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<SEC-DOCUMENT>0000791963-01-500014.txt : 20010801
<SEC-HEADER>0000791963-01-500014.hdr.sgml : 20010801
ACCESSION NUMBER:		0000791963-01-500014
CONFORMED SUBMISSION TYPE:	10-Q
PUBLIC DOCUMENT COUNT:		3
CONFORMED PERIOD OF REPORT:	20010630
FILED AS OF DATE:		20010731

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			FAHNESTOCK VINER HOLDINGS INC
		CENTRAL INDEX KEY:			0000791963
		STANDARD INDUSTRIAL CLASSIFICATION:	SECURITY BROKERS, DEALERS & FLOTATION COMPANIES [6211]
		IRS NUMBER:				980080034
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		10-Q
		SEC ACT:		
		SEC FILE NUMBER:	001-12043
		FILM NUMBER:		1693906

	BUSINESS ADDRESS:	
		STREET 1:		SUITE 1110, P.O. BOX 2015
		STREET 2:		20 EGLINTON AVE. WEST M4R 1K8
		CITY:			TORONTO
		STATE:			A0
		BUSINESS PHONE:		(416)322-1515

	MAIL ADDRESS:	
		STREET 1:		PO BOX 2015 SUITE 1110
		STREET 2:		20 EGLINTON AVENUE WEST
		CITY:			TORONTO M4R 1K8
		STATE:			A6

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	GOLDALE INVESTMENTS LTD
		DATE OF NAME CHANGE:	19861030

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	VINER E A HOLDINGS LTD
		DATE OF NAME CHANGE:	19880622
</SEC-HEADER>
<DOCUMENT>
<TYPE>10-Q
<SEQUENCE>1
<FILENAME>q601.htm
<TEXT>
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<p align="center"><font size="3"><b>UNITED STATES</b></font></p>

<p align="center"><font size="3"><b>SECURITIES AND EXCHANGE
COMMISSION</b></font></p>

<p align="center"><font size="3"><b>Washington, D. C. 20549</b></font></p>

<p align="center"><font size="3"><b>FORM 10-Q</b></font></p>

<p><font size="3">[ x ] QUARTERLY REPORT PURSUANT TO SECTION 13
OR 15(d) OF THE </font></p>

<p><font size="3">SECURITIES EXCHANGE ACT OF 1934 </font></p>

<p><font size="3">For the Quarterly Period ended <b>June 30, 2001</b></font></p>

<p><font size="3">or</font></p>

<p><font size="3">[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR
15(d) OF THE</font></p>

<p><font size="3">SECURITIES EXCHANGE ACT OF 1934 </font></p>

<p><font size="3">for the transition period from ___to___</font></p>

<p><font size="3">Commission File Number: 1-12043</font></p>

<p><font size="3"></font>&nbsp;</p>

<p align="center"><font size="3"><b>FAHNESTOCK VINER HOLDINGS
INC.</b></font></p>

<p align="center"><font size="3">(Exact name of registrant as
specified in its charter)</font></p>

<p><font size="3">Ontario, Canada 98-0080034</font></p>

<p><font size="3">State or jurisdiction of (I.R.S. Employer</font></p>

<p><font size="3">incorporation or organization Identification
No.)</font></p>

<p align="center"><font size="3">P.O. Box 2015, Suite 1110</font></p>

<p align="center"><font size="3">20 Eglinton Avenue West</font></p>

<p align="center"><font size="3">Toronto, Ontario, Canada M4R 1K8</font></p>

<p align="center"><font size="3">(Address of principal executive
offices)</font></p>

<p align="center"><font size="3">(Zip Code)</font></p>

<p align="center"><font size="3">416-322-1515</font></p>

<p align="center"><font size="3">(Registrant's telephone number,
including area code)</font></p>

<p align="center"><font size="3">Not applicable</font></p>

<p align="center"><font size="3">(Former name, address and former
fiscal year, if changed since last report)</font></p>

<p><font size="3">Indicate by check mark whether 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 [ ]</font></p>

<p><font size="3">The number of shares of the Company's Class A
non-voting shares and Class B voting shares (being the only
classes of common stock of the Company), outstanding on July 19,
2001 was 12,292,450 and 99,680 shares, respectively.</font></p>

<p align="center"><font size="3"></font>&nbsp;</p>

<p align="center"><font size="3"></font>&nbsp;</p>

<p align="center"><font size="4">FAHNESTOCK VINER HOLDINGS INC.</font></p>

<p align="center"><font size="4">INDEX</font></p>

<p align="center"><font size="3"></font>&nbsp;</p>

<p><font size="3">PART I FINANCIAL INFORMATION</font></p>

<p><font size="3">Item 1. Financial Statements (unaudited)</font></p>

<p><font size="3">Condensed Consolidated Balance Sheets as of
June 30, 2001and December 31, 2000</font></p>

<p><font size="3">Condensed Consolidated Statements of Operations
for the three and six months periods ended June 30, 2001 and 2000
</font></p>

<p><font size="3">Condensed Consolidated Statements of Cash Flows
for the six month period ended June 30, 2001 and 2000 </font></p>

<p><font size="3">Notes to Condensed Consolidated Financial
Statements </font></p>

<p><font size="3">Item 2. Management's Discussion and Analysis of
Financial Condition and Results of Operations </font></p>

<p><font size="3">Item 3. Quantitative and Qualitative
Disclosures About Market Risk</font></p>

<p><font size="3">PART II OTHER INFORMATION</font></p>

<p><font size="3">Item 1. Legal Proceedings </font></p>

<p><font size="3">Item 2. Changes in Securities and Use of
Proceeds </font></p>

<p><font size="3">Item 3. Defaults Upon Senior Securities </font></p>

<p><font size="3">Item 4. Submission of Matters to a Vote of
Security-Holders </font></p>

<p><font size="3">Item 5. Other Information </font></p>

<p><font size="3">Item 6. Exhibits and Reports on Form 8-K </font></p>

<p><font size="3">SIGNATURES </font></p>

<p><font size="3"></font>&nbsp;</p>

<table border="0" cellpadding="0" cellspacing="0" width="95%"
bordercolor="#000000">
    <tr>
        <td colspan="4" height="17"><p align="center">FAHNESTOCK
        VINER HOLDINGS INC.</p>
        </td>
    </tr>
    <tr>
        <td colspan="4" height="17"><p align="center">CONDENSED
        CONSOLIDATED BALANCE SHEETS (Unaudited)</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="18">&nbsp;</td>
        <td width="1%" height="18">&nbsp;</td>
        <td width="22%" height="18"><p align="right">JUNE 30, </p>
        <p align="right">2001</p>
        </td>
        <td width="19%" height="18"><p align="right">DECEMBER 31,
        2000 </p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="18"><i>Expressed in thousands of
        U.S. dollars</i></td>
        <td colspan="3" width="42%" height="18">&nbsp;</td>
    </tr>
    <tr>
        <td width="58%" height="18">&nbsp;</td>
        <td width="1%" height="18">&nbsp;</td>
        <td width="22%" height="18">&nbsp;</td>
        <td width="19%" height="18">&nbsp;</td>
    </tr>
    <tr>
        <td width="58%" height="18">ASSETS</td>
        <td width="1%" height="18">&nbsp;</td>
        <td width="22%" height="18">&nbsp;</td>
        <td width="19%" height="18">&nbsp;</td>
    </tr>
    <tr>
        <td width="58%" height="17">Current assets</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17">&nbsp;</td>
        <td width="19%" height="17">&nbsp;</td>
    </tr>
    <tr>
        <td width="58%" height="17">Cash and short-term deposits</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">$13,306</p>
        </td>
        <td width="19%" height="17"><p align="right">$14,669</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">Restricted deposits</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">2,365</p>
        </td>
        <td width="19%" height="17"><p align="right">2,712</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">Securities purchased under
        agreement to resell</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">2,000</p>
        </td>
        <td width="19%" height="17"><p align="right">23,500</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">Deposits with clearing
        organizations</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">16,124</p>
        </td>
        <td width="19%" height="17"><p align="right">5,917</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">Receivable from brokers and
        clearing organizations</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">106,641</p>
        </td>
        <td width="19%" height="17"><p align="right">130,657</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">Receivable from customers</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">339,261</p>
        </td>
        <td width="19%" height="17"><p align="right">428,582</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">Securities owned (including
        amounts pledged of</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17">&nbsp;</td>
        <td width="19%" height="17">&nbsp;</td>
    </tr>
    <tr>
        <td width="58%" height="17">$623; $532 in 2000), at
        market value</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">47,057</p>
        </td>
        <td width="19%" height="17"><p align="right">51,543</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">Other</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">24,687</p>
        </td>
        <td width="19%" height="17"><p align="right">23,050</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">&nbsp;</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">551,441</p>
        </td>
        <td width="19%" height="17"><p align="right">680,630</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">Other assets</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17">&nbsp;</td>
        <td width="19%" height="17">&nbsp;</td>
    </tr>
    <tr>
        <td width="58%" height="17">Stock exchange seats
        (approximate market value</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17">&nbsp;</td>
        <td width="19%" height="17">&nbsp;</td>
    </tr>
    <tr>
        <td width="58%" height="17">$8,706; $8,258 in 2000)</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">3,018</p>
        </td>
        <td width="19%" height="17"><p align="right">3,018</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">Fixed assets, net of
        accumulated depreciation of</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17">&nbsp;</td>
        <td width="19%" height="17">&nbsp;</td>
    </tr>
    <tr>
        <td width="58%" height="17">$16,338; $14,961 in 2000</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">8,710</p>
        </td>
        <td width="19%" height="17"><p align="right">9,687</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">Goodwill, at amortized cost</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">3,931</p>
        </td>
        <td width="19%" height="17"><p align="right">4,147</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">&nbsp;</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">15,659</p>
        </td>
        <td width="19%" height="17"><p align="right">16,852</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">&nbsp;</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17">&nbsp;</td>
        <td width="19%" height="17">&nbsp;</td>
    </tr>
    <tr>
        <td width="58%" height="18">&nbsp;</td>
        <td width="1%" height="18">&nbsp;</td>
        <td width="22%" height="18"><p align="right">$567,100</p>
        </td>
        <td width="19%" height="18"><p align="right">$697,482</p>
        </td>
    </tr>
</table>

