenses to average net assets                                            3.13%                  3.12%
   Ratio of net investment income to
     average net assets                                                               3.80%                  5.06%

Number of limited partnership units at end of period                             1,299,176              1,407,244

</TABLE>



             The accompanying notes to financial statements are an
           integral part of these selected per unit data and ratios.

                                       9




<PAGE>   10

                        FIDUCIARY CAPITAL PARTNERS, L.P.

                         NOTES TO FINANCIAL STATEMENTS

                                 MARCH 31, 1997
                                  (unaudited)

1.       GENERAL

         The accompanying unaudited interim financial statements include all
adjustments (consisting solely of normal recurring adjustments) which are, in
the opinion of FCM Fiduciary Capital Management Company ("FCM"), the Managing
General Partner of the Fund, necessary to fairly present the financial position
of the Fund as of March 31, 1997 and the results of its operations, changes in
net assets and its cash flows for the period then ended.

         These financial statements should be read in conjunction with the
Significant Accounting Policies and other Notes to Financial Statements
included in the Fund's annual audited financial statements for the year ended
December 31, 1996.


2.       INVESTMENT ADVISORY FEES

         As compensation for its services as investment adviser, FCM receives a
subordinated monthly fee at the annual rate of 1% of the Fund's available
capital, as defined in the Partnership Agreement. Investment advisory fees of
$22,279 were paid by the Fund for the three months ended March 31, 1997.


3.       FUND ADMINISTRATION FEES

         As compensation for its services as fund administrator, FCM receives a
monthly fee at the annual rate of .45% of net proceeds available for
investment, as defined in the Partnership Agreement. Fund administration fees
of $35,843 were paid by the Fund for the three months ended March 31, 1997. FCM
is also reimbursed, subject to various limitations, for administrative expenses
incurred in providing accounting and investor services to the Fund. The Fund
reimbursed FCM for administrative expenses of $20,276 for the three months
ended March 31, 1997.


4.       INDEPENDENT GENERAL PARTNER FEES AND EXPENSES

         As compensation for services rendered to the Fund, each of the
Independent General Partners receives from the Fund and Fiduciary Capital
Pension Partners, L.P., an affiliated fund, (collectively, the "Funds") an
annual fee of $30,000, payable monthly in arrears, together with all
out-of-pocket expenses. Each Fund's allocation of these fees and expenses is
based on the relative number of outstanding Units. Fees and expenses paid by
the Fund for the three months ended March 31, 1997 totaled $13,673.


5.       CONTINGENCIES

         On October 3, 1996, the Fund commenced an adversary proceeding in the
Canadian's Holdings, Inc. ("Canadian's) Chapter 11 bankruptcy case against
Finova Capital Corporation ("Finova"), Benson Selzer and Joseph Eiger. The
complaint sought a declaratory judgment that sales taxes collected by
Canadian's and turned over to Finova were "trust funds" collected by Canadian's
on behalf of various state tax authorities. Through the complaint, the






                                       10
<PAGE>   11



                        FIDUCIARY CAPITAL PARTNERS, L.P.

                   NOTES TO FINANCIAL STATEMENTS (CONTINUED)

                                 MARCH 31, 1997
                                  (unaudited)

Fund objected to Finova's secured claim against Canadian's, which was
guaranteed by Benson Selzer and Joseph Eiger, and sought to recover the sales
tax and certain other amounts for the benefit of Canadian's bankruptcy estate.
As a result of this litigation and the issues involved, the Fund accrued
$429,373 during 1996 for legal costs and possible payments that may be required
to settle the litigation or to fund the payment of Canadian's outstanding sales
tax liabilities. On March 19, 1997, the Bankruptcy Court denied the Fund's
claim.

         FCM believes that any potential liability to the Fund resulting from
 Canadian's outstanding sales tax liabilities will not have any material
 adverse effect on the Fund's financial condition, beyond the reserve that has
 been established.








                                       11

<PAGE>   12


Item 2.    Management's Discussion and Analysis of Financial Condition and 
           Results of Operations

LIQUIDITY AND CAPITAL RESOURCES

         As of March 31, 1997 the Fund held portfolio investments in eight
Managed Companies, with an aggregate cost of approximately $17.3 million. The
value of these portfolio investments, which were made from net offering
proceeds and the reinvestment of proceeds from the sale of other portfolio
investments, represents approximately 83.7% of the Fund's net assets. When
acquired, these portfolio investments generally consisted of high-yield
subordinated debt, linked with an equity participation or a comparable
participation feature in middle market companies. These securities were
typically issued in private placement transactions and were subject to certain
restrictions on transfer or sale, thereby limiting their liquidity. A number of
the portfolio companies have prepaid their subordinated debt that the Fund
held. In addition, three of the portfolio companies have successfully completed
initial public offerings of their stock. The Fund has sold the stock it held in
these three companies, except for a portion of its KEMET Corporation ("KEMET")
stock.

