<PAGE> 1

             UNITED STATES SECURITIES AND EXCHANGE COMMISSION
                          Washington, D.C. 20549


                                 FORM 10-Q
(Mark One)

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

         For the quarterly period ended September 30, 1995

                                    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 2-67676


                                C.M. CORP.
          (Exact name of registrant as specified in its charter)

            Delaware                                      59-1995931
(State or other jurisdiction of                       (I.R.S. Employer
incorporation or organization)                       Identification Number)


      311 Park Place Boulevard, Suite 500, Clearwater, Florida 34619
                 (Address of principal executive offices)

                              (813) 791-2111
                            (Telephone Number)

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

Number of shares outstanding of the registrant's common stock as of October
31, 1995:

                   Class                    Outstanding as of October 31, 1995
-----------------------------------       ------------------------------------
     Common Stock, $1 par value                        1,000 shares




<PAGE> 2



                                C.M. CORP.


                                   INDEX




                                                                  Page Number
Part I -    Financial Information
            Item 1.  Financial Statements

                Condensed Balance Sheets -
                  September 30, 1995 and December 31, 1994               3

                Condensed Statements of Operations - Three
                  and Nine Months Ended September 30, 1995
                  and 1994                                               4

                Condensed Statements of Cash Flows - Nine
                  Months Ended September 30, 1995 and 1994               5

                Notes to Condensed Financial Statements                  6

            Item 2.  Management's Discussion and Analysis of
               the of the Results of Operations and Financial
               Condition                                                10

            Item 3.  Defaults Upon Senior Securities                    11


Part II -   Other Information

            Item 6.  Exhibits and Reports on Form 8-K                   12



<PAGE> 3


                                C.M. CORP.
                         CONDENSED BALANCE SHEETS
                                (Unaudited)


                                                    (Dollars in Thousands)
                                               September 30,      December 31,
                                                    1995              1994
                                                 ----------         --------

                                  ASSETS
                                  ------
RESTRICTED CASH ................................    $   616          $   543

ACCRUED INTEREST ...............................         27               36

INVESTMENT IN RESIDENTIAL MORTGAGE LOANS, net ..      1,339            1,883

REAL ESTATE OWNED ..............................         51              263
                                                    -------          -------

                                                    $ 2,033          $ 2,725
                                                    =======          =======

           LIABILITIES AND STOCKHOLDER'S EQUITY
           ------------------------------------
LIABILITIES:
Payable to U.S. Home Mortgage Corporation ......    $ 1,364          $ 1,364
Accrued interest and other liabilities ........         272              278
Long-term debt, in default ....................       3,795            4,228
                                                    -------          -------

        Total liabilities ............... ....        5,431            5,870
                                                    -------          -------


STOCKHOLDER'S EQUITY:


Common stock, $1 par value ...................            1                1
Capital in excess of par value ...............        1,718            1,718
Retained deficit .............................       (5,117)          (4,864)
                                                    -------          -------
         Total stockholder's equity ..........       (3,398)          (3,145)
                                                    -------          -------

                                                    $ 2,033          $ 2,725
                                                    =======          =======


      The accompanying notes are an integral part of these balance sheets.


<PAGE> 4


                                C.M. CORP.
                    CONDENSED STATEMENTS OF OPERATIONS
                          (Dollars in Thousands)
                                (Unaudited)



                                          Three Months Ended  Nine Months Ended
                                             September 30,      September 30,
                                          -----------------   -----------------
                                             1995     1994      1995     1994
                                          -------   -------   -------   ------
REVENUES:

   Interest .............................  $  89    $ 116       $ 288    $ 360
                                           -----    -----       -----    -----


EXPENSES:
   Interest .............................    118      132         368      408
   Other ................................     20       32          25       80
   Provision of losses on loans and
        real estate owned ...............     10       27         148      106
                                           -----    -----       -----    -----
                                             148      191         541      594
                                           -----    -----       -----    -----


NET LOSS ................................  $ (59)   $ (75)      $(253)   $(234)
                                           =====    =====       =====    =====




   The accompanying notes are an integral part of these statements.


