<PAGE>    1
                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                    FORM 10-Q

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

                  FOR THE QUARTERLY PERIOD ENDED MARCH 31, 1999

                                       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 333-16453

                              SHOP VAC CORPORATION
             (EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER)

          NEW JERSEY                                              13-5609081
  (STATE OR OTHER JURISDICTION                                 (I.R.S. EMPLOYER
OF INCORPORATION OR ORGANIZATION)                            IDENTIFICATION NO.)

                     2323 REACH ROAD, WILLIAMSPORT, PA 17701
                                 (570) 326-0502
          (ADDRESS AND TELEPHONE NUMBER OF PRINCIPAL EXECUTIVE OFFICES)


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,  and (2) has been subject to such filing  requirements
for the past 90 days. Yes [x] No [ ]

Common  Shares,  No Par Value,  Outstanding  at March 31,  1999 -- 6,500 Class A
voting and 650,000 Class B non-voting.


<PAGE>    2
                         PART I - FINANCIAL INFORMATION

Item 1.  Financial Statements

SHOP VAC CORPORATION AND SUBSIDIARIES

Condensed Consolidated Balance Sheet

(dollars in thousands)

<TABLE>
<CAPTION>
=========================================================================================================
Assets                                                              December 31, 1998      March 31, 1999
                                                                                            (Unaudited)
---------------------------------------------------------------------------------------------------------
<S>                                                                 <C>                    <C>      
Current assets:
   Cash and cash equivalents ....................................       $  45,531           $  46,783
   Receivables, less allowance for doubtful
      accounts of $1,377 in 1998 and $1,388
      in 1999 ...................................................          17,434              20,937
    Inventories (note 2) ........................................          14,375              13,928
    Prepaid expenses and other current assets ...................           1,129               1,093
    Deferred income taxes .......................................           5,539               5,701
---------------------------------------------------------------------------------------------------------
Total current assets ............................................          84,008              88,442
    Property, plant, and equipment, net .........................          26,977              27,825
    Deferred income taxes .......................................          10,479               9,368
    Other assets ................................................           4,586               4,474
---------------------------------------------------------------------------------------------------------
Total assets ....................................................       $ 126,050           $ 130,109
=========================================================================================================
Liabilities and Stockholders' Equity (Deficit)
---------------------------------------------------------------------------------------------------------
Current liabilities:
   Current portion of long-term debt ............................       $      31           $      31
    Accounts payable ............................................           8,479              10,947
    Accrued expenses ............................................          11,752              12,211
---------------------------------------------------------------------------------------------------------
Total current liabilities .......................................          20,262              23,189
Long-term debt ..................................................         100,008             100,000
Other liabilities ...............................................          13,030              12,409
---------------------------------------------------------------------------------------------------------
Total liabilities ...............................................       $ 133,300           $ 135,598
---------------------------------------------------------------------------------------------------------
Stockholders' equity (deficit):
    Common stock, Class A voting, no par,
       20,000 shares  authorized,  6,500 shares issued.  Class B
       non-voting,  no par, 1,000,000 shares authorized, 650,000
       shares issued ............................................              85                  85
    Paid in capital .............................................             110                 110
    Accumulated deficit .........................................          (6,702)             (5,047)
    Other comprehensive income - foreign currency
       translation adjustment ...................................            (743)               (637)
---------------------------------------------------------------------------------------------------------
Total stockholders' equity (deficit) ............................       $  (7,250)          $  (5,489)
---------------------------------------------------------------------------------------------------------
Total liabilities and stockholders' equity (deficit) ............       $ 126,050           $ 130,109
---------------------------------------------------------------------------------------------------------
See accompanying notes to condensed consolidated financial statements.
</TABLE>

                                        1

<PAGE>    3
SHOP VAC CORPORATION AND SUBSIDIARIES

Condensed Consolidated Statements of Operations

(Unaudited)

(dollars in thousands)