         As of March 31, 1997, the Fund's remaining assets were invested in
short-term commercial paper. These funds are available to fund follow-on
investments, for distribution to the partners or to fund the annual repurchase
offer.

         Pursuant to the terms of the Fund's periodic unit repurchase policy
that was adopted by the Fund's Limited Partners during 1993, the Fund will
annually offer to purchase from its Limited Partners up to 7.5% of its
outstanding Units for an amount equal to the current net asset value per Unit,
net of a fee (not to exceed 2%) to be retained by the Fund to offset expenses
incurred in connection with the repurchase offer. If the number of tendered
Units in any year exceeds 7.5% of the outstanding Units, the Fund's General
Partners may vote to repurchase up to an additional 2% of the outstanding
Units. The 1997 repurchase offer will be mailed to the Limited Partners during
October 1997. The actual redemption of tendered Units will occur on November
20, 1997.

         During the three months ended March 31, 1997, the Fund paid a cash
distribution pertaining to the fourth quarter of 1996, in the amount of
$393,690. The distribution for the first quarter of 1997 will be paid on May
15, 1997. Both of these quarterly distributions are equal to $.30 per Unit and
represent an annualized rate equal to 6.0% of contributed capital.

         The Fund's investment period ended on December 31, 1995. Although the
Fund is permitted to make additional investments in existing portfolio
companies after 1995, the Fund is no longer permitted to acquire investments in
new portfolio companies. This will impact the amount of the Fund's quarterly
distributions for 1997 and subsequent years because all proceeds from
dispositions or maturities of investments will be distributed to investors,
except to the extent the cash is needed to fund the annual repurchase offer or
to fund any follow-on investments that the Fund may make in existing portfolio
companies.

         See Note 5 to the financial statements for a discussion of litigation
 associated with the Canadian's Chapter 11 bankruptcy case. FCM believes that
 any potential liability to the Fund resulting from Canadian's outstanding
 sales tax liabilities will not have any material adverse effect on the Fund's
 financial condition, beyond the reserve that has been established.








                                       12


<PAGE>   13

RESULTS OF OPERATIONS


Investment Income and Expenses

         The Fund's net investment income was $183,035 for the three months
ended March 31, 1997 as compared to net investment income of $299,197 for the
corresponding period of the prior year. Net investment income per limited
partnership unit decreased from $.21 to $.14 and the ratio of net investment
income to average net assets decreased from 5.06% to 3.80% for the three months
ended March 31, 1997 as compared to the corresponding period of the prior year.

         Net investment income for the three months ended March 31, 1997
decreased primarily as a result of a decrease in investment income. The
decrease in net investment income was partially offset by a decrease in total
expenses.

         Investment income decreased $149,799, or 31.0%, for the three months
ended March 31, 1997, as compared to the corresponding period of the prior
year. This decrease resulted primarily from the Atlas Environmental, Inc.
("Atlas") Chapter 11 bankruptcy filing and the related decision to discontinue
accruing the interest due on the Atlas notes held by the Fund. The Fund's total
investments also decreased as a result of the Fund's repurchase of 7.68% of its
Units during the fourth quarter of 1996.

         Total expenses decreased $33,637, or 18.2%, for the three months ended
March 31, 1997 as compared to the corresponding period of the prior year. This
decrease resulted primarily from decreases in investment advisory fees,
Independent General Partner fees and expenses and other expenses. These
decreases were partially offset by an increase in professional fees.

         The investment advisory fees paid to FCM decreased as a result of (i)
the direct receipt by FCM of consulting fees from LMC Operating Corp. ("LMC"),
one of the Fund's portfolio companies, (ii) the repurchase of Units by the Fund
during the fourth quarter of 1996 and (iii) the realization during February
1996 of the loss on the Fund's Canadian's investment. Pursuant to the terms of
the Fund's investment advisory agreement with FCM, the investment advisory fees
payable to FCM by the Fund are reduced by the amount of any fees that FCM
receives directly from any of the Fund's portfolio companies. Both the
repurchase of Units and the realization of the Canadian's loss decreased the
amount of the Fund's available capital (as defined in the Partnership
Agreement), which is the base with respect to which the investment advisory are
calculated.

