SECURITIES AND EXCHANGE COMMISSION

                            WASHINGTON, D.C.   20549


                                 FORM 10-Q


                   QUARTERLY REPORT UNDER SECTION 13 OR 15(d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

                   FOR THE QUARTER ENDED AUGUST 31, 2000

                         COMMISSION FILE NUMBER 0-9061


                             ELECTRO RENT CORPORATION
              Exact name of registrant as specified in its charter


        CALIFORNIA                                    95-2412961
(State or other jurisdiction of                   (I.R.S. Employer
incorporation or organization)                   Identification No.)


       6060 SEPULVEDA BOULEVARD
         VAN NUYS, CALIFORNIA                          91411-2501
(Address of principal executive offices)             (Zip code)

                                 (818)  786-2525
              (Registrant's telephone number, including area code)

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.

                            Yes       X    NO

At October 11, 2000 registrant had 24,364,672 shares of common stock
outstanding.

<PAGE>
                              ELECTRO RENT CORPORATION

                                      FORM 10-Q

                                   AUGUST 31, 2000

                                  TABLE OF CONTENTS


                                                                           Page
Part I:     FINANCIAL INFORMATION

      Condensed Consolidated Statements of Income for the Three
       Months Ended August 31, 2000 and August 31, 1999                       3

      Condensed Consolidated Balance Sheets at
       August 31, 2000 and May 31, 2000                                       4

      Condensed Consolidated Statements of Cash Flows for the
       Three Months Ended August 31, 2000 and August 31, 1999                 5

      Notes to Condensed Consolidated Financial Statements                    6

      Management's Discussion and Analysis of Financial
        Condition and Results of Operations                                   7

Part II:    OTHER INFORMATION                                                10

SIGNATURES                                                                   11


                                     Page 2
<PAGE>
<TABLE>
Part I.  FINANCIAL INFORMATION
-----------------------------------
Item 1. Financial Statements

                              ELECTRO RENT CORPORATION

                     CONDENSED CONSOLIDATED STATEMENTS OF INCOME
                   (Unaudited) (000 omitted except per share data)
<CAPTION>
                                                            Three Months Ended
                                                                 August 31,
                                                             2000        1999
                                                           ---------   ---------
<S>                                                        <C>         <C>
Revenues:
  Rentals and leases                                     $   46,024  $   52,540
  Sales of equipment
    and other revenues                                       11,309      10,213
                                                           ---------   ---------
    Total revenues                                           57,333      62,753
                                                           ---------   ---------
Costs and expenses:
  Depreciation of equipment                                  19,006      25,043
  Costs of revenues other
    than depreciation                                         7,247       8,672
  Selling, general and
    administrative expenses                                  16,306      16,926
  Interest                                                      435       1,687
                                                           ---------   ---------
    Total costs and expenses                                 42,994      52,328
                                                           ---------   ---------
Income before income taxes                                   14,339      10,425

Income taxes                                                  5,449       3,961
                                                           ---------   ---------
Net income                                               $    8,890  $    6,464
                                                           =========   =========
Earnings per share:
  Basic                                                  $     0.36  $     0.26
  Diluted                                                $     0.36  $     0.26

Average shares used in
  per share calculation:
  Basic                                                      24,389      24,484
  Diluted                                                    24,720      24,960



<FN>
                              See accompanying notes to
                    condensed consolidated financial statements.
                                     Page 3
<PAGE>

</TABLE>
<TABLE>
                              ELECTRO RENT CORPORATION

                        CONDENSED CONSOLIDATED BALANCE SHEETS
                              (Unaudited) (000 omitted)

                                       ASSETS
<CAPTION>
                                                          August 31,    May 31,
                                                              2000        2000
                                                           ---------   ---------
<S>                                                        <C>         <C>
Cash                                                     $    1,183  $    1,605
Accounts receivable, net
  of allowance for doubtful accounts                         31,382      29,862
Rental and lease equipment, net
  of accumulated depreciation                               182,981     190,107
Other property, net of accumulated
  depreciation and amortization                              20,195      20,608
Goodwill and intangibles, net of amortization                59,281      59,719
Other                                                         3,945       4,534
                                                           ---------   ---------
                                                         $  298,967  $  306,435
                                                           =========   =========

                        LIABILITIES AND SHAREHOLDERS' EQUITY

Liabilities:
  Bank borrowings                                        $    6,100  $   21,800
  Accounts payable                                           20,708      22,635
  Accrued expenses                                           29,021      24,921
  Deferred income taxes                                      15,468      15,414
                                                           ---------   ---------
    Total liabilities                                        71,297      84,770
                                                           ---------   ---------
Shareholders' equity:
  Common stock                                               11,235      11,139
  Retained earnings                                         216,435     210,526
                                                           ---------   ---------
    Total shareholders' equity                              227,670     221,665
                                                           ---------   ---------
                                                         $  298,967  $  306,435
                                                           =========   =========
<FN>
                              See accompanying notes to
                    condensed consolidated financial statements.