<TABLE>
<CAPTION>
===================================================================================
                                                              Three months ended
                                                                    March 31,
-----------------------------------------------------------------------------------
                                                              1998           1999
-----------------------------------------------------------------------------------
<S>                                                        <C>            <C>     
Net sales .............................................    $ 48,677       $ 42,820

Cost of sales .........................................      34,651         29,123
-----------------------------------------------------------------------------------
Gross profit ..........................................      14,026         13,697
Selling, general and administrative expense ...........       9,848          8,726
-----------------------------------------------------------------------------------
Income from operations ................................       4,178          4,971

Interest expense, net .................................       2,590          2,263
Other expense (income), net ...........................         (16)           (78)
-----------------------------------------------------------------------------------
Income before income taxes ............................       1,604          2,786

Income tax expense ....................................         829          1,131
-----------------------------------------------------------------------------------
Net income ............................................    $    775       $  1,655
===================================================================================
</TABLE>
<TABLE>
<CAPTION>
===================================================================================
Comprehensive Income
===================================================================================
<S>                                                        <C>            <C>     
Net income ............................................    $    775       $  1,655

Other comprehensive income (loss):
   Foreign currency translation adjustment ............        (327)           106
-----------------------------------------------------------------------------------
Comprehensive income ..................................    $    448       $  1,761
===================================================================================
</TABLE>

See accompanying notes to condensed consolidated financial statements.






                                                                     (Continued)

                                        2

<PAGE>    4
SHOP VAC CORPORATION AND SUBSIDIARIES

Condensed Consolidated Statement of Cash Flows (Unaudited)

(dollars in thousands)

<TABLE>
<CAPTION>
=============================================================================================
                                                                        Three months ended
                                                                             March 31,
---------------------------------------------------------------------------------------------
                                                                        1998           1999
---------------------------------------------------------------------------------------------
<S>                                                                  <C>            <C>     
Cash flows from operating activities:
    Net income ..................................................    $    775       $  1,655
    Adjustments to reconcile net income to net
       cash provided (used) by operating activities:
        Depreciation and amortization ...........................       1,371          1,148
        Amortization included in interest expense ...............         146            146
        Restructuring charges ...................................         (45)          --
        Changes in assets and liabilities:
           Accounts and notes receivable ........................         896         (3,477)
           Inventories ..........................................      (3,126)           499
           Prepaid expenses and other current assets ............        (279)           (44)
           Other assets .........................................         (28)          (105)
           Deferred income taxes ................................         640            950
           Accounts payable and accrued expenses ................      (6,361)         1,346
           Other liabilities ....................................         765          1,079
---------------------------------------------------------------------------------------------
Net cash provided (used) by continuing operations ...............      (5,246)         3,197
Net cash used by discontinued operations ........................        (398)          (139)
---------------------------------------------------------------------------------------------
Net cash provided (used) by operating activities ................      (5,644)         3,058
---------------------------------------------------------------------------------------------
Cash flows from investing activities:
        Capital expenditures ....................................      (1,598)        (1,828)
---------------------------------------------------------------------------------------------
Net cash used by investing activities ...........................      (1,598)        (1,828)
---------------------------------------------------------------------------------------------
Cash flows from financing activities:
    Proceeds from revolving line-of-credit, net .................          --             --
    Long-term debt and capital lease payments ...................        (478)            (8)
---------------------------------------------------------------------------------------------
Net cash used by financing activities ...........................        (478)            (8)
---------------------------------------------------------------------------------------------
Effect of exchange rate changes on cash .........................         (34)            30
---------------------------------------------------------------------------------------------
Net increase (decrease) in cash and cash equivalents ............      (7,754)         1,252
Cash and cash equivalents, beginning of year ....................      34,450         45,531
---------------------------------------------------------------------------------------------
Cash and cash equivalents, end of quarter .......................      26,696         46,783
---------------------------------------------------------------------------------------------
Supplemental cash flow information:
    Cash paid for interest ......................................       5,128          4,816
    Cash paid for income taxes ..................................         141            318
---------------------------------------------------------------------------------------------
</TABLE>

See accompanying notes to condensed consolidated financial statements.