         Independent General Partner fees and expenses declined because one of
the Fund's three Independent General Partners resigned during the fourth
quarter of 1996 and has not been replaced. Other expenses decreased primarily
because of expenses incurred during the prior year in connection with the
Canadian's bankruptcy proceedings. The increase in professional fees was
primarily the result of legal and consulting fees incurred during the three
months ended March 31, 1997 in connection with the Atlas bankruptcy
proceedings.

Net Unrealized Gain (Loss) on Investments

         FCM values the Fund's portfolio investments on a weekly basis
utilizing a variety of methods. For securities that are publicly traded and for
which market quotations are available, valuations are set by the closing sales,
or an average of the closing bid and ask prices, as of the valuation date.

         Fair value for securities that are not traded in any liquid public
markets or that are privately held are determined pursuant to valuation
policies and procedures that have been approved by the Independent General
Partners and subject to their supervision. There is a

                                       13


<PAGE>   14

range of values that are reasonable for such investments at any particular
time. Each such investment is valued initially based upon its original cost to
the Fund ("cost method"). The cost method is used until significant
developments affecting the portfolio company provide a basis for use of an
appraisal valuation. Appraisal valuations are based upon such factors as the
portfolio company's earnings, cash flow and net worth, the market prices for
similar securities of comparable companies and an assessment of the portfolio
company's future financial prospects. In a case of unsuccessful operations, the
appraisal may be based upon liquidation value. Appraisal valuations are
necessarily subjective. The Fund also may use, when available, third-party
transactions in a portfolio company's securities as the basis of valuation
("private market method"). The private market method is used only with respect
to completed transactions or firm offers made by sophisticated, independent
investors.

         As of December 31, 1996, the Fund had recorded $1,601,626 of
unrealized gain and $2,285,744 of unrealized loss on investments. Therefore, as
of December 31, 1996, the Fund had recorded a total net unrealized loss on
investments of $684,118.

         The net increase in unrealized gain (loss) of investments during the
three months ended March 31, 1997 and the cumulative net unrealized gain on
investments as of March 31, 1997, consisted of the following components:

<TABLE>
<CAPTION>
                                                                 Unrealized Gain (Loss) Recorded
                                                                 -------------------------------
                                                             During the Three
                                                               Months Ended                  As of
          Portfolio Company                                   March 31, 1997            March 31, 1997
------------------------------------                         ---------------            --------------
<S>                                                           <C>                      <C>          
Neodata                                                       $           -            $   (337,944)
KEMET                                                             (115,269)                 519,285
ar accessories                                                    (852,283)                (117,787)
Elgin / ENI                                                         17,800                  250,376
LMC                                                                      -                 (540,800)
MTI                                                                 (5,098)                (231,874)
Atlas                                                                    -               (1,180,224)
                                                                 ---------              ----------- 
                                                                 $(954,850)             $(1,638,968)
                                                                 =========              =========== 
</TABLE>

         The Neodata Corporation ("Neodata") stock was written down to a
negligible amount during 1995. The Partnership has consistently valued this
investment based upon a multiple of Neodata's cash flow. Because Neodata's
long-term debt previously provided for the accrual, rather than current
payment, of interest, the company's debt has grown to a level which exceeds the
Fund's valuation.

         KEMET completed an IPO of its common stock during 1992. The stock,
which trades on the NASDAQ National Market System, closed at $18.9375 (an
average of the closing bid and ask prices) on March 31, 1997. This price is
down from the closing price of $23.0625 on December 31, 1996. Based on the
$18.9375 closing trading price of the common stock, the 27,944 shares of common
stock that the Fund held at March 31, 1997 had a market value of $529,190.

         ar accessories group, incorporated ("AAG") reported significantly
reduced earnings and cash flow from operations for its most recent fiscal year.
In addition, the price earnings ratios of comparable companies in its industry
have declined recently. As a result of these factors, the AAG warrants and
common stock were written down in value by $852,283 at March 31, 1997.

         The ENI Holding Corp. preferred stock is being written up in value
quarterly to reflect the amount of the cumulative 10% preferential dividend
that has accrued with respect to the preferred stock.