<p>The accompanying notes are an integral part of these condensed
consolidated financial statements.</p>

<p>&nbsp;</p>

<p>&nbsp;</p>

<p>&nbsp;</p>

<table border="0" cellpadding="0" cellspacing="0" width="95%"
bordercolor="#000000">
    <tr>
        <td colspan="4" height="18"><p align="center">FAHNESTOCK
        VINER HOLDINGS INC.</p>
        </td>
    </tr>
    <tr>
        <td colspan="4" height="18"><p align="center">CONDENSED
        CONSOLIDATED BALANCE SHEETS (Unaudited)</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="18">&nbsp;</td>
        <td width="1%" height="18">&nbsp;</td>
        <td width="22%" height="18"><p align="right">JUNE 30,</p>
        <p align="right">2001</p>
        </td>
        <td width="19%" height="18"><p align="right">DECEMBER 31,
        2000 </p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="18"><i>Expressed in thousands of
        U.S. dollars</i></td>
        <td width="1%" height="18">&nbsp;</td>
        <td width="22%" height="18">&nbsp;</td>
        <td width="19%" height="18">&nbsp;</td>
    </tr>
    <tr>
        <td width="58%" height="18">&nbsp;</td>
        <td width="1%" height="18">&nbsp;</td>
        <td width="22%" height="18">&nbsp;</td>
        <td width="19%" height="18">&nbsp;</td>
    </tr>
    <tr>
        <td width="58%" height="18">LIABILITIES AND SHAREHOLDERS'
        EQUITY</td>
        <td width="1%" height="18">&nbsp;</td>
        <td width="22%" height="18">&nbsp;</td>
        <td width="19%" height="18">&nbsp;</td>
    </tr>
    <tr>
        <td width="58%" height="17">Current liabilities</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17">&nbsp;</td>
        <td width="19%" height="17">&nbsp;</td>
    </tr>
    <tr>
        <td width="58%" height="18">Drafts payable</td>
        <td width="1%" height="18">&nbsp;</td>
        <td width="22%" height="18"><p align="right">$15,192</p>
        </td>
        <td width="19%" height="18"><p align="right">$26,464</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="18">Bank call loans</td>
        <td width="1%" height="18">&nbsp;</td>
        <td width="22%" height="18"><p align="right">24,466</p>
        </td>
        <td width="19%" height="18"><p align="right">25,899</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">Securities sold under
        agreement to repurchase</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">2,000</p>
        </td>
        <td width="19%" height="17"><p align="right">23,500</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">Payable to brokers and
        clearing organizations</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">143,713</p>
        </td>
        <td width="19%" height="17"><p align="right">222,150</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">Payable to customers</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">97,047</p>
        </td>
        <td width="19%" height="17"><p align="right">124,534</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">Securities sold, but not yet
        purchased, at market value</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">12,737</p>
        </td>
        <td width="19%" height="17"><p align="right">8,153</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">Accounts payable and other
        liabilities</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">32,066</p>
        </td>
        <td width="19%" height="17"><p align="right">40,003</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">Income taxes payable</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">2,857</p>
        </td>
        <td width="19%" height="17"><p align="right">4,979</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">&nbsp;</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">330,078</p>
        </td>
        <td width="19%" height="17"><p align="right">475,682</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">&nbsp;</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17">&nbsp;</td>
        <td width="19%" height="17">&nbsp;</td>
    </tr>
    <tr>
        <td width="58%" height="17">Shareholders' equity</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17">&nbsp;</td>
        <td width="19%" height="17">&nbsp;</td>
    </tr>
    <tr>
        <td width="58%" height="17">Share capital</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17">&nbsp;</td>
        <td width="19%" height="17">&nbsp;</td>
    </tr>
    <tr>
        <td width="58%" height="17">12,290,250 Class A non-voting
        shares</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17">&nbsp;</td>
        <td width="19%" height="17">&nbsp;</td>
    </tr>
    <tr>
        <td width="58%" height="17">(2000 - 11,990,969 shares)</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">33,478</p>
        </td>
        <td width="19%" height="17"><p align="right">29,550</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">99,680 Class B voting shares</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">133</p>
        </td>
        <td width="19%" height="17"><p align="right">133</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">&nbsp;</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">33,611</p>
        </td>
        <td width="19%" height="17"><p align="right">29,683</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">Contributed capital</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">3,968</p>
        </td>
        <td width="19%" height="17"><p align="right">3,499</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">Retained earnings</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">199,443</p>
        </td>
        <td width="19%" height="17"><p align="right">188,618</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">&nbsp;</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17"><p align="right">237,022</p>
        </td>
        <td width="19%" height="17"><p align="right">221,800</p>
        </td>
    </tr>
    <tr>
        <td width="58%" height="17">&nbsp;</td>
        <td width="1%" height="17">&nbsp;</td>
        <td width="22%" height="17">&nbsp;</td>
        <td width="19%" height="17">&nbsp;</td>
    </tr>
    <tr>
        <td width="58%" height="18">&nbsp;</td>
        <td width="1%" height="18">&nbsp;</td>
        <td width="22%" height="18"><p align="right">$567,100</p>
        </td>
        <td width="19%" height="18"><p align="right">$697,482</p>
        </td>
    </tr>
</table>

<p>The accompanying notes are an integral part of these condensed
consolidated financial statements.</p>