<PAGE> 5


                                C.M. CORP.
                    CONDENSED STATEMENTS OF CASH FLOWS
                          (Dollars in Thousands)
                                (Unaudited)



                                                             Nine Months Ended
                                                                September 30,
                                                             -----------------
                                                                1995      1994
                                                              -------  -------
Net Cash Used By Operating Activities ......................   $ (44)   $(167)
                                                               -----    -----

Cash Flows From Investing Activities:
   Proceeds from investments in residential mortgage loans .     550      394
                                                               -----    -----
   Net cash provided by investing activities ...............     550      394
                                                               -----    -----

Cash Flows From Financing Activities:
   Repayment of long-term debt .............................    (433)    (191)
                                                               -----    -----
   Net cash used by financing activities ...................    (433)    (191)
                                                               -----    -----

Net Increase In Cash .......................................      73       36

Cash At Beginning of Period ................................     543      644
                                                               -----    -----

Cash At End of Period ......................................   $ 616    $ 680
                                                               =====    =====

Supplemental Disclosure:
    Interest Paid ..........................................   $ 373    $ 411
                                                               =====    =====




       The accompanying notes are an integral part of these statements.


<PAGE> 6
                                C.M. CORP.
                  NOTES TO CONDENSED FINANCIAL STATEMENTS
                                (Unaudited)

Note 1  -      The accompanying  unaudited condensed financial  statements
               have been prepared pursuant to the rules and  regulations of
               the  Securities  and  Exchange   Commission.   Certain
               information  and  note disclosures  normally included in annual
               financial  statements prepared in accordance with generally
               accepted  accounting  principles  have  been  condensed  or
               omitted  pursuant  to those  rules  and regulations.  Although
               C.M. Corp.  ("Company")  believes that the  disclosures  made
               are adequate to make the information presented not misleading,
               it is suggested  that these  condensed  financial statements
               be read in  conjunction  with the  unaudited  financial
               statements  and  notes  thereto included  in the  Company's
               latest  annual  report on Form 10-K.  The Company did not have
               the cash funds to pay the costs and expenses of an audit by
               independent certified public accountants of its  financial
               statements included in such annual report and, accordingly,
               those  statements  are unaudited.

               In the opinion of the Company,  the  accompanying  condensed
               financial  statements  contain all adjustments (all of which
               were normal and  recurring)  necessary to present fairly the
               financial position as of September 30, 1995 and December 31,
               1994, and the results of operations for the  three-month and
               nine-month periods ended September 30, 1995 and 1994 and the
               statements  of cash flows for the  nine-month  periods ended
               September 30, 1995 and 1994.

Note 2  -      In  accordance  with  the  terms  of an indenture,  dated as of
               July 15, 1980,  between the Company and The First National Bank
               of Chicago, as  amended  and supplemented  ("Indenture"),  the
               Company issued, in 1980 and  1981, conventional mortgage-backed
               bonds  with  original   principal  balances  of    $100,000,000
               ("Bonds")  of  which   $3,795,000  in  principal  amount  is
               outstanding  at September 30, 1995.  The  Company  secured  the
               Bonds  pursuant  to an  investment  in a  significant  number
               of    conventional   residential    mortgage   loans  with high
               loan-to-value   ratios   that   are   located   primarily   in
               energy-related    areas which in the mid 1980's  experienced a
               sharp   decline   in  real estate values and high  foreclosure
               rates.  In 1987,  the  costs and  losses  associated  with the
               repossession, maintenance and resale of foreclosed  properties
               increased due to depressed  resale values in these areas which,
               in   turn,  accelerated  claims   against  available   blanket
               mortgage   insurance   coverage. During   1987,  the   Company
               projected that,  based on its  accelerated  claim  experience,
               it would exhaust the blanket mortgage  insurance  coverage for
               the  conventional   mortgage loan pools securing the Bonds and
               such  coverage  was  exhausted  during  1988.  As a result  of
               the exhaustion of the blanket mortgage insurance  coverage for
               the mortgage pools,  losses have been  and  will  be  incurred
               by the Company that previously were reimbursed by the mortgage
               insurer.


<PAGE> 7
Note 2  -      The  Company  establishes  reserves  for losses on loans and
(cont'd.)      real estate  owned  which  reflect an estimate of the losses
               that will be incurred in connection with its investment loans
               and foreclosed properties.   These  reserves are   based   on
               management's   best  estimate of amounts that   will   not
               be reimbursed  under  insurance  policies  using current and
               historical  information.  These  estimates may change due to
               economic and other conditions, the resulting effect of which
               will be recognized in the period of change.

               The following  summarizes  valuation reserves for the nine
               months ended September 30, 1995 and 1994(dollars in thousands).