                                        3

<PAGE>    5
SHOP VAC CORPORATION AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

(dollars in thousands)

(1)     The accompanying  interim unaudited  consolidated  financial  statements
        include  the  accounts  of Shop Vac  Corporation  and its  wholly  owned
        subsidiaries (the "Company"). All intercompany accounts and transactions
        are eliminated in consolidation.

        These  financial  statements  have  been  prepared  in  accordance  with
        generally   accepted   accounting   principles  for  interim   financial
        information  and with the  instructions  to Form 10-Q and  Article 10 of
        Regulation S-X. Accordingly,  they do not include all of the information
        and footnotes required by generally accepted  accounting  principles for
        complete  financial  statements.  In the  opinion  of  management,  such
        interim  statements  reflect  all  adjustments   (consisting  of  normal
        recurring  accruals)  necessary to present fairly the financial position
        and the results of  operations  and cash flows for the  interim  periods
        presented.  The results of  operations  for the interim  periods are not
        necessarily  indicative of the results to be expected for the full year.
        These  financial  statements  should  be read in  conjunction  with  the
        audited consolidated  financial statements and footnotes included in the
        Company's  Annual  Report on Form 10-K dated March 16, 1999 for the year
        ended December 31, 1998.

(2)     Inventories are classified as follows:

<TABLE>
<CAPTION>
================================================================================
                                           December 31, 1998      March 31, 1999
                                                                    (Unaudited)
--------------------------------------------------------------------------------
<S>                                        <C>                    <C>    
Raw materials ..........................       $ 5,551               $ 6,251
Work-in-process ........................         5,674                 4,640
Finished goods .........................         3,150                 3,037
--------------------------------------------------------------------------------
                                               $14,375               $13,928
================================================================================
</TABLE>























                                        4

<PAGE>    6
SHOP VAC CORPORATION AND SUBSIDIARIES

Item 2.  MANAGEMENT'S  DISCUSSION  AND ANALYSIS OF FINANCIAL  CONDITION AND
         RESULTS OF OPERATIONS

RESULTS OF OPERATIONS

On May 28, 1998,  the Company  completed the sale of its European  operations to
Glen  Dimplex and  certain of its  affiliates.  Shop Vac sold its capital  stock
ownership in most of the European  subsidiaries and the businesses of the French
Branch  operation and its German  subsidiary.  Amounts  reported  herein for the
first quarter of 1998 include the European operations.

Net sales in the three  months  ended March 31, 1999 totaled  $42.8  million,  a
decrease of $5.9  million or 12.0%  compared to the three months ended March 31,
1998.  Net sales were lower than the prior year due to the sale of the  European
Group,  which  decline  was  partially  offset by  increased  sales in the North
American Group.

Gross profit in the three months ended March 31, 1999 totaled $13.7  million,  a
decrease of  approximately  $300,000 or 2.4% when  compared to the three  months
ended March 31, 1998.  Gross profit as a percentage of net sales  increased from
28.8% in the three  months  ended  March 31,  1998 to 32.0% in the three  months
ended March 31, 1999. This  improvement  was due to continued cost  improvements
and the increase in sales in North America.

Selling,  general and  administrative  ("SG&A")  expense was $8.7 million in the
three  months ended March 31,  1999,  a decrease of  approximately  $1.1 million
compared to the three months ended March 31, 1998.  SG&A expense as a percentage
of net  sales  increased  from  20.2%  in the 1998  period  to 20.4% in the 1999
period.  Decreases in SG&A expenses were  primarily  due to the  elimination  of
operating  expenses of the European  Group that was sold in May, 1998  partially
offset by increased advertising expenses in the North American Group.

Income from  operations  was $5.0 million in the first quarter of 1999 which was
an increase of $800,000 or 19.0% compared to the first quarter of 1998.

Net interest  expense was $2.3 million in the three months ended March 31, 1999,
a decrease of $300,000 or approximately 12.6% compared to the three months ended
March 31, 1998. The lower net interest expense was due to reduced borrowings and
increased interest income on higher cash investments.