<p>&nbsp;</p>

<p>&nbsp;</p>

<table border="0" cellpadding="0" cellspacing="0" width="95%"
bordercolor="#000000">
    <tr>
        <td colspan="5" height="20"><p align="center">FAHNESTOCK
        VINER HOLDINGS INC.</p>
        </td>
    </tr>
    <tr>
        <td colspan="5" height="20"><p align="center">CONDENSED
        CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)</p>
        </td>
    </tr>
    <tr>
        <td width="37%" height="21"><i>Expressed in thousands of
        U.S.</i><p><i>dollars, except per share amounts</i></p>
        </td>
        <td colspan="2" width="33%" height="21"><p align="center">THREE
        MONTHS ENDED</p>
        <p align="center">JUNE 30,</p>
        </td>
        <td colspan="2" width="30%" height="21"><p align="center">SIX
        MONTHS ENDED</p>
        <p align="center">JUNE 30,</p>
        </td>
    </tr>
    <tr>
        <td width="37%" height="21">&nbsp;</td>
        <td width="17%" height="21"><p align="center">2001</p>
        </td>
        <td width="17%" height="21"><p align="center">2000</p>
        </td>
        <td width="15%" height="21"><p align="center">2001</p>
        </td>
        <td width="15%" height="21"><p align="center">2000</p>
        </td>
    </tr>
    <tr>
        <td colspan="5" height="21">&nbsp;</td>
    </tr>
    <tr>
        <td width="37%" height="20">REVENUE:</td>
        <td width="17%" height="20">&nbsp;</td>
        <td width="17%" height="20">&nbsp;</td>
        <td width="15%" height="20">&nbsp;</td>
        <td width="15%" height="20">&nbsp;</td>
    </tr>
    <tr>
        <td width="37%" height="20">Commissions</td>
        <td width="17%" height="20"><p align="right">$26,614</p>
        </td>
        <td width="17%" height="20"><p align="right">$29,816</p>
        </td>
        <td width="15%" height="20"><p align="right">$56,809</p>
        </td>
        <td width="15%" height="20"><p align="right">$68,048</p>
        </td>
    </tr>
    <tr>
        <td width="37%" height="20">Principal transactions, net</td>
        <td width="17%" height="20"><p align="right">11,665</p>
        </td>
        <td width="17%" height="20"><p align="right">16,178</p>
        </td>
        <td width="15%" height="20"><p align="right">29,762</p>
        </td>
        <td width="15%" height="20"><p align="right">57,122</p>
        </td>
    </tr>
    <tr>
        <td width="37%" height="20">Interest</td>
        <td width="17%" height="20"><p align="right">8,466</p>
        </td>
        <td width="17%" height="20"><p align="right">13,708</p>
        </td>
        <td width="15%" height="20"><p align="right">21,954</p>
        </td>
        <td width="15%" height="20"><p align="right">27,382</p>
        </td>
    </tr>
    <tr>
        <td width="37%" height="20">Underwriting fees</td>
        <td width="17%" height="20"><p align="right">2,493</p>
        </td>
        <td width="17%" height="20"><p align="right">2,132</p>
        </td>
        <td width="15%" height="20"><p align="right">5,420</p>
        </td>
        <td width="15%" height="20"><p align="right">5,113</p>
        </td>
    </tr>
    <tr>
        <td width="37%" height="20">Advisory fees</td>
        <td width="17%" height="20"><p align="right">5,854</p>
        </td>
        <td width="17%" height="20"><p align="right">5,025</p>
        </td>
        <td width="15%" height="20"><p align="right">11,516</p>
        </td>
        <td width="15%" height="20"><p align="right">10,793</p>
        </td>
    </tr>
    <tr>
        <td width="37%" height="20">Other</td>
        <td width="17%" height="20"><p align="right">1,784</p>
        </td>
        <td width="17%" height="20"><p align="right">2,565</p>
        </td>
        <td width="15%" height="20"><p align="right">4,910</p>
        </td>
        <td width="15%" height="20"><p align="right">4,358</p>
        </td>
    </tr>
    <tr>
        <td width="37%" height="20">&nbsp;</td>
        <td width="17%" height="20"><p align="right">56,876</p>
        </td>
        <td width="17%" height="20"><p align="right">69,424</p>
        </td>
        <td width="15%" height="20"><p align="right">130,371</p>
        </td>
        <td width="15%" height="20"><p align="right">172,816</p>
        </td>
    </tr>
    <tr>
        <td width="37%" height="20">&nbsp;</td>
        <td width="17%" height="20">&nbsp;</td>
        <td width="17%" height="20">&nbsp;</td>
        <td width="15%" height="20">&nbsp;</td>
        <td width="15%" height="20">&nbsp;</td>
    </tr>
    <tr>
        <td width="37%" height="20">EXPENSES:</td>
        <td width="17%" height="20">&nbsp;</td>
        <td width="17%" height="20">&nbsp;</td>
        <td width="15%" height="20">&nbsp;</td>
        <td width="15%" height="20">&nbsp;</td>
    </tr>
    <tr>
        <td width="37%" height="20">Compensation and related
        expenses</td>
        <td width="17%" height="20"><p align="right">32,222</p>
        </td>
        <td width="17%" height="20"><p align="right">34,857</p>
        </td>
        <td width="15%" height="20"><p align="right">68,898</p>
        </td>
        <td width="15%" height="20"><p align="right">81,893</p>
        </td>
    </tr>
    <tr>
        <td width="37%" height="20">Clearing and exchange fees</td>
        <td width="17%" height="20"><p align="right">1,705</p>
        </td>
        <td width="17%" height="20"><p align="right">1,618</p>
        </td>
        <td width="15%" height="20"><p align="right">2,541</p>
        </td>
        <td width="15%" height="20"><p align="right">3,907</p>
        </td>
    </tr>
    <tr>
        <td width="37%" height="20">Communications</td>
        <td width="17%" height="20"><p align="right">5,688</p>
        </td>
        <td width="17%" height="20"><p align="right">5,893</p>
        </td>
        <td width="15%" height="20"><p align="right">11,511</p>
        </td>
        <td width="15%" height="20"><p align="right">11,913</p>
        </td>
    </tr>
    <tr>
        <td width="37%" height="20">Occupancy costs</td>
        <td width="17%" height="20"><p align="right">2,748</p>
        </td>
        <td width="17%" height="20"><p align="right">3,217</p>
        </td>
        <td width="15%" height="20"><p align="right">5,647</p>
        </td>
        <td width="15%" height="20"><p align="right">6,482</p>
        </td>
    </tr>
    <tr>
        <td width="37%" height="20">Interest</td>
        <td width="17%" height="20"><p align="right">3,548</p>
        </td>
        <td width="17%" height="20"><p align="right">5,905</p>
        </td>
        <td width="15%" height="20"><p align="right">10,379</p>
        </td>
        <td width="15%" height="20"><p align="right">12,555</p>
        </td>
    </tr>
    <tr>
        <td width="37%" height="20">Other</td>
        <td width="17%" height="20"><p align="right">4,114</p>
        </td>
        <td width="17%" height="20"><p align="right">3,529</p>
        </td>
        <td width="15%" height="20"><p align="right">8,924</p>
        </td>
        <td width="15%" height="20"><p align="right">7,336</p>
        </td>
    </tr>
    <tr>
        <td width="37%" height="20">&nbsp;</td>
        <td width="17%" height="20"><p align="right">50,025</p>
        </td>
        <td width="17%" height="20"><p align="right">55,019</p>
        </td>
        <td width="15%" height="20"><p align="right">107,900</p>
        </td>
        <td width="15%" height="20"><p align="right">124,086</p>
        </td>
    </tr>
    <tr>
        <td width="37%" height="20">&nbsp;</td>
        <td width="17%" height="20">&nbsp;</td>
        <td width="17%" height="20">&nbsp;</td>
        <td width="15%" height="20">&nbsp;</td>
        <td width="15%" height="20">&nbsp;</td>
    </tr>
    <tr>
        <td width="37%" height="21">Profit before income taxes</td>
        <td width="17%" height="21"><p align="right">6,851</p>
        </td>
        <td width="17%" height="21"><p align="right">14,405</p>
        </td>
        <td width="15%" height="21"><p align="right">22,471</p>
        </td>
        <td width="15%" height="21"><p align="right">48,730</p>
        </td>
    </tr>
    <tr>
        <td width="37%" height="21">Income tax provision</td>
        <td width="17%" height="21"><p align="right">2,932</p>
        </td>
        <td width="17%" height="21"><p align="right">6,113</p>
        </td>
        <td width="15%" height="21"><p align="right">9,435</p>
        </td>
        <td width="15%" height="21"><p align="right">21,858</p>
        </td>
    </tr>
    <tr>
        <td width="37%" height="21">NET PROFIT FOR PERIOD</td>
        <td width="17%" height="21"><p align="right">$3,919</p>
        </td>
        <td width="17%" height="21"><p align="right">$8,292</p>
        </td>
        <td width="15%" height="21"><p align="right">$13,036</p>
        </td>
        <td width="15%" height="21"><p align="right">$26,872</p>
        </td>
    </tr>
    <tr>
        <td width="37%" height="21">&nbsp;</td>
        <td width="17%" height="21">&nbsp;</td>
        <td width="17%" height="21">&nbsp;</td>
        <td width="15%" height="21">&nbsp;</td>
        <td width="15%" height="21">&nbsp;</td>
    </tr>
    <tr>
        <td width="37%" height="20">Profit per share</td>
        <td width="17%" height="20">&nbsp;</td>
        <td width="17%" height="20">&nbsp;</td>
        <td width="15%" height="20">&nbsp;</td>
        <td width="15%" height="20">&nbsp;</td>
    </tr>
    <tr>
        <td width="37%" height="20">- basic</td>
        <td width="17%" height="20"><p align="right">$0.32</p>
        </td>
        <td width="17%" height="20"><p align="right">$0.68</p>
        </td>
        <td width="15%" height="20"><p align="right">$1.06</p>
        </td>
        <td width="15%" height="20"><p align="right">$2.21</p>
        </td>
    </tr>
    <tr>
        <td width="37%" height="20">- diluted</td>
        <td width="17%" height="20"><p align="right">$0.30</p>
        </td>
        <td width="17%" height="20"><p align="right">$0.67</p>
        </td>
        <td width="15%" height="20"><p align="right">$1.02</p>
        </td>
        <td width="15%" height="20"><p align="right">$2.18</p>
        </td>
    </tr>
    <tr>
        <td width="37%" height="24">&nbsp;</td>
        <td width="17%" height="24">&nbsp;</td>
        <td width="17%" height="24">&nbsp;</td>
        <td width="15%" height="24">&nbsp;</td>
        <td width="15%" height="24">&nbsp;</td>
    </tr>
</table>

<p>&nbsp;</p>

<p>&nbsp;</p>

<p>The accompanying notes are an integral part of these condensed
consolidated financial statements.</p>