                                                                 Real Estate
                                                Investments         Owned
                                               ------------      -----------
                Balance at December 31, 1993      $  1,588        $    226
                Provision of losses .....               88              18
                Write-offs ..............             --              (102)
                Reclassification ........              (44)             44
                                                  --------        --------
                Balance at September 30, 1994     $  1,632        $    186
                                                  ========        ========

                Balance at December 31, 1994      $  1,544        $    165
                Provision for losses ....               53              95
                Write-offs ..............              (31)           (141)
                Reclassification ........              (22)             22
                                                  --------        --------
                Balance at September 30, 1995     $  1,544        $    141
                                                  ========        ========

               The  Company  does  not  have,   nor  expect  to  have,  any
               significant  assets other than the mortgage  loans,  reserve
               funds and primary  mortgage  insurance  policies  pledged as
               collateral  for  each  series  of  Bonds.  Accordingly,  its
               ability to pay the  principal and interest on the Bonds when
               due is  substantially  dependent  on  the  cash  flow  to be
               generated by the pledged  loans and the adequacy of both the
               reserve  funds  and  coverage  under  the  primary  mortgage
               insurance   policies.   Substantially  all  of  the  pledged
               mortgage  loans are  insured by private  mortgage  insurance
               coverage   for   mortgagor    payment   defaults   down   to
               approximately  72% of the original  value of the  underlying
               properties on the date of origination of the loans.

               Under  the terms of the  Indenture,  the  Company  agreed to
               provide the Trustee with the periodic reports filed with the
               Securities and Exchange Commission ("SEC") and to provide an
               annual  statement to the  bondholders.  The Company does not
               have,  nor does it expect to have, the cash funds to pay for
               the  costs  and  expenses  of (a) the  annual  audit  of its
               financial  statements  required to be included in the annual
               report filed with the SEC or (b) the annual  statement to be
               provided  to the  bondholders.  Accordingly,  the  financial
               statements  included in the  Company's  latest annual report

<PAGE> 8
Note 2  -      and those  included in the  Company's  annual  reports filed
(cont'd.)      with the SEC for 1993,  1992 and 1991 are  unaudited and the
               Company  did not and no longer  intends  to  provide  annual
               statements   to   the    bondholders    which   results   in
               non-compliance   with  a  covenant   under  the   Indenture,
               permitting  the  Trustee  or  holders of 25% of the Bonds to
               accelerate their maturity.

               The remaining Series A and Series B Bonds have maturities of
               July 31, and August 31, 2000, respectively.  On May 28, 1992,
               the Trustee notified the Company that an Event of Default
               (as defined in the  Indenture)  and a default have  occurred
               under Section 6.01(4) and Section 6.01(2),  respectively, of
               the  Indenture.   The  Trustee   declared  the   outstanding
               principal balance of all of the remaining Bonds issued under
               the   Indenture   to  be   immediately   due  and   payable.
               Accordingly,  pursuant to Section 12.02(a) of the Indenture,
               the Company will no longer redeem any of the Bonds.

               As part of the Trustee's annual report to bondholders, dated
               July 14, 1992, the Trustee  notified the  bondholders of the
               notices to the Company on May 28, 1992 relating to the Event
               of Default and default under the Indenture and  acceleration
               of all amounts due on the remaining Bonds. In addition,  the
               Trustee  enclosed  a special  report,  dated  July 2,  1993,
               ("July   Report")   with  its  1993  annual  report  to  the
               bondholders  summarizing,  among other things,  the remedies
               available  under the  Indenture  and the  actions  taken and
               proposed to be taken by the  Trustee  relating to the Events
               of Default. The Trustee informed the bondholders in the July
               Report that it had retained AM&G  Financial  Services,  Inc.
               (now known as First Security Capital Markets and hereinafter
               referred  to as  "FSCM")  in the last half of 1992 to review
               and  analyze the  collateral  securing  the Bonds.  The July
               Report  concludes that (a) the proceeds from the liquidation
               of the  collateral  would not be  sufficient  to pay  either
               series of Bonds in full and (b) the  projected  future  cash
               flows from the collateral will also result in a shortfall in
               repayment of principal for both series of Bonds.

               Subsequently,  the Trustee  mailed another  special  report,
               dated  December  3,  1993   ("December   Report"),   to  the
               bondholders  to  update  the  July  Report  and  advise  the
               bondholders of the course of action that has been elected by
               the Trustee.  As part of the December Report,  FSCM analyzed
               the  collateral,  including  the reserve  funds,  using more
               current  information  as of August 30, 1993 to determine the
               economic value to the bondholders of immediately liquidating
               the  collateral  and  distributing  the  proceeds  from  the
               liquidation  to the  bondholders,  compared  to the value of
               holding the collateral intact over the remaining life of the
               Bonds  and  using  the  income  stream  generated  from  the
               collateral to pay the Bonds.