</TABLE>
                                     Page 4
<PAGE>
                              ELECTRO RENT CORPORATION

                   CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
                              (Unaudited) (000 omitted)
<TABLE>
<CAPTION>
                                                           Three Months Ended
                                                                 August 31,
                                                             2000        1999
                                                           ---------   ---------
<S>                                                        <C>         <C>
Cash flows from operating activities:
  Net income                                             $    8,890  $    6,464
  Adjustments to reconcile net income to net cash
    provided by operating activities:
    Depreciation and amortization                            20,193      26,088
    Provision for losses on accounts receivable                 341         254
    Gain on sale of equipment                                (4,070)     (1,427)
    Change in operating assets and liabilities:
      (Increase) decrease in accounts receivable             (1,861)      5,155
      Decrease in other assets                                  394           4
      Decrease in accounts payable                           (2,322)     (2,596)
      Increase (decrease) in accrued expenses                 4,100        (552)
      Increase in deferred income taxes                          54          39
                                                           ---------   ---------
      Net cash provided by operating activities              25,719      33,429
                                                           ---------   ---------
Cash flows from investing activities:
  Proceeds from sale of equipment                             9,781       8,960
  Payments for purchase of rental and lease equipment       (17,197)    (17,634)
  Payments for purchase of other property                      (140)       (327)
                                                           ---------   ---------
      Net cash used in investing activities                  (7,556)     (9,001)
                                                           ---------   ---------
Cash flows from financing activities:
  Decrease in short-term bank borrowings                    (15,700)    (28,100)
  Proceeds from issuance of common stock                         96          77
  Payment for repurchase of common stock                     (2,981)         -
                                                           ---------   ---------
      Net cash used in financing activities                 (18,585)    (28,023)
                                                           ---------   ---------
Net decrease in cash                                           (422)     (3,595)
Cash at beginning of period                                   1,605       4,039
                                                           ---------   ---------
Cash at end of period                                    $    1,183  $      444
                                                           =========   =========
<FN>
                              See accompanying notes to
                    condensed consolidated financial statements.
</TABLE>

                                     Page 5
<PAGE>
             NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
                                (UNAUDITED)

Note 1 -- Basis of Presentation
-----------------------------------
The unaudited consolidated financial statements are condensed and do not
contain all information required by generally accepted accounting principles
to be included in a full set of financial statements.  The condensed
consolidated financial statements include Electro Rent Corporation and the
accounts of its wholly owned subsidiaries. All intercompany balances and
transactions have been eliminated.  The information furnished reflects all
adjustments which are, in the opinion of management, necessary to a fair
statement of the financial position and the results of operations of the
Company.  All such adjustments are of a normal recurring nature. The
preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions
that affect the reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the financial statements and
the reported amounts of revenues and expenses during the reporting period.
Actual results could differ from those estimates.

Note 2 -- Interest and Income Taxes Paid
-------------------------------------------
Total interest paid during the three month periods ended August 31, 2000 and
August 31, 1999 was $178,000 and $1,536,000, respectively.  Total income taxes
paid during the three month period ended August 31, 2000 were $1,235,000
compared to $3,901,000 during the same period in the prior year.  Interest and
income taxes paid will vary from amounts recorded in the financial statements.

Note 3 -- Noncash Investing and Financing Activities
-------------------------------------------------------
The Company acquired equipment totaling $19,552,000 and $19,947,000 as of
August 31, 2000 and May 31, 2000, respectively, and $25,126,000 and
$14,977,000 as of August 31, 1999 and May 31, 1999, respectively, payable
during subsequent quarters.

Note 4 -- Capital Leases
----------------------------
The Company has certain customer leases providing bargain purchase options
with a portion of lease revenue deferred until option exercise.   At August
31, 2000 investment in sales-type leases of $1,251,000 net of deferred
interest of $64,000 is included in other assets.  Interest income is
recognized over the life of the lease using the interest method.

Note 5 -- Derivative Positions
----------------------------
The Company has entered into an interest rate protection agreement. The
Company's exposure under this agreement is limited to the impact of variable
interest rate fluctuations and the periodic settlement of amounts due under
this agreement if the other party fails to perform.  The Company does not
anticipate nonperformance by the counterparty, which is a major financial
institution.

As of August 31, 2000, the Company held one interest rate swap agreement
with a notional amount of $25,000,000, interest rate of 5.939% and expiration
date of December 2000.


