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

                                   FORM 10-QSB

(Mark One)

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

                  FOR THE QUARTERLY PERIOD ENDED MARCH 31, 1996

                                       or

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

For the transition period from                                   to
                              -----------------------------------   -----------
Commission File Number:  0-1665
                       --------------------------------------------------------
                               EXTECH CORPORATION                             
- -------------------------------------------------------------------------------
        (Exact name of small business issuer as specified in its charter)

     Delaware                                           36-2476480              
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 (State or other jurisdiction                          (I.R.S Employer
 of incorporation or organization)                    Identification No.) 

 90 Merrick Avenue, East Meadow, New York                             11554   
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(Address of principal executive offices)                            (Zip Code)

                                (516) 794-6300                                  
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              (Registrant's telephone number, including area code)

- --------------------------------------------------------------------------------
     (Former name, former address and former fiscal year, if changed since 
      last report)

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

                APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY
                  PROCEEDINGS DURING THE PRECEDING FIVE YEARS:

     Indicate by check mark whether the registrant has filed all documents and
reports required to be filed by Sections 12, 13 or 15(d) of the Securities
Exchange Act of 1934 subsequent to the distribution of securities under a plan
confirmed by a court.                                          (  ) YES  ( ) NO

                      APPLICABLE ONLY TO CORPORATE ISSUERS:

     Indicate the number of shares outstanding of each of the issuer's classes
of common stock, as of the latest practicable date.

     2,391,367 shares as of April 17, 1996

                                      INDEX

                       EXTECH CORPORATION AND SUBSIDIARIES

PART I.   FINANCIAL INFORMATION

ITEM 1.   FINANCIAL STATEMENTS

          Condensed Consolidated Balance Sheet - March 31, 1996 (Unaudited) 

          Condensed Consolidated Statements of Operations - Three months ended
          March 31, 1996 and 1995 (Unaudited)

          Condensed Consolidated Statements of Cash Flows - Three months ended
          March 31, 1996 and 1995 (Unaudited)

          Notes to Condensed Consolidated Financial Statements - Three months
          ended March 31, 1996 and 1995 (Unaudited)

ITEM 2.   MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION

PART II.  OTHER INFORMATION

ITEM 1.   Legal Proceedings
ITEM 2.   Changes in Securities
ITEM 3.   Defaults upon Senior Securities
ITEM 4.   Submission of Matters to a Vote of Security Holders
ITEM 5.   Other Information
ITEM 6.   Exhibits and Reports on Form 8-K

SIGNATURES

PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

                       EXTECH CORPORATION AND SUBSIDIARIES
                      CONDENSED CONSOLIDATED BALANCE SHEET
                                   (UNAUDITED)

                                                    March 31, 1996
                                                    --------------
ASSETS                                          

CURRENT ASSETS:
             Cash and cash equivalents                 $   683,877
             Accounts receivable                            39,732
             Notes and other receivables                    76,258
             Inventories                                     8,056
             Prepaid expenses                                6,405
                                                        ----------
               Total current assets                        814,328
                                                        ----------

PROPERTY AND EQUIPMENT, NET                                192,958
                                                        ----------

OTHER ASSETS:
             Operating equipment, net                       11,388
                                                        ----------
                                                       $ 1,018,674
                                                       ===========

LIABILITIES AND STOCKHOLDERS' EQUITY         

CURRENT LIABILITIES:
             
             Accounts payable                          $     5,779
             Accrued expenses                              135,219
             Debentures payable                            154,200
             Accrued taxes payable                          15,759
                                                        ----------
                                                           310,957
                                                        ----------

MINORITY INTEREST                                              560
                                                        ----------

STOCKHOLDERS' EQUITY:         
             Common Stock, $.01 par value;
               authorized, 10,000,000 shares;
               issued and outstanding,
                2,391,367 shares                            23,914
             Capital in excess of par                    4,496,950
             Deficit                                    (3,813,707)
                                                        ----------
                                                           707,157
                                                        ----------
                                                        $1,018,674
                                                        ==========

See notes to condensed consolidated financial statements.

                       EXTECH CORPORATION AND SUBSIDIARIES
                 CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
                                   (UNAUDITED)

                                               Three months ended
                                                     March 31,
                                                  1996          1995
                                            ------------------------
Revenues:
     Rooms                                   $ 301,611     $ 281,010
     Other                                       6,663         6,684
     Interest                                    6,187         3,384
                                              --------       --------
          Total revenues                       314,461       291,078
                                              --------       --------

Costs and expenses:
     General, administrative 
       and sundry                              101,069         96,832
     Departmental                               80,782         84,830
     Depreciation and amortization              12,987         12,771
     Energy costs                                4,635          4,652
     Lease rentals                              62,185         54,956
     Marketing                                   7,791          6,444
     Property operation 
       and maintenance                           4,565          4,746
     Provision for bad debt                        600          1,200
                                                ------         ------

                                               274,614        266,431
                                                ------         ------

Net income                                   $  39,847       $  24,647 
                                             =========       =========

Income per common share:

     Net income                              $     .02       $     .01 
                                             =========       =========

Weighted average number of common
  shares outstanding                         2,391,367       2,391,367 
                                             =========       =========

See notes to condensed consolidated financial statements.

