Interactive Systems Worldwide Inc.
                       Statements of Operations
                              (Unaudited)
        (Amounts in thousands except share and per share data)

                              Three Months Ended    Six Months Ended
                                   March 31,            March 31,
                              2002        2001        2002        2001
                              ----        ----        ----        ----

Revenues, net               $1,349      $  974      $2,573      $1,698
                            ------      ------      ------      ------

Costs and expenses:
 Cost of revenues, research
  and development expense      162         252         303         489
 General and
  administrative expense       757         325        1071         585
                            ------      ------      ------      ------
                               919         577        1374       1,074
                            ------      ------      ------      ------

   Operating income            430         397       1,199         624

Interest income                 24          48          57          95
                            ------      ------      ------      ------

   Income before income taxes  454         445       1,256         719

Provision for income taxes     181          --         513          --
                            ------      ------      ------      ------

   Net income               $  273      $  445      $  743      $  719
                            ======      ======      ======      ======

Net income per
   common share-basic       $ 0.03      $ 0.05      $ 0.08      $ 0.08
                            ======     =======     =======     =======

Weighted average basic
 common shares
 outstanding             8,898,689   8,935,725   8,893,410   8,982,895
                         =========   =========   =========   =========

Net income per
   common share- diluted    $ 0.03      $ 0.05      $ 0.07      $ 0.08
                         =========   =========   =========   =========

Weighted average diluted
 common shares
 outstanding             9,985,831   9,245,529   9,977,546   9,283,380
                         =========   =========   =========   =========


                  Interactive Systems Worldwide Inc.
                      Summary Balance Sheet Data
                              (Unaudited)
                      (All amounts in thousands)

                                      March 31,          September 30,
                                      ---------          -------------
                                        2002                 2001
                                        ----                 ----

Cash and short term investments
   (including marketable
   securities)                        $ 6,891              $ 5,065
Total current assets                  $ 8,924              $ 7,188
Total assets                          $ 9,614              $ 8,574

Current liabilities                   $ 1,148                $ 969
Total liabilities                     $ 1,148                $ 969

Stockholders' equity                  $ 8,466              $ 7,605