Item 2.     Management's Discussion and Analysis of Financial Condition and
                  Results of Operations

The following discussion addresses the financial condition of the Company as
of August 31, 2000 and the results of operations for the three  month period
ended August 31, 2000.  This discussion should be read in conjunction with the
Management's Discussion and Analysis section included in the Company's 2000
Annual Report on Form 10-K (pages  13-15) to which the reader is directed for
additional information.


Results of Operations

Comparison of Three Months Ended August 31, 2000 and August 31, 1999

Total revenues for the three months ended August 31, 2000 decreased 8.8% to
$57.3 million from $62.8 million, primarily as a result of continuing
attrition of the TMS business acquired in November 1997 and a generally weak
PC market during the last twelve months, but partially offset by continuing
improvement of test and measurement equipment rentals in the
telecommunications segment.  Rental and lease revenues decreased 12.4% to
$46.0 million, largely for the reasons noted above, and sales of equipment and
other revenues increased 10.8% to $11.3 million, primarily reflecting a
higher level of test and measurement equipment sales, improved margins and
several non-recurring customer settlements.

Depreciation of equipment decreased from 47.7% of rental and lease revenues in
the first quarter of fiscal 2000 to 41.3% of rental and lease revenues in the
first quarter of fiscal 2001.  This decrease is primarily due to a large
portion of computers acquired from TMS in fiscal 1998 becoming fully
depreciated in the last half of fiscal 2000.

Costs of revenues other than depreciation primarily includes the cost of
equipment sales, which decreased from 84.1% of equipment sales in the first
quarter of fiscal 2000 to 58.4% of equipment sales in the first quarter of
fiscal 2001.  This cost ratio decrease primarily results from the sale of
equipment that is generally more depreciated than in the prior fiscal year and
several non-recurring customer settlements.

Selling, general and administrative expenses totaled $16.3 million for the
first quarter of fiscal 2001, or 28.4% of revenues, as compared to $16.9
million, or 27.0% of revenues, for the first quarter of fiscal 2000.  This
expense ratio increase reflects an 8.8% decline in total revenues, compared
with a 3.7% decline in SG&A which resulted from restructuring of the sales
organization and closing certain offices and warehouses.

As a result of the changes in revenues, operating costs and expenses discussed
above, earnings before interest and taxes were $14.8 million or 25.8% of total
revenues in the first quarter of fiscal 2001 compared to $12.1 million or
19.3% of total revenues in the first quarter of fiscal 2000.

Interest expense decreased to $.4 million in the first quarter of fiscal
2001 from $1.7 million in the first quarter of fiscal 2000.  This decrease is
primarily due to a reduction of the Company's loans with various banks from
$79.4 million at August 31, 1999 to $6.1 million at August 31, 2000,
partially offset by higher interest rates.




Liquidity and Capital Resources

The Company's primary capital requirements are purchases of rental and lease
equipment and debt service.  The Company purchases equipment throughout each
year to replace equipment which has been sold and to maintain adequate levels
of rental equipment to meet existing and new customer needs.  The market for
personal computers has declined during the last twelve months.  However,
during the first quarter of fiscal 2001, purchases of equipment continued to
be made to support some areas of growth for both personal computers and test
and measurement equipment, and to keep the equipment pool technologically
up-to-date.  Even with these purchases, bank borrowings are expected to be
completely repaid by the end of the second quarter of fiscal 2001, and cash is
then likely to begin accumulating, unless the Company decides to buy back
additional shares, finance an acquisition, or pursue other opportunities.

During the three months ended August 31, 2000 and August 31, 1999 net cash
provided by operating activities was $25.7 million and $33.4 million,
respectively.  The decrease in fiscal 2001 results mostly from lower
depreciation and an increase in accounts receivable.  During the three months
ended August 31, 2000 and August 31, 1999 net cash used in investing
activities was $7.6 million and $9.0 million, respectively.  This decrease is
primarily attributable to a lower level of payments for equipment purchases,
primarily in the data processing area, and increased proceeds from the sale of
equipment.  During the first three months of fiscal 2001 net cash used in
financing activities was $18.6 million, compared to $28.0 million in the first
three months of fiscal 2000, reflecting a decline in repayments of bank
borrowings, partially offset by the repurchase of $3.0 million of the Company
common stock in June 2001.

As of August 31, 2000, the Company has available a revolving line of credit of
$25.0 million, subject to certain borrowing base restrictions, to meet
equipment acquisition needs as well as working capital and general corporate
requirements.  The Company had borrowings of $6.1 million under the Credit
Facility at August 31, 2000.