                                       14

<PAGE>   15


         LMC experienced significant operating problems after the Fund acquired
its LMC investment during 1994 and the Fund was involved in a restructuring of
its LMC investment during 1995. In the restructuring, the Fund's existing LMC
subordinated debt and warrants were converted into preferred stock and the Fund
purchased $545,600 of new common stock. As a result of LMC's operational
difficulties and the fact that the Fund's investment was converted from debt
securities to equity securities, the Fund wrote its LMC investment down by
$540,800 during 1995.

         The MTI common stock was written down in value during 1994 based upon
an independent third party valuation of the company that was obtained by MTI's
management. During August 1996, MTI consummated a financial restructuring
pursuant to which a substantial amount of its corporate debt was converted to
equity. In the restructuring, the existing shareholders, including the Fund,
received a reduced number of shares of common stock, along with warrants to
purchase additional common stock. The Fund's valuation of its MTI investment
was increased by $22,990 following the restructuring based upon an analysis of
MTI's earnings and cash flows. The Fund's valuation was reduced by $5,098 at
March 31, 1997 based upon MTI's reported results for 1996.

         The companies that Atlas acquired during 1996 with the proceeds of the
Fund's subordinated debt investment have not performed as well as expected. As
a result, Atlas defaulted on certain financial covenants in its agreements with
its senior lender and with the Fund. The senior lender, the Bank of New York,
reacted to the covenant defaults by limiting Atlas' availability under its
revolving credit facility and by instructing Atlas not to pay the quarterly
interest payments that were due on the Fund's subordinated debt, beginning in
July 1996. In accordance with the intercreditor agreement between the Fund and
the Bank of New York, the bank could block payments on the Fund for up to 180
days.

         During August 1996, Atlas entered into a letter of intent, under the
terms of which some of the company's businesses would be sold for cash. On
November 5, 1996, the purchaser notified Atlas that it wanted to renegotiate
the terms of the transaction, including a reduction in the purchase price.
Atlas management was unable to reach a revised agreement with the purchaser and
Atlas remained in default on its debt. On January 17, 1997, Atlas filed for
Chapter 11 bankruptcy protection. Atlas is currently developing a plan of
reorganization for submission to the bankruptcy court that provides for the
continued operation of its businesses, following a series of strategic asset
acquisitions and dispositions.

         As a result of these developments, the Fund stopped accruing interest
on its Atlas investment affective April 20, 1996 and recorded a $1,180,224
writedown in the carrying value of the investment during the fourth quarter of
1996.

         FCM continually monitors both the Fund's portfolio companies and the
markets, and continually evaluates the decision to hold or sell its traded
securities.





                                       15

<PAGE>   16


                           Part II. OTHER INFORMATION


Item 1.  Legal Proceedings

         There are no material legal proceedings pending directly against the
Fund.

         As discussed in prior filings, a class action lawsuit was filed during
1994 against PaineWebber and a number of its affiliates concerning the sale of
various limited partnership and other direct investment programs, including the
offering of the Units.

         In January 1996, PaineWebber signed a memorandum of understanding
with the plaintiffs in the class action outlining the terms under which the
parties agreed to settle the case.  A definitive settlement was agreed to in
July 1996 and in March 1997, the District Court approved the settlement as fair
and reasonable.  Under the terms of the settlement, PaineWebber agreed to pay
$125 million and additional consideration to class members.  The investors who
had objected to the settlement have recently appealed the District Court's
approval to the United States Court of Appeals for the Second Circuit.

Item 6.  Exhibits and Reports on Form 8-K

         (a)      Exhibits and Reports to be filed:

                  Exhibit No.           Description

                      11.1              Statement of Computation of Net 
                                        Investment Income Per Limited 
                                        Partnership Unit.

                      27.1              Financial Data Schedule.


         (b)      The Registrant did not file any reports on Form 8-K during
                  the first quarter of the fiscal year ending December 31,
                  1997.






                                       16

<PAGE>   17


                                   SIGNATURE

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


                                 Fiduciary Capital Partners, L.P.
                                 (Registrant)


                                 By: FCM Fiduciary Capital Management Company
                                     Managing General Partner


Date: May 12, 1997                   By:  /s/ Donald R. Jackson
                                          ---------------------
                                          Donald R. Jackson
                                          Chief Financial Officer








                                       17



<PAGE>   18





                                 EXHIBIT INDEX


<TABLE>
<CAPTION>
Exhibit No.                Description                                                             Page
  
         <S>               <C>                                                                     <C>         
         11.1              Statement  of  Computation  of Net  Investment  Income  Per  Limited
                           Partnership Unit.

         27.1              Financial Data Schedule.



</TABLE>






                                      E-1