YOUBET.COM, INC.
                 CONSOLIDATED STATEMENTS OF OPERATIONS

                                        Three Months Ended March 31,
                                          2002               2001
                                       (Unaudited)        (Unaudited)

  Revenues                             $ 2,617,215        $ 1,647,765
  Operating expenses
  Network operations                       491,935            714,471
  Research and development                 489,383            713,523
  Sales and marketing                    1,659,456          1,063,930
  General and administrative             1,484,230          1,185,788
  Depreciation and amortization          1,398,796            493,358
  Total operating expenses               5,523,800          4,171,070
  Loss from operations                  (2,906,585)        (2,523,305)

  Other income (expense):
  Interest income                           16,464            176,058
  Interest expense                          (5,407)            (3,792)
  Other                                          -             (2,087)
  Total other income (expense)              11,057            170,179
      Net loss                        $ (2,895,528)      $ (2,353,126)

  Basic and diluted:
     Net loss per common share             $ (0.15)           $ (0.12)

     Weighted average number of
      common shares outstanding         19,537,950         19,520,850


                           YOUBET.COM, INC.
                        SUMMARY BALANCE SHEETS

                                  March 31, 2002    December 31, 2001
                                    (Unaudited)         (Audited)
ASSETS
Cash and cash equivalents           $ 3,038,060        $ 3,560,740
Total current assets                  3,900,608          4,439,946
Property and equipment, net           5,419,029          5,879,301
Total assets                       $ 18,588,935       $ 19,885,573

LIABILITIES AND STOCKHOLDERS' EQUITY
Total current liabilities           $ 4,660,385        $ 3,634,404
Total liabilities                     4,660,385          3,634,404
Total stockholders' equity           13,928,550         16,251,169
Total liabilities and stockholders'
 equity                            $ 18,588,935       $ 19,885,573