<p>&nbsp;</p>

<table border="0" cellpadding="0" cellspacing="1" width="95%"
bordercolor="#000000">
    <tr>
        <td colspan="3" height="16"><p align="center">FAHNESTOCK
        VINER HOLDINGS INC.</p>
        </td>
    </tr>
    <tr>
        <td colspan="3" height="16"><p align="center">CONDENSED
        CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)</p>
        </td>
    </tr>
    <tr>
        <td colspan="3" height="16"><p align="center">FOR THE SIX
        MONTHS ENDED JUNE 30, </p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16"><i>Expressed in thousands of
        U.S. dollars</i></td>
        <td width="15%" height="16"><p align="right">2001</p>
        </td>
        <td width="13%" height="16"><p align="right">2000</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Cash flows from operating
        activities:</td>
        <td width="15%" height="16">&nbsp;</td>
        <td width="13%" height="16">&nbsp;</td>
    </tr>
    <tr>
        <td width="72%" height="16">Net profit for the period</td>
        <td width="15%" height="16"><p align="right">$13,036</p>
        </td>
        <td width="13%" height="16"><p align="right">$26,872 </p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Adjustments to reconcile net
        profit to net cash provided</td>
        <td width="15%" height="16">&nbsp;</td>
        <td width="13%" height="16">&nbsp;</td>
    </tr>
    <tr>
        <td width="72%" height="16">by (used in) operating
        activities:</td>
        <td width="15%" height="16">&nbsp;</td>
        <td width="13%" height="16">&nbsp;</td>
    </tr>
    <tr>
        <td width="72%" height="16">Non-cash items included in
        net profit:</td>
        <td width="15%" height="16">&nbsp;</td>
        <td width="13%" height="16">&nbsp;</td>
    </tr>
    <tr>
        <td width="72%" height="16">Depreciation and amortization</td>
        <td width="15%" height="16"><p align="right">1,596</p>
        </td>
        <td width="13%" height="16"><p align="right">1,535 </p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Decrease (increase) in
        operating assets:</td>
        <td width="15%" height="16">&nbsp;</td>
        <td width="13%" height="16">&nbsp;</td>
    </tr>
    <tr>
        <td width="72%" height="16">Restricted deposits</td>
        <td width="15%" height="16"><p align="right">347</p>
        </td>
        <td width="13%" height="16"><p align="right">(238)</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Securities purchased under
        agreement to resell</td>
        <td width="15%" height="16"><p align="right">21,500</p>
        </td>
        <td width="13%" height="16"><p align="right">45,207</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Deposits with clearing
        organizations</td>
        <td width="15%" height="16"><p align="right">(10,207)</p>
        </td>
        <td width="13%" height="16"><p align="right">496 </p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Receivable from brokers and
        clearing organizations</td>
        <td width="15%" height="16"><p align="right">24,016</p>
        </td>
        <td width="13%" height="16"><p align="right">(13,163)</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Receivable from customers</td>
        <td width="15%" height="16"><p align="right">89,321</p>
        </td>
        <td width="13%" height="16"><p align="right">(65,380)</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Securities owned</td>
        <td width="15%" height="16"><p align="right">4,486</p>
        </td>
        <td width="13%" height="16"><p align="right">7,012</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Other assets</td>
        <td width="15%" height="16"><p align="right">(1,637)</p>
        </td>
        <td width="13%" height="16"><p align="right">4,382</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Increase (decrease) in
        operating liabilities:</td>
        <td width="15%" height="16">&nbsp;</td>
        <td width="13%" height="16">&nbsp;</td>
    </tr>
    <tr>
        <td width="72%" height="16">Drafts payable</td>
        <td width="15%" height="16"><p align="right">(11,272)</p>
        </td>
        <td width="13%" height="16"><p align="right">(3,439)</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Securities sold under
        agreement to repurchase</td>
        <td width="15%" height="16"><p align="right">(21,500)</p>
        </td>
        <td width="13%" height="16"><p align="right">(45,031) </p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Payable to brokers and
        clearing organizations</td>
        <td width="15%" height="16"><p align="right">(78,437)</p>
        </td>
        <td width="13%" height="16"><p align="right">23,022 </p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Payable to customers</td>
        <td width="15%" height="16"><p align="right">(27,487)</p>
        </td>
        <td width="13%" height="16"><p align="right">21,263</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Securities sold, but not yet
        purchased</td>
        <td width="15%" height="16"><p align="right">4,584</p>
        </td>
        <td width="13%" height="16"><p align="right">(4,893)</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Accounts payable and other
        liabilities</td>
        <td width="15%" height="16"><p align="right">(7,937)</p>
        </td>
        <td width="13%" height="16"><p align="right">(1,489)</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Tax benefit from employee
        stock options exercised</td>
        <td width="15%" height="16"><p align="right">469</p>
        </td>
        <td width="13%" height="16"><p align="right">-</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Income taxes payable</td>
        <td width="15%" height="16"><p align="right">(2,122)</p>
        </td>
        <td width="13%" height="16"><p align="right">(8,008) </p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Cash used in operating
        activities</td>
        <td width="15%" height="16"><p align="right">(1,244)</p>
        </td>
        <td width="13%" height="16"><p align="right">(11,852)</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Cash flows from investing
        activities:</td>
        <td width="15%" height="16">&nbsp;</td>
        <td width="13%" height="16">&nbsp;</td>
    </tr>
    <tr>
        <td width="72%" height="16">Purchase of Propp &amp;
        Company, Inc., net of cash acquired</td>
        <td width="15%" height="16"><p align="right">-</p>
        </td>
        <td width="13%" height="16"><p align="right">(740)</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Purchase of fixed assets</td>
        <td width="15%" height="16"><p align="right">(402)</p>
        </td>
        <td width="13%" height="16"><p align="right">(675)</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Cash used in investing
        activities</td>
        <td width="15%" height="16"><p align="right">(402)</p>
        </td>
        <td width="13%" height="16"><p align="right">(1,415)</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Cash flows from financing
        activities:</td>
        <td width="15%" height="16">&nbsp;</td>
        <td width="13%" height="16">&nbsp;</td>
    </tr>
    <tr>
        <td width="72%" height="16">Cash dividends paid on Class
        A non-voting and Class B shares</td>
        <td width="15%" height="16"><p align="right">(2,212)</p>
        </td>
        <td width="13%" height="16"><p align="right">(1,824)</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Issuance of Class A
        non-voting shares</td>
        <td width="15%" height="16"><p align="right">3,928</p>
        </td>
        <td width="13%" height="16"><p align="right">293</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Repurchase of Class A
        non-voting shares for cancellation</td>
        <td width="15%" height="16"><p align="right">-</p>
        </td>
        <td width="13%" height="16"><p align="right">(3,916)</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Decrease in bank call loans</td>
        <td width="15%" height="16"><p align="right">(1,433)</p>
        </td>
        <td width="13%" height="16"><p align="right">18,443</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Cash provided by financing
        activities</td>
        <td width="15%" height="16"><p align="right">283</p>
        </td>
        <td width="13%" height="16"><p align="right">12,996</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Net decrease in cash and
        short-term deposits</td>
        <td width="15%" height="16"><p align="right">(1,363)</p>
        </td>
        <td width="13%" height="16"><p align="right">(271)</p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Cash and short-term deposits,
        beginning of period</td>
        <td width="15%" height="16"><p align="right">14,669</p>
        </td>
        <td width="13%" height="16"><p align="right">10,838 </p>
        </td>
    </tr>
    <tr>
        <td width="72%" height="16">Cash and short-term deposits,
        end of period</td>
        <td width="15%" height="16"><p align="right">$13,306</p>
        </td>
        <td width="13%" height="16"><p align="right">$10,567 </p>
        </td>
    </tr>
</table>

<p>The accompanying notes are an integral part of these condensed
consolidated financial statements.</p>

<p align="center">FAHNESTOCK VINER HOLDINGS INC.</p>

<p align="center">Notes to Condensed Consolidated Financial
Statements (Unaudited)</p>

<p>1. Basis of Presentation</p>

<p>The condensed consolidated financial statements include the
accounts of Fahnestock Viner Holdings Inc. (&quot;FVH&quot;) and
its subsidiaries ( together, the &quot;Company&quot;). The
principal subsidiary of FVH is Fahnestock &amp; Co. Inc.
(&quot;Fahnestock&quot;), a registered broker-dealer in
securities. The Company engages in a broad range of activities in
the securities industry, including retail securities brokerage,
institutional sales and trading, investment banking (both
corporate and public finance), underwritings, research,
market-making, and investment advisory and asset management
services. The Company provides its services from 75 offices in 15
states located primarily in the Northeastern United States,
Michigan, the Midwest and Florida. Fahnestock also conducts
business in Toronto, Canada and in South America through local
broker-dealers. The Company employs approximately 1,260 people,
of whom 740 are financial consultants. </p>

<p>All material intercompany accounts have been eliminated in
consolidation. </p>

<p>The Company&#146;s condensed consolidated financial statements
have been prepared in accordance with the rules and regulations
of the Securities and Exchange Commission (&quot;SEC&quot;) with
respect to Form 10-Q and do not include all of the information
and footnotes required under accounting principles generally
accepted in the United States of America for complete financial
statements. These financial statements should be read in
conjunction with the Company&#146;s most recent annual report on
Form 10-K for the year ended December 31, 2000 including the
summary of significant accounting policies utilized by the
Company. </p>

<p>The financial statements include all adjustments which, in the
opinion of management, are normal and recurring and necessary for
a fair presentation of the results of operations, financial
position and cash flows for the interim periods presented. The
nature of the Company&#146;s business is such that the results of
operations for the interim periods are not necessarily indicative
of the results to be expected for a full year.</p>

<p>These condensed consolidated financial statements are
presented in U.S. dollars.</p>

<p>&nbsp;</p>

<p>2. Earnings per share</p>

<p>Basic earnings per share was computed by dividing net profit
by the weighted average number of Class A non-voting and Class B
shares outstanding. Diluted earnings per share includes the
weighted average Class A non-voting and Class B shares
outstanding and the effects of Class A non-voting share options
using the treasury stock method.</p>

<p>Earnings per share has been calculated as follows:</p>

<table border="0" cellpadding="0" cellspacing="0" width="95%"
bordercolor="#000000">
    <tr>
        <td width="34%" height="16">&nbsp;</td>
        <td colspan="2" width="33%" height="16"><p align="center">Three
        Months Ended June 30,</p>
        </td>
        <td colspan="2" width="34%" height="16"><p align="center">Six
        Months ended June 30,</p>
        </td>
    </tr>
    <tr>
        <td width="34%" height="16">&nbsp;</td>
        <td width="16%" height="16"><p align="right"><u>2001</u></p>
        </td>
        <td width="17%" height="16"><p align="right"><u>2000</u></p>
        </td>
        <td width="16%" height="16"><p align="right"><u>2001</u></p>
        </td>
        <td width="18%" height="16"><p align="right"><u>2000</u></p>
        </td>
    </tr>
    <tr>
        <td width="34%" height="16">Basic weighted average number
        of shares outstanding</td>
        <td width="16%" height="16"><p align="right">12,368,786</p>
        </td>
        <td width="17%" height="16"><p align="right">12,141,317</p>
        </td>
        <td width="16%" height="16"><p align="right">12,287,373</p>
        </td>
        <td width="18%" height="16"><p align="right">12,141,317</p>
        </td>
    </tr>
    <tr>
        <td width="34%" height="16">Net effect, treasury method</td>
        <td width="16%" height="16"><p align="right">491,303</p>
        </td>
        <td width="17%" height="16"><p align="right">150,703</p>
        </td>
        <td width="16%" height="16"><p align="right">446,392</p>
        </td>
        <td width="18%" height="16"><p align="right">183,173</p>
        </td>
    </tr>
    <tr>
        <td width="34%" height="17">Diluted common shares</td>
        <td width="16%" height="17"><p align="right">12,860,089</p>
        </td>
        <td width="17%" height="17"><p align="right">12,292,020</p>
        </td>
        <td width="16%" height="17"><p align="right">12,733,765</p>
        </td>
        <td width="18%" height="17"><p align="right">12,324,490</p>
        </td>
    </tr>
    <tr>
        <td width="34%" height="17">&nbsp;</td>
        <td width="16%" height="17">&nbsp;</td>
        <td width="17%" height="17">&nbsp;</td>
        <td width="16%" height="17">&nbsp;</td>
        <td width="18%" height="17">&nbsp;</td>
    </tr>
    <tr>
        <td width="34%" height="16">Net profit for the period</td>
        <td width="16%" height="16"><p align="right">$3,919,000</p>
        </td>
        <td width="17%" height="16"><p align="right">$8,292,000</p>
        </td>
        <td width="16%" height="16"><p align="right">$13,036,000</p>
        </td>
        <td width="18%" height="16"><p align="right">$26,872,000</p>
        </td>
    </tr>
    <tr>
        <td width="34%" height="16">&nbsp;</td>
        <td width="16%" height="16">&nbsp;</td>
        <td width="17%" height="16">&nbsp;</td>
        <td width="16%" height="16">&nbsp;</td>
        <td width="18%" height="16">&nbsp;</td>
    </tr>
    <tr>
        <td width="34%" height="16">Basic profit per share</td>
        <td width="16%" height="16"><p align="right">$0.32</p>
        </td>
        <td width="17%" height="16"><p align="right">$0.68</p>
        </td>
        <td width="16%" height="16"><p align="right">$1.06</p>
        </td>
        <td width="18%" height="16"><p align="right">$2.21</p>
        </td>
    </tr>
    <tr>
        <td width="34%" height="16">Diluted profit per share</td>
        <td width="16%" height="16"><p align="right">$0.30</p>
        </td>
        <td width="17%" height="16"><p align="right">$0.67</p>
        </td>
        <td width="16%" height="16"><p align="right">$1.02</p>
        </td>
        <td width="18%" height="16"><p align="right">$2.18</p>
        </td>
    </tr>
</table>

