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

                                 FORM 10-Q

     (Mark One)
(X)   Quarterly Report Under Section 13 or 15(D) of The Securities Exchange
      Act of 1934 For Quarter Ended March 31, 2000

                       OR

( )  Transition Report Pursuant to Section 13 or 15(d) of The  Securities
     Exchange Act of 1934

                       Commission File Number 0-275

                              Allen Organ Company
          (Exact name of registrant as specified in its charter)



     Pennsylvania                       23-1263194
  (State of Incorporation)      (I.R.S. Employer Identification No.)



  150 Locust Street, P. O. Box 36, Macungie, Pennsylvania      18062-0036
  (Address of principal executive offices)                     (Zip Code)



Registrant's telephone number, including area code           610-966-2200


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 _____

Number of shares outstanding of each of the issuer's classes of common
stock, as of May 1, 2000:

                    Class A - Voting          84,002  shares
                    Class B - Non-voting   1,086,613  shares
<PAGE>
                            ALLEN ORGAN COMPANY

                                   INDEX


Part I  Financial Information

   Item 1.Financial Statements

          Consolidated Condensed Statements of Income for the three months
          ended March 31, 2000 and 1999

          Consolidated Condensed Balance Sheets at March 31, 2000 and
          December 31, 1999

          Consolidated Condensed Statements of Cash Flows for the three
          months ended March 31, 2000 and 1999

          Notes to Consolidated Condensed Financial Statements

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

Part II    Other Information

   Item 5 Other Information
   Item 6.Exhibits and Reports on Form 8-K

   Signatures
<PAGE>
PART I  FINANCIAL INFORMATION
   ITEM 1.FINANCIAL STATEMENTS

                   ALLEN ORGAN COMPANY AND SUBSIDIARIES
                CONSOLIDATED CONDENSED STATEMENTS OF INCOME
                                (Unaudited)


                                                  For the 3 Months Ended:
                                                3/31/2000          3/31/1999


          Net Sales                            $16,808,032         $11,699,573

          Costs and Expenses
            Costs of sales                       9,854,404           8,062,214
            Selling, general and
             administrative                      4,256,717           3,117,433
            Research and development             1,687,055             984,383
              Total Costs and Expenses          15,798,176          12,164,030

          Income (Loss) from Operations          1,009,856            (464,457)

          Other Income and (Expense)
           Interest and other income               267,395             250,466
           Minority interests in
             consolidated subsidiaries              34,601              10,360
              Total Other Income and Expense       301,996             260,826

          Income (Loss) Before Taxes             1,311,852            (203,631)

          Provision for Taxes                      442,000             (67,000)

          Net Income (Loss)                    $   869,852         $  (136,631)

          Basic and Diluted Earnings
          (Loss) Per Share                     $      0.74         $     (0.12)

          Shares Used in Per Share Calculation   1,170,627           1,170,743

          Dividends Per Share - Cash                 $0.14               $0.14

          Total Comprehensive Income (Loss)    $   969,417         $  (184,226)


                          See accompanying notes.
<PAGE>
                   ALLEN ORGAN COMPANY AND SUBSIDIARIES
                   CONSOLIDATED CONDENSED BALANCE SHEETS
                                                         March 31,      Dec 31,
                     ASSETS                                2000          1999
                                                       (Unaudited)    (Audited)
Current Assets
  Cash                                               $  3,078,903  $   209,277
  Investments Including Accrued Interest               17,893,949   19,649,433
  Accounts Receivable, net of reserves of
   $343,097 and $300,823, respectively                  7,327,769   10,444,430
  Inventories:
     Raw Materials                                      6,435,860    5,996,302
     Work in Process                                    5,755,164    4,803,969
     Finished Goods                                     6,448,975    5,915,057
      Total Inventories                                18,639,999   16,715,328
  Prepaid Expenses                                        367,135      287,138
  Deferred Income Tax Benefits                            658,869      658,869
     Total Current Assets                              47,966,624   47,964,475
Property, Plant and Equipment                          24,006,175   23,113,797
  Less Accumulated Depreciation                       (12,027,359) (11,684,624)
     Total Property, Plant and Equipment               11,978,816   11,429,173
Other Assets
  Deferred Income Taxes                                    83,486      122,742
  Prepaid Pension Costs                                   427,041      470,154
  Inventory Held for Future Service                       721,596      733,301
  Note Receivable                                       1,516,759    1,111,147
  Cash Value of Life Insurance                          1,721,497    1,721,497
  Goodwill, net                                         3,996,953    3,872,441
  Other Assets                                             37,500       41,140
     Total Other Assets                                 8,504,832    8,072,422
     Total Assets                                     $68,450,272  $67,466,070