                       EXTECH CORPORATION AND SUBSIDIARIES
                 CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (UNAUDITED)

                                               Three months ended
                                                     March 31,
                                                  1996          1995
                                            ------------------------

Cash flows from operating activities:
  Net income                                 $  39,847       $  24,647
  Adjustments to reconcile net income
  to net cash provided by
  operating activities:
   Depreciation and amortization                12,987          12,771
   Provision for bad debts                         600           1,200
Decrease (increase) in assets:
    Accounts receivable                         12,089           2,996
    Inventories                                   (866)          1,746
    Prepaid expenses                               482          37,335
    Notes receivable                           (37,078)           -0-
    Other assets                                 1,415          (1,926)
Increase (decrease) in liabilities:
    Accounts payable                             2,223           7,848
    Accrued expenses                            (4,282)        (24,866)
    Accrued taxes payable                       15,759          14,394
                                             ---------       ---------
  Net cash provided by
  operating activities                          43,176          76,145
                                             ---------       ---------

Net cash (used in) investing activities:
  Purchases of property and equipment           (4,255)           (515)
                                             ---------       ---------
  Net cash (used in)
  investing activities:                         (4,255)           (515)
                                             ---------       ---------

Net increase in cash and cash
equivalents                                     38,921         75,630
Cash, beginning of period                      644,956        482,359 
                                             ---------       ---------
Cash, end of period                          $ 683,877       $ 557,989
                                             =========       =========

See notes to condensed consolidated financial statements.

                                        
                       EXTECH CORPORATION AND SUBSIDIARIES
              NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
             THREE MONTHS ENDED MARCH 31, 1996 AND 1995 (UNAUDITED)

1.   The Condensed Consolidated Balance Sheet as of March 31, 1996, the
     Condensed Consolidated Statements of Operations for the three months ended
     March 31, 1996 and 1995 and the Condensed Consolidated Statements of Cash
     Flows for the three months ended March 31, 1996 and 1995 have been prepared
     by the Company without audit. In the opinion of the Company, the
     accompanying unaudited condensed consolidated financial statements contain
     all adjustments necessary to present fairly its financial position as of
     March 31, 1996, results of operations for the three months ended March 31,
     1996 and 1995 and cash flows for the three months ended March 31, 1996 and
     1995.  This report should be read in conjunction with the Company's annual
     report on Form 10-KSB for the year ended December 31, 1995.

2.   The results of operations and cash flows for the three months ended March
     31, 1996 are not necessarily indicative of the results to be expected for
     the full year.

                       EXTECH CORPORATION AND SUBSIDIARIES
                     MANAGEMENT'S DISCUSSION AND ANALYSIS OR
                                PLAN OF OPERATION

                   THREE MONTHS ENDED MARCH 31, 1996 AND 1995

RESULTS OF OPERATIONS:

THREE MONTHS ENDED MARCH 31, 1996 COMPARED TO 1995:

The Company's net income for the three months ended March 31, 1996 was $39,847
as compared to a net income of $24,647 for the three months ended March 31,
1995. Such increased income was primarily the result of increased room revenues
($301,611 during the first quarter of 1996 as compared to $281,010 during the
first quarter of 1995). 

LIQUIDITY AND CAPITAL RESOURCES:

As of March 31, 1996, the Company had $683,877 in cash and cash equivalents.  As
of such date, the Company had a working capital surplus of $503,371. The
Company did not have any material commitments for capital expenditures as of
March 31, 1996.

PROSPECTS:

On May 14, 1996 the Company and Phone America International, Inc. ("Phone
America") mutually agreed not to pursue a non-binding letter of intent whereby
the Company would have acquired Phone America. The Company is presently
exploring other business opportunities outside of the hotel industry. (See Item
5 "OTHER INFORMATION").

PART II.  OTHER INFORMATION

ITEM 1.   LEGAL PROCEEDINGS

          None

ITEM 2.   CHANGES IN SECURITIES

          None

ITEM 3.   DEFAULTS UPON SENIOR SECURITIES

          None

ITEM 4.   SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

          None

ITEM 5.   OTHER INFORMATION

          On May 14, 1996 the Company and Phone America, an interexchange
          telecommunications carrier, mutually agreed not to pursue a non-
          binding letter of intent pursuant to which the Company would have
          acquired Phone America.

          The Company's $50,000 loan to Phone America, which was made
          contemporaneously with the execution of the letter of intent and which
          is payable upon demand on or after August 26, 1996, will continue in
          full force and effect according to its terms.

ITEM 6.   EXHIBITS AND REPORTS ON FORM 8-K

          (a)  EXHIBITS

               3(a) Certificate of Incorporation, as amended 1

               3(b) By-laws, as amended 2

               27   Financial Data Schedule

- --------------------

  1  Denotes document filed as an exhibit to the Company's Annual Report on 
Form 10-KSB for the year ended December 31, 1993 and incorporated herein 
by reference.

  2  Denotes document filed as an exhibit to the Company's Annual Report on 
Form 10-K for the year ended December 31, 1989 and incorporated herein 
by reference.

          (b)  REPORTS ON FORM 8-K

               None

                                   SIGNATURES

In accordance with the requirements of the Exchange Act, the registrant caused
this report to be signed on its behalf by the undersigned, thereunto duly
authorized.

                          EXTECH CORPORATION

Dated: May 15, 1996      By:/s/ Morton L. Certilman       
                            ------------------------------
                            MORTON L. CERTILMAN
                            President (Chief
                            Operating Officer and Principal
                            Financial Officer)

 5

                   3-MOS
                          DEC-31-1996
                               MAR-31-1996
                                         683,877
                                         0
                                  115,990
                                         0
                                      8,056
                               814,328
                                         192,958
                                       0
                               1,018,674
                          310,957
                                              0
                           23,914
                                          0
                                             0
                                     683,243
                 1,018,674
                                        301,611
                               314,461
                                                0
                                  274,614
                                     0
                                     0
                                   0
                                 39,847
                                         0
                                  0
                                       0
                                      0
                                            0
                                    39,847
                                      .02
                                      .02