<p>&nbsp;</p>

<p>&nbsp;</p>

<p>3. Net Capital Requirements</p>

<p>The Company's principal broker-dealer subsidiary, Fahnestock,
is subject to the Uniform Net Capital Rule (the &quot;Rule&quot;)
of the SEC and the net capital rule of the New York Stock
Exchange (the &quot;NYSE&quot;). Fahnestock has elected to use
the alternative method permitted by the Rule which requires that
it maintain minimum net capital equal to 2% of aggregate debit
items arising from customer transactions, as defined. The NYSE
may prohibit a member firm from expanding its business or paying
dividends if resulting net capital would be less than 5% of
aggregate debit items. </p>

<p>At June 30, 2001, the net capital of Fahnestock as calculated
under the Rule was $168,244,000 or 44% of Fahnestock's aggregate
debit items. This was $160,652,000 in excess of the minimum
required net capital.</p>

<p>&nbsp;</p>

<p>&nbsp;</p>

<p>4. Segment Information</p>

<p>The table below presents information about the reported
operating income of the Company for the periods noted, in
accordance with the method described in the Company&#146;s Annual
Report on Form 10-K for the year ended December 31, 2000. The
Company&#146;s business is conducted primarily in the U.S. Asset
information by reportable segment is not reported, since the
Company does not produce such information for internal use.</p>

<table border="0" cellpadding="0" cellspacing="0" width="95%">
    <tr>
        <td width="37%"><i>Expressed in thousands of U.S. dollars</i></td>
        <td colspan="2" width="33%"><p align="center">Three
        Months ended </p>
        <p align="center">June 30,</p>
        </td>
        <td colspan="2" width="30%"><p align="center">Six Months
        Ended</p>
        <p align="center">June 30,</p>
        </td>
    </tr>
    <tr>
        <td width="37%">&nbsp;</td>
        <td width="16%"><p align="center">2001</p>
        </td>
        <td width="17%"><p align="center">2000</p>
        </td>
        <td width="15%"><p align="right">2001</p>
        </td>
        <td width="16%"><p align="right">2000</p>
        </td>
    </tr>
    <tr>
        <td width="37%">Revenue:</td>
        <td width="16%">&nbsp;</td>
        <td width="17%">&nbsp;</td>
        <td width="15%">&nbsp;</td>
        <td width="16%">&nbsp;</td>
    </tr>
    <tr>
        <td width="37%">Retail Branches</td>
        <td width="16%"><p align="right">$30,202</p>
        </td>
        <td width="17%"><p align="right">$35,591</p>
        </td>
        <td width="15%"><p align="right">$62,594</p>
        </td>
        <td width="16%"><p align="right">$85,464</p>
        </td>
    </tr>
    <tr>
        <td width="37%">Capital Markets</td>
        <td width="16%"><p align="right">14,104</p>
        </td>
        <td width="17%"><p align="right">16,310</p>
        </td>
        <td width="15%"><p align="right">36,237</p>
        </td>
        <td width="16%"><p align="right">52,195</p>
        </td>
    </tr>
    <tr>
        <td width="37%">Asset Management</td>
        <td width="16%"><p align="right">3,763</p>
        </td>
        <td width="17%"><p align="right">3,177</p>
        </td>
        <td width="15%"><p align="right">7,519</p>
        </td>
        <td width="16%"><p align="right">6,537</p>
        </td>
    </tr>
    <tr>
        <td width="37%">Interest</td>
        <td width="16%"><p align="right">7,780</p>
        </td>
        <td width="17%"><p align="right">13,226</p>
        </td>
        <td width="15%"><p align="right">20,563</p>
        </td>
        <td width="16%"><p align="right">26,080</p>
        </td>
    </tr>
    <tr>
        <td width="37%">Other</td>
        <td width="16%"><p align="right">1,027</p>
        </td>
        <td width="17%"><p align="right">1,120</p>
        </td>
        <td width="15%"><p align="right">3,458</p>
        </td>
        <td width="16%"><p align="right">2,540</p>
        </td>
    </tr>
    <tr>
        <td width="37%">&nbsp;</td>
        <td width="16%">&nbsp;</td>
        <td width="17%">&nbsp;</td>
        <td width="15%">&nbsp;</td>
        <td width="16%">&nbsp;</td>
    </tr>
    <tr>
        <td width="37%">Total</td>
        <td width="16%"><p align="right">$56,876</p>
        </td>
        <td width="17%"><p align="right">$69,424</p>
        </td>
        <td width="15%"><p align="right">$130,371</p>
        </td>
        <td width="16%"><p align="right">$172,816</p>
        </td>
    </tr>
    <tr>
        <td width="37%">&nbsp;</td>
        <td width="16%">&nbsp;</td>
        <td width="17%">&nbsp;</td>
        <td width="15%">&nbsp;</td>
        <td width="16%">&nbsp;</td>
    </tr>
    <tr>
        <td width="37%">Operating Income:</td>
        <td width="16%">&nbsp;</td>
        <td width="17%">&nbsp;</td>
        <td width="15%">&nbsp;</td>
        <td width="16%">&nbsp;</td>
    </tr>
    <tr>
        <td width="37%">Retail Branches</td>
        <td width="16%"><p align="right">$(371)</p>
        </td>
        <td width="17%"><p align="right">$871</p>
        </td>
        <td width="15%"><p align="right">$(666)</p>
        </td>
        <td width="16%"><p align="right">$5,772</p>
        </td>
    </tr>
    <tr>
        <td width="37%">Capital Markets</td>
        <td width="16%"><p align="right">1,215</p>
        </td>
        <td width="17%"><p align="right">2,787</p>
        </td>
        <td width="15%"><p align="right">8,011</p>
        </td>
        <td width="16%"><p align="right">15,378</p>
        </td>
    </tr>
    <tr>
        <td width="37%">Asset Management</td>
        <td width="16%"><p align="right">2,794</p>
        </td>
        <td width="17%"><p align="right">1,954</p>
        </td>
        <td width="15%"><p align="right">5,148</p>
        </td>
        <td width="16%"><p align="right">4,066</p>
        </td>
    </tr>
    <tr>
        <td width="37%">Interest</td>
        <td width="16%"><p align="right">3,823</p>
        </td>
        <td width="17%"><p align="right">6,825</p>
        </td>
        <td width="15%"><p align="right">9,093</p>
        </td>
        <td width="16%"><p align="right">12,727</p>
        </td>
    </tr>
    <tr>
        <td width="37%">Other</td>
        <td width="16%"><p align="right">(610)</p>
        </td>
        <td width="17%"><p align="right">1,968</p>
        </td>
        <td width="15%"><p align="right">885</p>
        </td>
        <td width="16%"><p align="right">10,787</p>
        </td>
    </tr>
    <tr>
        <td width="37%">&nbsp;</td>
        <td width="16%">&nbsp;</td>
        <td width="17%">&nbsp;</td>
        <td width="15%">&nbsp;</td>
        <td width="16%">&nbsp;</td>
    </tr>
    <tr>
        <td width="37%">Total</td>
        <td width="16%"><p align="right">$6,851</p>
        </td>
        <td width="17%"><p align="right">$14,405</p>
        </td>
        <td width="15%"><p align="right">$22,471</p>
        </td>
        <td width="16%"><p align="right">$48,730</p>
        </td>
    </tr>
</table>

<p>&nbsp;</p>

<p align="center">&nbsp;</p>

<p>ITEM 2. Management&#146;s Discussion and Analysis of Financial
Condition and Results of Operations</p>

<p>The securities industry is directly affected by general
economic and market conditions, including fluctuations in volume
and price levels of securities and changes in interest rates, all
of which have an impact on commissions and firm trading and
investment income as well as on liquidity. Substantial
fluctuations can occur in revenues and net income due to these
and other factors.</p>

<p>Results of Operations</p>

<p>Net profit for the second quarter ended June 30, 2001 was
$3,919,000 or $0.32 per share compared to $8,292,000 or $0.68 per
share for the second quarter of 2000, a decrease of 53% in net
profit. Revenue for the second quarter of 2001 was $56,876,000
compared to $69,424,000 in the second quarter of 2000, a decrease
of 18%.</p>

<p>Results for the second quarter of 2001 reflected substantially
lower individual investor participation in the equity markets,
the impact of reduced economic activity, and the substantial
reduction in the value of securities held by investors in
technology and telecommunications sectors. Market volume
reflected reduced activity levels by both institutional and
individual investors. Results were also impacted by lower
interest rates and lower client debit balances, as well as the
effect of decimalization on trading spreads in the NASDAQ market.</p>

<p>As a result of highly volatile market conditions in 2001 and
investor uncertainty, the Company&#146;s commission business and
revenues from principal trading activities declined compared to
the previous year. A less than robust economic environment for
the remainder of this year when compared to the previous year is
likely to affect securities markets for the balance of the fiscal
year. Controllable expenses are being reduced to more closely
reflect anticipated revenues over the next several quarters. </p>

<p>Commission income and to a large extent, income from principal
transactions, depend on market volume levels. Commission revenue
decreased by 11% in the second quarter of 2001 compared to the
second quarter of 2000 with markets generating lower volumes in
2001 compared to 2000. Net revenue from principal transactions
decreased by 28% compared to the second quarter of 2000 due to
significantly reduced activity and reduced trading opportunities
in the NASDAQ markets. Due to these reduced opportunities, the
Company reduced the number of securities in which it makes
markets. It may increase or decrease this number from time to
time as market conditions warrant. Investment banking revenues
and advisory fees increased by 17% and 16%, respectively,
compared with the second quarter of 2000. Net interest revenue
(interest revenue less interest expense) decreased by 37% in the
second quarter of 2001 compared to the second quarter of 2000 as
a result of lower U.S. interest rates and lower customer debit
balances. </p>