Year 2000 Compliance

Many computer programs and microprocessors were designed and developed without
consideration of the impact of the transition to the year 2000. As a result,
these programs and microprocessors may not be able to differentiate between
the year "1900" and "2000"; the year 2000 may be recognized as the two-digit
number "00". If not corrected, this could have caused difficulties in
obtaining accurate system data and support.

The Company has purchased numerous computer systems since its inception. The
Company's owned software and hardware is substantially Year 2000 compliant.
The costs associated with such compliance were not material to the Company's
liquidity or results of operations. Further, the Company's critical third
party software was generally Year 2000 compliant, with minor issues, and was
capable of functioning after December 31, 1999.


Qualitative And Quantitative Market Risk Disclosures

Although not currently significant, the Company's primary market risk exposure
historically has been interest rate risk, primarily related to its borrowings
under its unsecured revolving credit facility. However, a changing interest
rate environment does not necessarily impact the Company's margins since the
effects of higher or lower borrowing costs may be reflected in the rates on
newly rented and leased assets.  The Company attempts to reduce this risk by
utilizing derivative financial instruments, namely interest rate caps and
swaps, pursuant to Company policies.  All derivative financial instruments are
for purposes other than trading.

The table below presents the principal (or notional) amounts of the Company's
bank borrowings and derivative financial instruments by expected maturity
dates.  The table reflects expected maturities as of August 31, 2000 and does
not reflect changes which could arise after that time.  There are no expected
maturities after May 31, 2001.  The Company's ultimate realized gain or loss
with respect to interest rate fluctuations will depend on exposures that arise
during the respective period, the Company's hedging strategies at the time, and
actual interest rates.

<TABLE>
<CAPTION>
                                           Year Ended        Fair
(in thousands except percentages)          May 31, 2001      Value
<S>                                <C>         <C>         <C>

 Bank Borrowings
    Principal amount(a)                      $   6,100   $    6,100
    Average interest rate(b)                     VR%
 Interest Rate SWAP
    Notional amount(c)                       $  25,000   $      100
    Rate to be paid by the Company               5.939%
    Rate to be received by the Company         3-month
                                                Libor
</TABLE>

(a) Bank borrowings consist of the Company's unsecured revolving line of
credit, which provided for total available credit of $40.0 million at August
31, 2000. Interest on the line of credit is payable in accordance with the
applicable London Interbank Offering Rate (LIBOR) agreement or quarterly, and
accrues, at the Company's option, either at the LIBOR plus margin (as defined)
or the Base Rate (as defined).

(b) Variable Rate (VR) based on LIBOR plus margin or Base Rate as defined in
the Credit Agreement.

(c) In December 1997, the Company entered into one 3-year floating rate to
fixed rate interest rate swap agreement in the notional amount of $25.0
million.

The Company is also subject to foreign currency rate risk relating to rentals
and leases denominated in Canadian dollars. The Company has determined that
hedging of these assets is not cost effective and instead attempts to minimize
currency exposure risk through working capital management. The Company does not
believe that any foreseeable change in currency rates would have a material
effect on its financial position or results of operations.
<PAGE>
Part II.  OTHER INFORMATION
----------------------------

Items 1. through 3.
----------------------------
      Nothing to report.


Item 4.  Submission of Matters to a Vote of Security Holders

       (a)   On October 12, 2000, the 2000 Annual Meeting of Shareholders of
the Registrant was held.  Proxies pursuant to Regulation 14A were solicited in
connection with the meeting.  22,319,913 shares were present in person or by
proxy out of a total of 24,341,611 shares issued and outstanding and eligible
to vote on the record date.

       (b)     The meeting involved the election of directors.  The following
directors were elected by the number of affirmative votes set opposite their
respective names:

Name                               Number of Votes

Gerald D. Barrone                  22,152,122
Nancy Y. Bekavac                   22,148,848
Daniel Greenberg                   22,227,946
Joseph J. Kearns                   22,152,122
S. Lee Kling                       22,152,122
Michael R. Peevey                  22,152,122
Will Richeson, Jr.                 22,148,956
William Weitzman                   22,151,388

       (c)     Other matters submitted to a vote of security holders:

The shareholders ratified the appointment of Arthur Andersen LLP as the
registrant's independent public accountants for the current year.  22,148,943
shares were voted for, 14,761 were voted against, and 120,659 shares abstained
from voting.



Item 5.
----------------------------
      Nothing to report.


Item 6.  Exhibits and Reports on Form 8-K
-------------------------------------------
      Nothing to report.

<PAGE>
                                  SIGNATURES
      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 thereto duly authorized.

                                         ELECTRO RENT CORPORATION

DATED:        October 12, 2000            /s/ Craig R. Jones

                                          Craig R. Jones
                                          Vice President and
                                          Chief Financial Officer

                                     Page 13
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