<PAGE> 9
Note 2 -       Based on this analysis and after  considering the additional
(cont'd.)      costs and risks to maintain  the trust  estate  intact,  the
               Trustee also stated in the  December  Report that ". . . the
               Trustee has  determined  not to hold the Trust  Estate,  but
               rather to  liquidate  the Trust  Estate and  distribute  the
               proceeds  to the  Bondholders"  and  the  Indenture  will be
               terminated.

               The Trustee  informed the  bondholders in the Trustee's 1994
               annual  report to  bond-holders,  dated July 15, 1994,  that
               FSCM subsequently  obtained appraised values and/or brokers'
               estimated  values  for  all  the  properties   securing  the
               mortgage  loans.  Based on those  values,  the  Trustee  now
               states  that,  due to the  depreciation  in the value of the
               properties to a greater extent than was assumed  previously,
               such  depreciation  in value is likely to have a significant
               effect  on  the  bondholders'  ultimate  recovery  of  their
               investment in the Bonds.

               The Trustee issued a special report, dated October 7, 1994,
               of the final  findings of FSCM in which the Trustee stated 
               their intent to hold the collateral for the present and review
               periodically  this  decision  with  FSCM.  As  part  of  the
               Trustee's 1995 annual report to bondholders,  dated July 15,
               1995,  the Trustee  stated it was not aware of any  material
               change in the assumptions or market conditions used in their
               decision  in  October  1994 to hold the  collateral  for the
               present.

               The  Trustee  requested  reimbursement  from the Company for
               costs of legal  counsel  and  FSCM's  collateral  evaluation
               services  relating  to the Events of  Default  and for trust
               administration services of the Trustee. The Company does not
               have,  nor  does it  expect  to  have,  the  cash  funds  to
               reimburse  the Trustee for these costs.  The Trustee may, in
               certain  instances,  apply moneys from the reserve  funds or
               from the sale of the  pledged  collateral  to the payment of
               expenses  incurred and advances made by the Trustee pursuant
               to Section 7.07 of the Indenture.  As of September 30, 1995,
               the Trustee  withdrew on a cumulative basis $97,910 from the
               reserve  fund for the Series A Bonds and the same  amount of
               $97,910  from the  reserve  fund for the  Series B Bonds for
               these costs.

               Thus far,  the Company has made timely  payments  due to the
               bondholders under the terms of the Indenture.  However,  the
               Company believes that the exhaustion of the blanket mortgage
               insurance coverage for the Bonds issued by the Company,  the
               anticipated   withdrawal  by  the  Trustee  for   additional
               expenses and advances of the type described in the preceding
               paragraph,  a  continuation  of the high  costs  and  losses
               associated  with  foreclosures  on  pledged  loans  and  the
               application   by  the  Company  of  certain   proceeds  from

<PAGE> 10
Note 2 -       insurance claims,  principal prepayments and foreclosures to
(cont'd)       payment of interest on the Bonds rather than to  redemptions
               or  prepayments of principal on the Bonds will in the future
               cause a deficiency in cash flows  available for the payments
               due on the related  Bonds and the eventual  depletion of the
               cash reserve funds. Such an event would cause the Company to
               be unable to meet its normal debt service requirements under
               the Indenture.  The Company agrees with the Trustee that the
               proceeds  from any sale of the  remaining  collateral by the
               Trustee  will be  insufficient  to pay the  Bonds  in  full.
               Accordingly,  holders of Bonds would  receive  less than the
               principal amounts due on their Bonds.

               U.S. Home Mortgage Corporation ("Mortgage"), as servicer, is
               not  obligated  to advance  delinquent  payments  due on the
               pledged  mortgage  loans unless it reasonably  believes that
               such advances will  ultimately be recoverable  from mortgage
               insurance  proceeds.   On  March  27,  1991,  Mortgage,   as
               servicer,  advised  the  Company  that it will  not  advance
               delinquent  mortgage loan payments due to the uncertainty of
               the  recoverability  of  such  advances.  As a  result,  the
               Trustee withdrew a portion of the reserve funds on March 28,
               1991  and  March  30,  1992 to make  the  required  interest
               payments  on  the  Series  B  Bonds.   In  addition  to  the
               withdrawals  from the reserve  funds by the Trustee for bond
               administration costs and expenses, the anticipated cash flow
               deficiencies to meet future debt service  requirements  will
               also result in further  withdrawals from each of the reserve
               funds  for  both  series  of Bonds  until  these  funds  are
               eventually   exhausted.   As  of  September  30,  1995,  the
               remaining  balance  in each of the two  cash  reserve  funds
               separately securing  the Series A and B Bonds outstanding on
               that  date  was   approximately   $248,000   and   $204,000,
               respectively.