<p>Expenses decreased by 9% in the second quarter of 2001
compared to the second quarter of 2000. Compensation expense has
volume-related components and, therefore, decreased (by 8%) with
the decreased level of business conducted in the second quarter
of 2001 compared to the second quarter of 2000. The cost of
communications and technology decreased 3% in the second quarter
of 2001 compared to the second quarter of 2000 due to benefits
derived from reductions in telecommunications costs from vendors.
Occupancy costs decreased by 15% in the second quarter of 2001
compared to the second quarter of 2000 due to the consolidation
of several branch locations.</p>

<p>Liquidity and Capital Resources</p>

<p>Total assets at June 30, 2001 were $567,100,000, a decrease of
approximately 19% from $697,482,000 at December 31, 2000 due
primarily to lower customer and broker/dealer balances, as well
as transactions in the Company&#146;s matched book. Liquid assets
accounted for 97% of total assets, consistent with year end
levels. The Company satisfies its need for funds from its own
cash resources, internally-generated funds, subordinated
borrowings, collateralized borrowings consisting primarily of
bank loans, and uncommitted lines of credit. The amount of
Fahnestock's bank borrowings fluctuates in response to changes in
the level of the Company's securities inventories and customer
margin debt as well as changes in stock loan balances. Fahnestock
has arrangements with banks for borrowings on a fully
collateralized basis. At June 30, 2001, $24,466,000 of such
borrowings were outstanding, a decrease of 6% compared to
outstanding borrowings at December 31, 2000. At June 30, 2001 the
Company had available collateralized and uncollateralized letters
of credit of $35,500,000.</p>

<p>Management believes that funds from operations, combined with
Fahnestock's capital base and available credit facilities, are
sufficient for the Company's liquidity needs in the foreseeable
future.</p>

<p>Both on February 23, 2001 and May 18, 2001, the Company paid
cash dividends of $0.09 per Class A non-voting and Class B share
totaling $2,212,000 from available cash on hand.</p>

<p>On July 19, 2001, the Board of Directors declared a regular
quarterly cash dividend of U.S.$0.09 per Class A non-voting and
Class B share payable on August 17, 2001 to shareholders of
record on August 3, 2001.</p>

<p>The book value of the Company&#146;s Class A non-voting and
Class B shares was $19.13 at June 30, 2001 compared to $17.35 at
June 30, 2000, based on total outstanding shares of 12,389,930
and 12,033,439, respectively.</p>

<p>&nbsp;</p>

<p>Factors Affecting &quot;Forward-Looking Statements&quot;</p>

<p>This report on Form 10-Q contains &quot;forward-looking
statements&quot; within the meaning of Section 27A of the
Securities Act of 1933, as amended ( the &quot;Act&quot;), and
Section 21E of the Exchange Act. These forward-looking statements
relate to anticipated financial performance, future revenues or
earnings, business prospects and anticipated market performance
of the Company. The Private Securities Litigation Reform Act of
1995 provides a safe harbor for forward-looking statements. In
order to comply with the terms of the safe harbor, the Company
cautions readers that a variety of factors could cause the
Company&#146;s actual results to differ materially from the
anticipated results or other expectations expressed in the
Company&#146;s forward-looking statements. These risks and
uncertainties, many of which are beyond the Company&#146;s
control, include, but are not limited to: (i) transaction volume
in the securities markets, (ii) the volatility of the securities
markets, (iii) fluctuations in interest rates, (iv) changes in
regulatory requirements which could affect the cost and manner of
doing business, (v) fluctuations in currency rates, (vi) general
economic conditions, both domestic and international, (vii)
changes in the rate of inflation and the related impact on the
securities markets, (viii) competition from existing financial
institutions and other new participants in the securities
markets, (ix) legal developments affecting the litigation
experience of the securities industry, and (x) changes in federal
and state tax laws which could affect the popularity of products
sold by the Company. There can be no assurance that the Company
has correctly or completely identified and assessed all of the
factors affecting the Company&#146;s business. The Company does
not undertake any obligation to publicly update or revise any
forward-looking statements.</p>

<p>&nbsp;</p>

<p>ITEM 3. Quantitative and Qualitative Disclosures About Market
Risk</p>

<p>Risk Management</p>

<p>The Company&#146;s principal business activities by their
nature involve significant market and credit risks. The
Company&#146;s effectiveness in managing these risks is critical
to its success and stability. </p>

<p>As part of its normal business operations, the Company engages
in the trading of both fixed income and equity securities in both
a proprietary and market-making capacity. The Company makes
markets in over-the-counter equities in order to facilitate order
flow and accommodate its institutional and retail customers. The
Company also makes markets in municipal bonds, mortgage-backed
securities, government bonds and high yield bonds.</p>

<p>Market risk generally means the risk of loss that may result
from the potential change in the value of a financial instrument
as a result of fluctuations in interest and currency exchange
rates and in equity and commodity prices. Market risk is inherent
in all types of financial instruments, including both derivatives
and non-derivatives. The Company&#146;s exposure to market risk
arises from its role as a financial intermediary for its
customers&#146; transactions and from its proprietary trading and
arbitrage activities. </p>

<p>In addition, the Company&#146;s activities expose it to
operational risk, legal risk and funding risk. Operational risk
generally means the risk of loss resulting from improper
processing of transactions or deficiencies in the Company&#146;s
operating systems or internal controls. With respect to its
trading activities, the Company has procedures designed to ensure
that all transactions are accurately recorded and properly
reflected on the Company&#146;s books on a timely basis. With
respect to client activities, the Company operates a system of
internal controls designed to ensure that transactions and other
account activity (new account solicitation, transaction
authorization, transaction processing, billing and collection)
are properly approved, processed, recorded and reconciled. Legal
risk generally includes the risk of non-compliance with legal and
regulatory requirements and the risk that a counterparty&#146;s
obligations are unenforceable. The Company is subject to
extensive regulation in the various jurisdictions in which it
conducts its business. Through its legal advisors and its
compliance department, the Company has established routines to
ensure compliance with regulatory capital requirements, sales and
trading practices, new products, use and safekeeping of customer
securities and funds, granting of credit, collection activities,
and record keeping. The Company has procedures designed to assess
and monitor counterparty credit risk. </p>

<p>Value-at-Risk </p>

<p>Value-at-risk is a statistical measure of the potential loss
in the fair value of a portfolio due to adverse movements in
underlying risk factors. In response to the SEC&#146;s market
risk disclosure requirements, the Company has performed a
value-at-risk analysis of its trading financial instruments and
derivatives. The value -at-risk calculation uses standard
statistical techniques to measure the potential loss in fair
value based upon a one-day holding period and a 95% confidence
level. The calculation is based upon a variance-covariance
methodology, which assumes a normal distribution of changes in
portfolio value. The forecasts of variances and co-variances used
to construct the model for the market factors relevant to the
portfolio were generated from historical data. Although
value-at-risk models are sophisticated tools, their use can be
limited as historical data is not always an accurate predictor of
future conditions. The Company attempts to manage its market
exposure using other methods, including trading authorization and
concentration limits.</p>

<p>At June 30, 2001 and 2000, the Company&#146;s value-at-risk
for each component of market risk was as follows:</p>
<div align="center"><center>

<table border="0" cellpadding="0" cellspacing="0" width="414">
    <tr>
        <td width="70%">&nbsp;</td>
        <td colspan="2" width="30%"><p align="center">June 30,</p>
        </td>
    </tr>
    <tr>
        <td width="70%"><i>Expressed in thousands of U.S. dollars</i></td>
        <td width="13%"><p align="right"><u>2001</u></p>
        </td>
        <td width="17%"><p align="right"><u>2000</u></p>
        </td>
    </tr>
    <tr>
        <td width="70%">&nbsp;</td>
        <td width="13%">&nbsp;</td>
        <td width="17%">&nbsp;</td>
    </tr>
    <tr>
        <td width="70%">Interest rate risk</td>
        <td width="13%"><p align="right">$231</p>
        </td>
        <td width="17%"><p align="right">$116</p>
        </td>
    </tr>
    <tr>
        <td width="70%">Equity price risk</td>
        <td width="13%"><p align="right">357</p>
        </td>
        <td width="17%"><p align="right">978</p>
        </td>
    </tr>
    <tr>
        <td width="70%">Diversification benefit</td>
        <td width="13%"><p align="right">(216)</p>
        </td>
        <td width="17%"><p align="right">(543)</p>
        </td>
    </tr>
    <tr>
        <td width="70%">&nbsp;</td>
        <td width="13%">&nbsp;</td>
        <td width="17%">&nbsp;</td>
    </tr>
    <tr>
        <td width="70%">Total</td>
        <td width="13%"><p align="right">$372</p>
        </td>
        <td width="17%"><p align="right">$551</p>
        </td>
    </tr>
</table>
</center></div>

<p>The potential future loss presented by the total value-at-risk
generally falls within predetermined levels of loss that should
not be material to the Company&#146;s results of operations,
financial condition or cash flows. The changes in the
value-at-risk amounts reported as at June 30, 2001 compared to
those reported as at June 30, 2000 reflect reductions in the size
and changes in the composition of the Company&#146;s trading
portfolio. The weighting of the portfolio at June 30, 2001
shifted towards debt and away from equities compared to the
relative portfolio composition for the comparable period in 2000.</p>

<p>The value-at-risk estimate has limitations that should be
considered in evaluating the Company&#146;s potential future
losses based on the period-end portfolio positions. Recent market
conditions, including increased volatility, may result in
statistical relationships that result in higher value-at-risk
than would be estimated from the same portfolio under different
market conditions, or the converse may be true. Critical risk
management strategy involves the active management of portfolio
levels to reduce market risk. The Company&#146;s market risk
exposure is continuously monitored as the portfolio risks and
market conditions change.</p>

