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

FORM 8-K

Current Report
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of report (Date of earliest event reported): March 13, 2000

Netgateway, Inc.
________________________________________________________________________________
(Exact Name of Registrant as Specified in Charter)

Delaware 000-27941 87-0591719
________________________________________________________________________________
(State or other jurisdiction (Commission File Number) (IRS Employer
of incorporation ) Identification No.)

300 Oceangate, 5th Floor, Long Beach, CA 90802
________________________________________________________________________________
(Address of Principal Executive Offices) (Zip Code)

Registrant's telephone number, including area code: (582) 308-0010

Not Applicable
(Former Name or Former Address, if Changed Since Last Report)

Item 5. Other Events.

On March 13, 2000, Netgateway, Inc. and Galaxy Enterprises, Inc., a Nevada
corporation, issued a press release concerning the execution of a Merger
Agreement among the parties and a wholly-owned subsidiary of Netgateway,
pursuant to which the subsidiary would be merged with and into Galaxy, with
Galaxy remaining as the surviving corporation in the merger and a subsidiary of
Netgateway. Upon consummation of the merger, Netgateway will acquire Galaxy for
approximately 3.9 million shares of Netgateway common stock, or approximately
six tenths of one share of Netgateway common stock for each share of Galaxy
common stock. Consummation of the Merger Agreement is subject to certain terms,
conditions and termination rights specified in the Merger Agreement. A copy of
the press release is filed as an exhibit to this current report.

In connection with the execution of the Merger Agreement, Netgateway and
John J. Poelman, the Chief Executive Officer of Galaxy, also entered into a
voting agreement pursuant to which, among other things, Mr. Poelman agreed to
vote in favor of approval and adoption of the Merger. In connection with and as
a condition to the Merger Agreement, Netgateway and Sue Ann Cochran, an
affiliate of Galaxy, also entered into a voting agreement pursuant to which,
among other things, Ms. Cochran agreed to vote in favor of approval and adoption
of the Merger.

In connection with the execution of the Merger Agreement, Netgateway and
Mr. Poelman entered into an option agreement, pursuant to which, among other
things, Mr. Poelman granted to Netgateway an option to purchase his shares of
Galaxy common stock, representing 16% of the total outstanding shares of Galaxy
common stock.

In connection with the execution of the Merger Agreement, Netgateway and
each of Mr. Poelman, Brandon Lewis, Frank C. Heyman, Robert Green, David Wise
and Benjamin Roberts, executed affiliate lock-up agreements, pursuant to which
the parties agreed that until the first market trading day following the date
Netgateway publishes financial results covering at least thirty (30) days of
combined operations of Netgateway and Galaxy, the affiliates will not sell,
exchange, or otherwise transfer, with the intent to reduce or have the effect,
directly or indirectly, of reducing their risk relative to any shares of Galaxy
common stock, or any rights, options or warrants to purchase Galaxy common
stock, or any Netgateway common stock received by the affiliates in connection
with the merger.

In connection with the execution of the Merger Agreement, Galaxy and Mr.
Poelman, Mr. Heyman and Mr. Lewis entered into employment agreements, to be
effective upon consummation of the merger.

In connection with the execution of the Merger Agreement, Impact Media,
Inc., a wholly owned subsidiary of Galaxy, and Mr. Green and Mr. Wise entered
into employment agreements to be effective upon consummation of the merger.

Copies of the merger agreement, voting agreements, option agreement, form
of affiliate lock-up agreement and form of employment agreement are filed as
exhibits to this current report.

Item 7. Financial Statements and Exhibits.

(a) Financial Statements
Not Applicable.
(b) Current Report on Form 8-K
Not Applicable.
(c) Exhibits.
See Index to Exhibits on page 5.

SIGNATURE

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.

NETGATEWAY, INC.

Dated: March 21, 2000 By: /s/ John Frojen
_____________________________
John Frojen
Chief Financial Officer

INDEX TO EXHIBITS

Exhibit No. Description

10.1 Agreement and Plan of Merger dated as of March 10, 2000 by and among the Netgateway,
Inc., Galaxy Enterprises, Inc., and Galaxy Acquisition Corp.
10.2 Voting Agreement dated as of March 10, 2000, by and among Netgateway, Inc. and John J.
Poelman.
10.3 Voting Agreement dated as of March 10, 2000, by and among Netgateway, Inc. and Sue Ann
Cochran.
10.4 Stock Option Agreement dated as of March 10, 2000, by and among Netgateway, Inc. and John J.
Poelman.
10.5 Form of Affiliate Lock-Up Agreement
10.6 Form of Employment Agreement
99.1 Press Release dated March 13, 2000.