         LIABILITIES AND STOCKHOLDERS' EQUITY

LIABILITIES
Current Liabilities
  Accounts Payable                                    $ 3,176,285  $ 3,593,708
  Accrued Income Taxes                                    970,182      683,133
  Other Accrued Expenses                                2,363,943    1,927,156
  Customer Deposits                                     1,463,263    1,585,196
     Total Current Liabilities                          7,973,673    7,789,193
Noncurrent Liabilities
  Deferred and Other Noncurrent Liabilities               212,440      179,915
     Total Liabilities                                  8,186,113    7,969,108
Minority Interests                                        140,670      175,271

STOCKHOLDERS' EQUITY
  Common Stock     2000               1999
     Class A   127,232 shares;   127,232 shares           127,232      127,232
     Class B 1,410,761 shares; 1,410,761 shares         1,410,761    1,410,761
  Capital in Excess of Par Value                       12,758,610   12,758,610
  Retained Earnings
     Balance, Beginning                                56,677,650   54,448,760
     Net Income                                           869,852    2,884,488
     Dividends - Cash 2000 and 1999                      (163,887)    (655,598)
     Balance, End                                      57,383,615   56,677,650
  Accumulated other comprehensive income:
     Unrealized Gain on Investments                       421,965      322,400
       Sub-total                                       57,805,580   71,296,653
  Treasury Stock
     2000-43,230 Class A shares;324,148 Class B shares(11,978,694)      --
     1999-43,230 Class A shares;324,052 Class B shares      --     (11,974,962)
  Total Stockholders' Equity                           60,123,489   59,321,691
  Total Liabilities and Stockholders' Equity          $68,450,272  $67,466,070

                          See accompanying notes.
<PAGE>
                   ALLEN ORGAN COMPANY AND SUBSIDIARIES
              CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS
                                (Unaudited)

                                                       For the 3 Months Ended:
                                                      3/31/2000      3/31/1999
  CASH FLOWS FROM OPERATING ACTIVITIES
   Net income (loss)                                 $  869,852    $ (136,631)

   Adjustments to reconcile net income (loss)
   to net cash provided by operating activities
     Depreciation and amortization                      520,171       405,135
     Minority interest in consolidated subsidiaries     (34,601)      (10,360)
   Change in assets and liabilities
     Accounts receivable                              3,116,661      (766,062)
     Inventories                                     (1,912,966)      335,744
     Prepaid income taxes                                 --           50,138
     Prepaid expenses                                   (79,997)     (140,623)
     Prepaid pension costs                               43,113        43,116
     Deferred income tax benefits                         --          (55,830)
     Other assets                                         3,640           --
     Accounts payable                                  (417,423)      (20,768)
     Accrued income taxes                               287,049           --
     Accrued expenses                                   436,787       271,364
     Customer deposits                                 (121,933)      (91,611)
     Deferred and other noncurrent liabilities           32,525        78,954
       Net Cash Provided by (Used In)
        Operating Activities                          2,742,878       (37,434)

  CASH FLOW FROM INVESTING ACTIVITIES
     Increase in note receivable                       (405,612)     (411,202)
     Net additions to plant and equipment              (916,522)   (1,014,501)
     Additions to goodwill                             (277,804)     (324,255)
     Net sale of short term investments               1,894,305     1,699,910
       Net Cash Provided by (Used In)
        Investing Activities                            294,367       (50,048)

  CASH FLOWS FROM FINANCING ACTIVITIES
     Reacquired Class A common shares                      --          (3,959)
     Reacquired Class B common shares                    (3,732)          --
     Dividends paid in cash                            (163,887)     (163,900)
       Net Cash Used In Financing Activities           (167,619)     (167,859)

  NET INCREASE (DECREASE) IN CASH                     2,869,626      (255,341)