<p>PART II</p>

<p>ITEM 1. Legal Proceedings</p>

<blockquote>
    <blockquote>
        <p>The Company's subsidiaries are parties to legal
        proceedings incidental to<br>
        their respective businesses. In management's opinion,
        there are no legal<br>
        proceedings to which the Company or its subsidiaries are
        parties or to<br>
        which any of their respective properties are subject
        which are material to<br>
        the Company's financial position. The potential
        significance of legal<br>
        matters on the Company's future operating results depends
        on the level of<br>
        future results of operations as well as the timing and
        ultimate outcome of<br>
        such legal matters.<br>
        </p>
    </blockquote>
</blockquote>

<p>ITEM 2. Changes in Securities and Use of Proceeds</p>

<p>Not applicable</p>

<p>ITEM 3. Defaults Upon Senior Securities</p>

<p>Not applicable</p>

<p>ITEM 4. Submission of Matters to a Vote of Security-Holders</p>

<blockquote>
    <blockquote>
        <p>At the Annual and Special Meeting of Shareholders of
        the Company held on May 14, 2001, the holders of Class B
        voting shares (i) elected seven directors, (ii) appointed
        PricewaterhouseCoopers LLP as auditors of the Company and
        authorized the directors to fix the remuneration of the
        auditors, (iii) confirmed an amendment to the
        Company&#146;s 1996 Equity Incentive Plan increasing the
        number of Class A non-voting shares that may be issued
        pursuant to options granted under the Plan by 175,000
        shares and (iv) approved the Performance-Based
        Compensation Agreement dated as of January 1, 2001
        between the Company and A.G. Lowenthal.</p>
        <p>&nbsp;</p>
        <p>The number of votes cast for or against or withheld as
        to each matter voted upon, as applicable, is set forth
        below:</p>
    </blockquote>
</blockquote>

<table border="0" cellpadding="0" cellspacing="0" width="90%">
    <tr>
        <td width="57%">&nbsp;</td>
        <td width="14%"><p align="center"><b><u>For</u></b></p>
        </td>
        <td width="30%"><p align="center"><b>Against/</b></p>
        <p align="center"><b><u>Withheld</u></b></p>
        </td>
    </tr>
    <tr>
        <td width="57%">&nbsp;</td>
        <td width="14%">&nbsp;</td>
        <td width="30%">&nbsp;</td>
    </tr>
    <tr>
        <td width="57%">(i) Election of Directors</td>
        <td width="14%"><p align="center">95,181</p>
        </td>
        <td width="30%"><p align="center">nil</p>
        </td>
    </tr>
    <tr>
        <td width="57%">J. L. Bitove</td>
        <td width="14%">&nbsp;</td>
        <td width="30%">&nbsp;</td>
    </tr>
    <tr>
        <td width="57%">R. Crystal</td>
        <td width="14%">&nbsp;</td>
        <td width="30%">&nbsp;</td>
    </tr>
    <tr>
        <td width="57%">A. G. Lowenthal</td>
        <td width="14%">&nbsp;</td>
        <td width="30%">&nbsp;</td>
    </tr>
    <tr>
        <td width="57%">K. W. McArthur</td>
        <td width="14%">&nbsp;</td>
        <td width="30%">&nbsp;</td>
    </tr>
    <tr>
        <td width="57%">A. W. Oughtred</td>
        <td width="14%">&nbsp;</td>
        <td width="30%">&nbsp;</td>
    </tr>
    <tr>
        <td width="57%">E. K. Roberts</td>
        <td width="14%">&nbsp;</td>
        <td width="30%">&nbsp;</td>
    </tr>
    <tr>
        <td width="57%">B. Winberg</td>
        <td width="14%">&nbsp;</td>
        <td width="30%">&nbsp;</td>
    </tr>
    <tr>
        <td width="57%">&nbsp;</td>
        <td width="14%">&nbsp;</td>
        <td width="30%">&nbsp;</td>
    </tr>
    <tr>
        <td width="57%">(ii) Apointment of Auditors</td>
        <td width="14%"><p align="center">95,181</p>
        </td>
        <td width="30%"><p align="center">nil</p>
        </td>
    </tr>
    <tr>
        <td width="57%">&nbsp;</td>
        <td width="14%">&nbsp;</td>
        <td width="30%">&nbsp;</td>
    </tr>
    <tr>
        <td width="57%">(iii) Amendment of 1996<p>Equity
        Incentive Plan</p>
        </td>
        <td width="14%"><p align="center">94,888</p>
        </td>
        <td width="30%"><p align="center">13</p>
        </td>
    </tr>
    <tr>
        <td width="57%">&nbsp;</td>
        <td width="14%">&nbsp;</td>
        <td width="30%">&nbsp;</td>
    </tr>
    <tr>
        <td width="57%">(iv) Approval of<p>Performance-Based</p>
        <p>Compensation Agreement</p>
        </td>
        <td width="14%"><p align="center">94,888</p>
        </td>
        <td width="30%"><p align="center">13</p>
        </td>
    </tr>
</table>

<p align="center">&nbsp;</p>

<p align="center">&nbsp;</p>

<p>ITEM 5. Other Information</p>

<p>None</p>

<p>ITEM 6. Exhibits and Reports on Form 8-K</p>

<blockquote>
    <blockquote>
        <p>Exhibits - </p>
    </blockquote>
</blockquote>
<div align="center"><center>

<table border="0" cellpadding="7" cellspacing="0" width="438">
    <tr>
        <td width="14%">10(n)</td>
        <td width="86%">Fahnestock Viner Holdings Inc. 1996
        Equity Incentive Plan Amendment No.2 dated February 28,
        2001.</td>
    </tr>
    <tr>
        <td width="14%">10(o)</td>
        <td width="86%">Performance-Based Compensation Agreement
        between Fahnestock Viner Holdings Inc. and Albert G.
        Lowenthal dated January 1, 2001.</td>
    </tr>
</table>
</center></div>

<p>(b) Reports on Form 8-K - None</p>

<p>&nbsp;</p>

<p>&nbsp;</p>

<p>&nbsp;</p>

<p align="center"><b>SIGNATURES</b></p>

<p>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 hereunto duly authorized, in the
City of Toronto, Ontario, Canada on the 19th day of July 2001.</p>

<p>FAHNESTOCK VINER HOLDINGS INC.</p>

<p>By: &quot;A.G. Lowenthal&quot;<br>
A.G.Lowenthal, Chairman<br>
(Principal Financial Officer)</p>

<p>&nbsp;</p>

<p>By: &quot;E.K. Roberts&quot;<br>
E.K.Roberts, President<br>
(Duly Authorized Officer) </p>

<p>&nbsp;</p>

<p align="center">EXHIBIT INDEX</p>

<p>&nbsp;</p>
<div align="center"><center>

<table border="0" cellpadding="7" cellspacing="0" width="456">
    <tr>
        <td width="16%">Number</td>
        <td width="84%">Description</td>
    </tr>
    <tr>
        <td width="16%">&nbsp;</td>
        <td width="84%">&nbsp;</td>
    </tr>
    <tr>
        <td width="16%">10(n)</td>
        <td width="84%">Fahnestock Viner Holdings Inc. 1996
        Equity Incentive Plan Amendment No.2 dated February 28,
        2001. (filed herewith)*</td>
    </tr>
    <tr>
        <td width="16%">10(o)</td>
        <td width="84%">Performance-Based Compensation Agreement
        between Fahnestock Viner Holdings Inc. and Albert G.
        Lowenthal dated January 1, 2001. (filed herewith)*</td>
    </tr>
</table>
</center></div>

<p>&nbsp;</p>
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</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-10
<SEQUENCE>2
<FILENAME>amend201.htm
<DESCRIPTION>EXHIBIT 10(N)
<TEXT>
<!DOCTYPE HTML PUBLIC "-//IETF//DTD HTML//EN">
<html>

<head>
content="text/html; charset=iso-8859-1">
<meta name="GENERATOR" content="Microsoft FrontPage 2.0">
<title>amend201</title>
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<body bgcolor="#FFFFFF">

<p align="center">AMENDMENT NO.2</p>

<p align="center">(MAY 14, 2001)</p>

<p align="center">TO</p>

<p align="center">FAHNESTOCK VINER HOLDINGS INC.</p>

<p align="center">1996 EQUITY INCENTIVE PLAN</p>

<p align="center">AMENDED AND RESTATED</p>

<p align="center">AS AT MAY 17, 1999</p>

<p align="center">&nbsp;</p>

<p>Effective May 14, 2001, the Fahnestock Viner Holdings Inc.
1996 Equity Incentive Plan (Amended and Restated as at May 17,
1999) be further amended by increasing the number of Class A
Shares which may be issued pursuant to Awards granted under the
Plan and awards or options granted under other Plans of the
Company from 3,230,000 Class A Shares to 3,405,000 Class A
Shares.</p>

<p align="center">__________________________</p>

<p align="center"><font size="2"></font>&nbsp;</p>

<p>The foregoing amendment was approved by the Board of Directors
of the Corporation on February 28, 2001 and confirmed by holders
of Class B voting shares of the Corporation at the Annual and
Special Meeting of Shareholders of the Corporation held on May
14, 2001.</p>

<blockquote>
    <blockquote>
        <blockquote>
            <blockquote>
                <blockquote>
                    <p align="left">[signed: A.W. Oughtred]<br>
                    A. Winn Oughtred, Secretary<br>
                    Fahnestock Viner Holdings Inc.</p>
                </blockquote>
            </blockquote>
        </blockquote>
    </blockquote>
</blockquote>
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</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-10
<SEQUENCE>3
<FILENAME>aglperf0.htm
<DESCRIPTION>EXHIBIT 10(O)
<TEXT>
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<head>
content="text/html; charset=iso-8859-1">
<meta name="subject" content="90321.1">
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<title>aglperf01</title>
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<body bgcolor="#FFFFFF">