Income  tax  expense  for the  three  months  ended  March  31,  1999  increased
approximately $300,000 compared to income tax expense for the three months ended
March 31,  1998,  due to  increased  pretax  earnings.  The  effective  tax rate
decreased from 51.6% in 1998 to 40.6% in 1999. This decrease is primarily due to
losses in European jurisdictions in 1998 for which no tax benefit was available.

LIQUIDITY AND CAPITAL RESOURCES

During the three months ended March 31, 1999 cash and cash equivalents increased
from $45.5 million to $46.8 million due to cash provided by operating activities
($3.1  million)  partially  offset by cash used for capital  expenditures  ($1.8
million).

The  Company  believes  that  it  will  be able  to  satisfy  its  debt  service
requirements  and its working capital  expenditure  requirements  from operating
cash flows.

On May 14, 1999 the Company  announced  that it has commenced a tender offer and
consent  solicitation  for all of its 10 5/8% Senior Secured Notes due 2003. The
Company  plans to use the  proceeds of a new bank credit  facility  and its cash
balances to fund the purchase of the Notes.

YEAR 2000 STATUS

The  Company is in the  process of  changing  computer  hardware  platforms  and
application  software for its business management systems.  The new software has
been  installed and tested to be century  compliant.  The  conversion to the new
system is expected to be completed during the third quarter of 1999.



                                        5

<PAGE>    7
The Company has also reviewed its systems other than business management systems
to identify and assess  operational  issues that may result from date  sensitive
equipment and has made the required  modifications to most of these systems. The
Company  expects to complete  remaining  modifications  by the third  quarter of
1999.

The Company is in the process of contacting its significant suppliers and larger
customers to determine  the extent to which the Company is  vulnerable  to third
party compliance with Year 2000 issues.

Through the first quarter of 1999 the Company has spent  approximately  $250,000
to address the Year 2000 issues. The Company believes that the total cost of its
Year 2000 identification,  assessment,  remediation and testing efforts will not
exceed $500,000 which will be funded from operating cash flows.

A contingency  plan has not been developed for dealing with the most  reasonably
likely worst case scenario with respect to the Y2K issue. The Company's  failure
to correct or develop an adequate  contingency  plan to mitigate a material  Y2K
problem,  including  problems  experienced  by  suppliers,  could  result  in an
interruption in normal business activities or operations.  However,  the Company
expects that its efforts to address Year 2000 issues that will allow the Company
to  complete  a  successful   transition  for  the  Year  2000.  This  statement
constitutes a Year 2000 readiness disclosure by Shop Vac Corporation,  under the
Year 2000 Information and Readiness Disclosure Act.

FORWARD-LOOKING INFORMATION -- RISK FACTORS

     To the extent the Registrant has made "forward-looking statements," certain
risk factors could cause results to differ  materially from those anticipated in
such  forward-looking  statements.  Competition from new entrants in the wet/dry
vacuum market or the loss of significant  customers could  adversely  effect the
Company's  share of the wet/dry vacuum  market.  Increases in raw material costs
could adversely impact the future  profitability  of the Company.  The Company's
ability to  successfully  address Year 2000 issues could also  adversely  impact
future profits. Overall anticipated performance of the Company could be affected
by any serious economic downturns in the United States.




























                                        6

<PAGE>    8
                           PART II - OTHER INFORMATION


Items 1 - 5.  NOT APPLICABLE

Item 6.  EXHIBITS AND REPORTS ON FORM 8-K

A.   Exhibits

27.1    Financial Data Schedule

B.  Reports on Form 8-K

No reports on Form 8-K have been filed during the quarter ended March 31, 1999.

                                   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.


                              SHOP VAC CORPORATION



                                 By   /s/ David A. Grill
                                   -------------------------
                                         David A. Grill
                                       Vice President and
                                     Chief Financial Officer

Date:  May 14, 1999

                                        7