<PAGE> 11

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

            Results of Operations -

            Interest  revenues and expenses  decreased during the three and
            nine month  periods  ended  September  30, 1995 compared to the
            same  periods in 1994 due,  primarily,  to a  reduction  in the
            outstanding  principal  balances of the  mortgage  loans,  real
            estate  owned  and  long-term   debt.  The  reductions  in  the
            outstanding  principal  balances of the  mortgage  loans,  real
            estate owned and long-term debt are due to principal repayments
            of the mortgage  loans and  liquidation  of real estate  owned,
            resulting  in  a   corresponding   retirement  of  the  related
            long-term  debt.  Other expenses also decreased  during 1995 as
            compared  to  1994  due,  primarily,  to a  reduction  in  bond
            administration costs and expenses.  In addition,  provision for
            losses on loans and real estate owned increased during the nine
            months ended  September 30, 1995 as compared to the same period
            in 1994  due  primarily  to  additional  losses  on  foreclosed
            properties.

            The  Company's  profitability  will be  adversely  impacted  by
            future  foreclosures,  the  inadequacy  of  mortgage  insurance
            coverage  on loans which are not now  delinquent  and the costs
            and expenses relating to the Events of Default.

            Financial Condition and Liquidity -

            At   September   30,   1995,   the  Company   had   outstanding
            approximately $3.8 million of  mortgage-backed  bonds ("Bonds")
            issued under two series of publicly held debt. On May 28, 1992,
            the Trustee for the Bonds notified the Company that an Event of
            Default (as defined in the Indenture) had occurred and declared
            the outstanding principal balance of all of the remaining Bonds
            issued under the Indenture to be  immediately  due and payable.
            The Company does not have, nor expect to have, any  significant
            assets other than the mortgage loans, reserve funds and primary
            mortgage  insurance  policies  pledged as  collateral  for each
            remaining series of Bonds.  Accordingly,  the Company's ability
            to pay the  principal  and  interest  on the Bonds  when due is
            substantially  dependent  on the cash flows to be  generated by
            the pledged  loans and the  adequacy of both the reserve  funds
            and coverage under the primary mortgage insurance policies. For
            additional  information,  see  "Note 2 of  Notes  to  Condensed
            Financial Statements".

<PAGE> 12

Item 3.     Defaults Upon Senior Securities.

            The  remaining  Series  A and  Series  B  Bonds  ($3.8  million
            outstanding  at September  30, 1995) have stated  maturities of
            July 31, and August 31,  2000,  respectively.  On May 28, 1992,
            the Trustee  notified  the Company that an Event of Default (as
            defined  in  the  Indenture)  had  occurred  and  declared  the
            outstanding  principal  balance of all of the  remaining  Bonds
            issued under the Indenture to be  immediately  due and payable.
            For additional  information,  see "Note 2 of Notes to Condensed
            Financial Statements."



<PAGE> 13


PART II - OTHER INFORMATION

Item 6.     Exhibits and Reports on Form 8-K

            (a)  Exhibits

                 Exhibit 11 - Computation of Loss Per Common Share.
                 Exhibit 27 - Financial Data Schedule

            (b)  Reports on Form 8-K

                 No  Current  Report on Form 8-K was  filed by the  Company
                 during the three months ended September 30, 1995.



                                SIGNATURES


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.


                                         C.M. CORP.
                                         (Registrant)


Date:  November  9, 1995                 /s/ James R. Petty
                                         -------------------
                                         (James R. Petty)
                                         President and Chief Executive Officer
                                           (principal executive officer)


Date:  November  9, 1995                 /s/ Ronald C. McCabe
                                         ---------------------
                                         (Ronald C. McCabe)
                                         Senior Vice President and Chief
                                         Accounting Officer
                                           (principal accounting officer)


<PAGE> 14


                             INDEX OF EXHIBITS




 Exhibit                                                              Page
 Number                                                              Number
--------                                                             ------
     11          Computation of Loss Per Common Share                 15

     27          Financial Data Schedule                              16