<p align="center"><b><u>PERFORMANCE-BASED COMPENSATION AGREEMENT</u></b></p>

<p>THIS AGREEMENT, dated as of the 1<sup>st</sup> day of January,
2001, between FAHNESTOCK VINER HOLDINGS INC. (&quot;<u>Holdings</u>&quot;)
and ALBERT G. LOWENTHAL (&quot;<u>Lowenthal</u>&quot;).</p>

<p align="center"><b><u>W</u></b><b> </b><b><u>I</u></b><b> </b><b><u>T</u></b><b>
</b><b><u>N</u></b><b> </b><b><u>E</u></b><b> </b><b><u>S</u></b><b>
</b><b><u>S</u></b><b> </b><b><u>E</u></b><b> </b><b><u>T</u></b><b>
</b><b><u>H</u></b><b> :</b></p>

<p>WHEREAS, Lowenthal is employed by Fahnestock &amp; Co. Inc., a
wholly-owned subsidiary of Holdings (the &quot;<u>Company</u>&quot;),
and Holdings as their respective Chief Executive Officer and
serves as Chairman of their respective Boards of Directors; and</p>

<p>WHEREAS, the Compensation and Stock Option Committee (the
&quot;<u>Committee</u>&quot;) of the Board of Directors of
Holdings (the &quot;<u>Board</u>&quot;) has determined that it is
in the best interests of the Company and Holdings to provide a
portion of the compensation for Lowenthal&#146;s services during
the Term hereof in a manner that aligns the compensation of
Lowenthal with the performance of the Company and Holdings, the
long-term interests of the shareholders of Holdings and the
compensation paid to other chief executive officers of comparable
financial service companies;</p>

<p>NOW, THEREFORE, in consideration of the premises set forth in
this Agreement, and other good and valuable consideration, the
receipt and sufficiency of which are hereby acknowledged,
Holdings and Lowenthal agree as follows:</p>

<p>1.<b> Definitions</b>.</p>

<p>(a) <u>Class A Stock</u> means the Class A non-voting shares
of Holdings.</p>

<p>(b) <u>Market Value</u> of a share of Class A Stock as of a
determination date means its closing price on the New York Stock
Exchange on such date or, if such date is not a trading day, on
the trading day next preceding such determination date.</p>

<p>(c) <u>Performance Award</u> means the written performance
goal established with respect to a Performance Year pursuant to
Section 2.</p>

<p>(c) <u>Performance Award Amount</u> means the amount of
performance-based compensation determined pursuant to the terms
of a Performance Award.</p>

<p>(d) <u>Performance Year</u> means a calendar year during the
Term.</p>

<p>(e) <u>Term</u> means the period commencing on January 1, 2001
and ending on December 31, 2005.</p>

<p>2. <b>Performance Awards.</b> </p>

<p>On or before the 90<sup>th</sup> day of each Performance Year,
the Committee shall establish a written performance goal (the
&quot;<u>Performance Award</u>&quot;) with respect to such
Performance Year. Such Performance Award shall be in the form of
a written formula pursuant to which the Performance Award Amount
shall be determined based upon the degree of attainment in such
Performance Year of targets expressed in terms of one or more of
the following factors: Holdings&#146; return on equity,
Holdings&#146; consolidated net profit, and the increase in the
Market Value of a share of Class A Stock from the date the
Committee establishes the performance goal (or, if later, January
1 of the Performance Year) to December 31 of the Performance
Year. Except to the extent otherwise provided in this Agreement,
the Company shall pay Lowenthal in cash the Performance Award
Amount within five (5) days after the Committee&#146;s
certification for each goal in accordance with Section 3
following the end of each Performance Year.</p>

<p>3.<b> Administration.</b></p>

<p>The procedures with respect to Performance Awards made under
this Agreement shall be administered by the Committee. The
Committee shall at all times consist of two or more members and
shall be constituted in such a manner as to satisfy the
requirements of applicable law, the provisions of Rule 16b-3
under the Securities Exchange Act of 1934 or any successor rule,
and the provisions of Section 162(m)(4)(C)(i) of the Internal
Revenue Code of 1986, as amended (the &quot;<u>Code</u>&quot;).
The Committee shall have full power and authority to grant awards
hereunder and to administer and interpret this Agreement and to
adopt such rules, regulations and guidelines as it deems
necessary or advisable to give effect to the purpose and intent
of this Agreement. Prior to payment of any Performance Award
payable hereunder with respect to any Performance Year the
Committee shall certify as to the degree to which the performance
goals underlying the Performance Award have been attained for
such Performance Year. Certification by the Committee shall be
made within ten (10) days after Holdings&#146; issuance of its
annual audited financial statements with respect to each
Performance Year.</p>

<p>4.<b> Performance Award Amount Limitation.</b></p>

<p>In no event may the Performance Award Amount with respect to
any Performance Year during the Term exceed $5,000,000.</p>

<p>5.<b> Termination of Employment</b>.</p>

<p>(a) If prior to the end of a Performance Year Lowenthal&#146;s
employment with the Company or Holdings terminates for any reason
(including death or permanent disability) other than the
termination of his employment for Cause (as defined in subsection
(b)), in lieu of any payments otherwise payable under this
Agreement with respect to such Performance Year Lowenthal or his
estate, within five (5) days after the Committee&#146;s
certification in accordance with Section 3 following the end of
the Performance Year in which termination occurs, shall be paid
the sum of the following: (i) the amount that would be owed to
Lowenthal with respect to the Performance Award (other than the
portion thereof described in clause (ii) ) for such Performance
Year multiplied by a fraction, the numerator of which is the
number of actual days of the year to the date of such termination
and the denominator of which is 365, and (ii) with respect to the
portion (if any) of the Performance Award attributable to
appreciation in the Market Value of Class A Stock, the amount
that would be owed to Lowenthal with respect to the stock
appreciation amount using the Market Value of the Class A Stock
on such termination date rather than December 31 of the
Performance Year; <u>provided</u>, <u>however</u>, that any such
payment of a Performance Award Amount shall be subject to the
limit set forth in Section 4 and the prior certification of the
Committee as set forth in Section 3.</p>

<p>(b) If prior to the end of a Performance Year,
Lowenthal&#146;s employment is terminated for Cause, his right to
receive any payment under this Agreement with respect to such
Performance Year shall be forfeited. For purposes of this
Agreement, &quot;<u>Cause</u>&quot; means (i) conviction of a
felony involving theft or moral turpitude, or (ii) a
determination by the Board that Lowenthal has engaged in conduct
that constitutes willful gross neglect or willful gross
misconduct with respect to his duties which results in material
economic harm to Holdings or the Company; provided, however, that
for purposes of determining whether conduct constitutes willful
gross misconduct, no act on Lowenthal&#146;s part shall be
considered &quot;willful&quot; unless it is done by him in bad
faith and without reasonable belief that his action was in the
best interests of Holdings and the Company.</p>

<p>6. <b>Deferral Election</b>. </p>

<p>Notwithstanding anything to the contrary herein, to the extent
that Lowenthal makes an election in accordance with the terms of
the Fahnestock &amp; Co. Inc. Executive Deferred Compensation
Plan (the &quot;<u>Plan</u>&quot;) to defer payment of all or a
portion of a Performance Award Amount, such deferred portion
(together with interest and earnings thereon as determined
pursuant to the terms of the Plan) to be paid at the time and in
the manner provided under the Plan.</p>

<p>7.<b> Effectiveness of Agreement.</b></p>

<p>This Agreement shall be effective as of the date of its
adoption by the Committee, subject to approval thereof at a
meeting of shareholders by the holders of a majority of the Class
B voting shares of Holdings (the &quot;<u>Class B Shares</u>&quot;)
present and entitled to vote at the meeting. This Agreement
replaces the Performance-Based Compensation Agreement between
Holdings and Lowenthal dated as of March 25, 1997, which shall be
of no further force and effect after December 31, 2000 except as
it applies to performance years ending on or before such date.</p>

<p>8.<b> Interpretation</b>.</p>

<p>No provision of this Agreement may be altered or waived except
in a writing executed by the parties hereto. This Agreement
constitutes the entire agreement between the parties hereto and
no party shall be bound by any warranties, representations or
guarantees, except as specifically set forth in this Agreement.
This Agreement shall be interpreted under the law of the State of
New York without giving effect to the conflict of law provisions
thereof.</p>

<p>9.<b> Arbitration</b>.</p>

<p>Any controversy or claim arising out of or relating to this
Agreement or the breach of this Agreement which cannot be
resolved by Lowenthal and Holdings shall, at the instance of
either Lowenthal or Holdings, be submitted to arbitration in
accordance with New York law and the procedures of the New York
Stock Exchange. The determination of the arbitrator shall be
conclusive and binding on Holdings and Lowenthal and judgment may
be entered on the arbitrator&#146;s award in any court having
jurisdiction.</p>

<p>10.<b> Assignability</b>.</p>

<p>The respective rights and obligations of Lowenthal and
Holdings under this Agreement shall inure to the benefit of and
be binding upon the heirs and legal representatives of Lowenthal
and the successors and assigns of Holdings.</p>

<p>IN WITNESS WHEREOF, Holdings and Lowenthal have executed this
Agreement as of the day and year first above written.</p>

<blockquote>
    <blockquote>
        <blockquote>
            <blockquote>
                <blockquote>
                    <p>FAHNESTOCK VINER HOLDINGS INC.</p>
                    <p>By: [signed: E.K. Roberts]<br>
                    Name: Elaine K. Roberts<br>
                    Title: President</p>
                    <p>&nbsp;</p>
                    <p>[signed: A.G. Lowenthal]<br>
                    Albert G. Lowenthal, individually</p>
                </blockquote>
            </blockquote>
        </blockquote>
    </blockquote>
</blockquote>

<p>&nbsp;</p>

<p>&nbsp;</p>

<p>&nbsp;</p>
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