  CASH, BEGINNING                                       209,277     1,727,554

  CASH, ENDING                                       $3,078,903    $1,472,213

            SUPPLEMENTAL DISCLOSURES OF CASH FLOWS INFORMATION
  Cash paid for:
     Income Taxes                                    $  169,750    $   62,400
     Interest                                        $    --       $      --


                          See accompanying notes.
<PAGE>
                   ALLEN ORGAN COMPANY AND SUBSIDIARIES

NOTES TO CONSOLIDATED CONDENSED FINANCIAL STATEMENTS

1. Interim Financial Statements
   The  results of operations for the interim periods shown in this  report
   are  not necessarily indicative of results to be expected for the fiscal
   year.   In  the opinion of management, the information contained  herein
   reflects  all  adjustments necessary to make the results  of  operations
   for  the interim periods a fair statement of such operations.  All  such
   adjustments are of a normal recurring nature.

   Certain notes and other information have been condensed or omitted  from
   the  interim financial statements presented in the Quarterly  Report  on
   Form  10-Q.   Therefore, these financial statements should  be  read  in
   conjunction with the Company's 1999 Annual Report on Form 10-K.

ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITIONS AND
RESULTS OF OPERATIONS.

Liquidity and Capital Resources:
    Cash  flows from operating activities increased during the three  month
period  ended  March 31, 2000, due to higher net income  and  decreases  in
accounts   receivable   primarily  in  the  Data  Communications   segment.
Inventory   increased  approximately  $731,000,  $1,058,000  and   $135,000
respectively  in  the  Musical Instruments, Data Communications  and  Audio
Equipment segments during the three months ended March 31, 2000.

    Cash flows from investing activities were used to purchase property and
equipment including approximately $625,000 in new computer, office and test
equipment  to support the growth of the Data Communications segment  during
the three months ended March 31, 2000.

Results of Operations:

Sales and Operating Income

                                                For the 3 Months Ended:
                                               3/31/2000       3/31/1999
      Net Sales to Unaffiliated Customers
              Musical Instruments            $ 6,671,347     $ 6,214,558
              Data Communications              8,058,089       3,734,009
              Electronic Assemblies            1,503,855       1,212,746
              Audio Equipment                    574,741         538,260
               Total                         $16,808,032     $11,699,573

      Intersegment Sales
              Musical Instruments            $    74,042     $    25,312
              Data Communications                    --              850
              Electronic Assemblies               15,577          37,742
              Audio Equipment                      1,182          31,081
               Total                         $    90,801     $    94,985

      Income (Loss) from Operations
              Musical Instruments            $ 1,070,625     $   439,642
              Data Communications                 59,832        (936,897)
              Electronic Assemblies              127,425          91,829
              Audio Equipment                   (248,026)        (59,031)
               Total                         $ 1,009,856     $  (464,457)

Musical Instruments Segment
    Sales increased $456,789 in the first quarter of 2000 when compared  to
the same period in 1999.  This increase is due to higher order volume and a
decrease  in the order backlog.  The order backlog continues to  be  higher
than the same period in 1999.

   Gross profit margins increased to 37.1% of sales in the first quarter of
2000 from 27.9% in the same period in 1999.  This increase is primarily due
to higher sales over which to absorb fixed costs and  savings related to
the  closure  of  the  Rocky Mount, NC manufacturing plant,  at  which  the
Company ceased operations on March 31, 1999.

     Selling,   general  and  administrative  expenses  and  research   and
development  expenditures  increased slightly when  compared  to  the  same
period in 1999.

Data Communications Segment
    This  segments sales in the first quarter of 2000 increased  $4,324,080
when  compared  to the same period in 1999.  Eastern Research,  Inc.  (ERI)
sales  increased  approximately $3,347,000  to  $6,409,000  for  the  first
quarter of 2000.  ERI increased its incoming order volume by expanding  its
customer  base and shipping products under OEM agreements with  other  data
communication equipment suppliers.  VIR Linear Switch (VIR) sales increased
approximately $977,000 to $1,649,000 in the first quarter of  2000.   VIR's
sales  increased primarily due to higher sales of its new TAS DS1  and  DS3
products.

    Gross  profit margins in the first quarter of 2000 increased  to  49.8%
compared  to 38.8% in the same period of 1999 due to higher sales of  ERI's
DNX product line and VIR's TAS DS1 and DS3 products.

    Sales and marketing expenditures increased approximately $790,000 (70%)
in  the  first  quarter of 2000 when compared to the same period  in  1999,
reflecting additional sales and marketing efforts initiated to continue  to
promote  the segments products, obtain additional market share and  develop
new channels of distribution.

    General  and  administrative expenses increased approximately  $187,000
(35%)  in  the  first quarter of 2000 when compared to the same  period  in
1999,  primarily  related to additional management  and  support  personnel
added at Eastern Research to support its growth.

   Research and development expenses increased approximately $593,000 (83%)
in  the  first  quarter of 2000 when compared to the same period  in  1999.
These  expenditures will continue to increase in the future reflecting  the
commitment to new product development and support.

Electronic Assemblies Segment
    Sales  for the first quarter of 2000 increased $291,109 over  the  same
period  in 1999 from higher order volume.  The gross profit percentage  was
15% and 16.5% in the first quarter of 2000 and 1999 respectively.  Selling,
general and administrative expenses decreased slightly when compared to the
same period in 1999.

Audio Equipment Segment
   Sales for the first quarter of 2000 were approximately equal to the same
period  in  1999.   Gross  profit margins in  the  first  quarter  of  2000
decreased  to  37.1%  as compared to 43.2% for the  same  period  in  1999,
primarily  due  to  additional  costs  associated  with  the  start  up  of
production of Legacy Audio's new home theater product line introduced  late
in 1999.

    Selling,  general and administrative costs for the period increased  in
the  first  quarter of 2000 when compared to the same period in  1999  from
higher sales and marketing expenditures.

Other Income and Expense
    Investment  income  for  the three months  ended  March  31,  2000  was
approximately equal to the same period in 1999.

Factors that May Affect Operating Results
   The statements contained in this report on Form 10-Q that are not purely
historical are forward looking statements within the meaning of Section 27A
of  the  Securities Act of 1933 and Section 21E of the Securities  Exchange
Act  of  1934,  including statements regarding the Company's  expectations,
hopes,  intentions  or  strategies regarding the future.   Forward  looking
statements  include:   statements  regarding  future  products  or  product
development; statements regarding future research and development spending;
the  Company's  marketing and product development strategy  and  statements
regarding  future  production  capacity.  All  forward  looking  statements
included in this document are based on information available to the Company
on  the  date hereof, and the Company assumes no obligation to  update  any
such  forward  looking  statements.  It  is  important  to  note  that  the
Company's actual results could differ materially from those in such forward
looking statements.  Some of the factors that could cause actual results to
differ materially are set forth below.

    The  Company  has  experienced and expects to  continue  to  experience
fluctuations  in  its  results  of operations.   Factors  that  affect  the
Company's  results of operations include the volume and  timing  of  orders
received,  changes  in the mix of products sold, market acceptance  of  the
Company's  and  its  customer's  products, competitive  pricing  pressures,
global  currency  valuations,  the Company's  ability  to  meet  increasing
demand, the Company's ability to introduce new products on a timely  basis,
the timing of new product announcements and introductions by the Company or
its  competitors,  changing customer requirements, delays  in  new  product
qualifications, the timing and extent of research and development  expenses
and fluctuations in manufacturing yields.  As a result of the foregoing  or
other  factors,  there  can  be no assurance  that  the  Company  will  not
experience material fluctuations in future operating results on a quarterly
or  annual basis, which would materially and adversely affect the Company's
business, financial condition and results of operations.

PART II    OTHER INFORMATION
  Item 5.  Other Information
   Leonard  W.  Helfrich  who has served as Vice-President  and  Secretary,
   retired  on March 31, 2000.  He will continue to serve on the  Board  of
   Directors.

  Item 6.  Exhibits and Reports on Form 8-K

   (b)  Forms 8-K
               1.   The Company filed a Form 8-K dated March 7, 2000
          announcing that it is exploring strategic alternatives for its
          subsidiary Eastern Research, Inc.


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 thereunto duly authorized.

                                           Allen Organ Company
                                              (Registrant)


Date:  May 2, 2000                      /s/ STEVEN MARKOWITZ
                                        Steven Markowitz, President and
                                        Chief Executive Officer


Date:  May 2, 2000                      /s/ NATHAN S. ECKHART
                                        Nathan S. Eckhart, Treasurer,
                                        Secretary and Principal
                                        Accounting Officer