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

                                   ----------


                                    FORM 10-Q

(Mark One)

___X___ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the quarterly period ended December 31, 2000
                               -----------------

                                       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: 0-27202

                      ADVANCED LIGHTING TECHNOLOGIES, INC.
             ------------------------------------------------------
             (Exact name of registrant as specified in its charter)

<TABLE>
<CAPTION>
<S>                                                              <C>
                                OHIO                                                    34-1803229
-------------------------------------------------------------------------------------------------------------------
(State or other jurisdiction of incorporation or organization)   (I.R.S. Employer Identification No.)

                 32000 AURORA ROAD, SOLON, OHIO                                            44139
-------------------------------------------------------------------------------------------------------------------
         (Address of principal executive offices)                                       (Zip Code)
</TABLE>

                                 440 / 519-0500
--------------------------------------------------------------------------------
              (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
                                      -------   -------
There were 23,227,950 shares of the Registrant's Common Stock, $.001 par value
per share, outstanding as of January 20, 2001.


<PAGE>   2



                                      INDEX

                      ADVANCED LIGHTING TECHNOLOGIES, INC.

<TABLE>
<CAPTION>
                                                                                               PAGE
                                                                                               NO.

<S>                                                                                             <C>
PART I            FINANCIAL INFORMATION

Item 1.           Financial Statements (Unaudited)

                        Condensed Consolidated Balance Sheets --
                           December 31, 2000 and June 30, 2000...............................   2

                      Condensed Consolidated Statements of Income --
                           Three months and six months
                           ended December 31, 2000 and 1999..................................   3

                      Condensed Statement of Consolidated Shareholders' Equity --
                           Six months ended December 31, 2000................................   4

                      Condensed Consolidated Statements of Cash Flows --
                           Six months ended December 31, 2000 and 1999.......................   5

                      Notes to Condensed Consolidated Financial Statements...................   6

Item 2.           Management's Discussion and Analysis of Financial Condition
                         and Results of Operations...........................................   14

Item 3.           Quantitative and Qualitative Disclosures about Market Risk.................   27


PART II           OTHER INFORMATION

Item 2.           Changes in Securities and Use of Proceeds..................................   28

Item 4.           Submission of Matters to a Vote of Security Holders........................   28

Item 5.           Other Information..........................................................   28

Item 6.           Exhibits and Reports on Form 8-K...........................................   29

SIGNATURES...................................................................................   31

EXHIBIT INDEX................................................................................   32
</TABLE>




<PAGE>   3


                      ADVANCED LIGHTING TECHNOLOGIES, INC.
                      CONDENSED CONSOLIDATED BALANCE SHEETS

                    (in thousands, except per share amounts)

<TABLE>
<CAPTION>
                                                                                   (Unaudited)       (Audited)
                                                                                   DECEMBER 31,      JUNE 30,
                                                                                        2000           2000
                                                                                   ------------    ------------
<S>                                                                                <C>             <C>
ASSETS
Current assets:
   Cash and cash equivalents                                                       $      3,306    $      3,890
   Trade receivables, less allowances of $1,201 and $1,129                               34,110          31,983
   Inventories:
      Finished goods                                                                     24,357          26,532
      Raw materials and work-in-process                                                  21,646          21,930
                                                                                   ------------    ------------
                                                                                         46,003          48,462
   Prepaid expenses                                                                       2,565           1,881
                                                                                   ------------    ------------
Total current assets                                                                     85,984          86,216

Property, plant and equipment:
   Land and buildings                                                                    44,209          44,187
   Production machinery and equipment                                                    74,365          62,323
   Other equipment                                                                        2,858           5,077
   Furniture and fixtures                                                                21,380          20,893
                                                                                   ------------    ------------
                                                                                        142,812         132,480
   Less accumulated depreciation                                                         27,455          23,317
                                                                                   ------------    ------------
                                                                                        115,357         109,163

Receivables from related parties                                                          2,952           3,755
Investments in affiliates                                                                14,225          14,251
Other assets                                                                              6,780           7,037
Intangible assets                                                                        31,305          31,791
Excess of cost over net assets of businesses acquired, net                               51,429          52,262
                                                                                   ------------    ------------
                                                                                   $    308,032    $    304,475
                                                                                   ============    ============

LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
   Short-term debt and current portion of long-term debt                           $      6,635    $      7,097
   Accounts payable                                                                      15,969          20,389
   Payables to related parties                                                              954           2,639
   Employee-related liabilities                                                           3,280           3,913
   Accrued income and other taxes                                                         1,718           1,436
   Other accrued expenses                                                                 8,957          10,793
                                                                                   ------------    ------------
Total current liabilities                                                                37,513          46,267

Long-term debt                                                                          149,451         158,110
Minority interest                                                                           340             316
Preferred stock, $.001 par value, per share; 1,000 shares authorized;
  761 Series A convertible redeemable shares issued  and outstanding at
  December 31, 2000 (redemption value -- $22,621 at December 31, 2000)                   18,257          16,999

Shareholders' equity

   Common stock, $.001 par value, 80,000 shares authorized, 23,227 shares issued
       and outstanding as of December 31, 2000
       and 20,482 shares issued and outstanding as of June 30, 2000                          23              20
   Paid-in-capital                                                                      217,940         195,786
   Accumulated other comprehensive income (loss)                                         (3,588)         (2,659)
   Loan receivable from officer                                                         (11,807)         (9,528)
   Retained earnings (deficit)                                                         (100,097)       (100,836)
                                                                                   ------------    ------------
                                                                                        102,471          82,783
                                                                                   ------------    ------------
                                                                                   $    308,032    $    304,475
                                                                                   ============    ============
</TABLE>

See notes to condensed consolidated financial statements

                                        2


<PAGE>   4



                      ADVANCED LIGHTING TECHNOLOGIES, INC.

             CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

                 (In thousands, except per share dollar amounts)

<TABLE>
<CAPTION>
                                                             THREE MONTHS ENDED               SIX MONTHS ENDED
                                                                  DECEMBER 31,                   DECEMBER 31,
                                                         ----------------------------    ----------------------------
                                                             2000            1999              2000            1999
                                                         ------------    ------------    ------------    ------------

<S>                                                      <C>             <C>             <C>             <C>
Net sales                                                $     55,974    $     59,885    $    108,838    $    116,065

Costs and expenses:
   Cost of sales                                               33,663          36,852          65,552          71,696
   Marketing and selling                                       10,634          10,617          20,704          20,792
   Research and development                                     3,092           3,483           6,583           6,978
   General and administrative                                   3,301           4,086           7,008           8,121
   Amortization of intangible assets                              706             672           1,409           1,347
                                                         ------------    ------------    ------------    ------------
Income from operations                                          4,578           4,175           7,582           7,131

Other income (expense):
   Interest expense                                            (3,463)         (3,323)         (7,227)         (7,113)
   Interest income                                                263             214             487             434
   Income (loss) from equity investments                          (21)             35              18              85
                                                         ------------    ------------    ------------    ------------

Income before income taxes and minority interest                1,357           1,101             860             537
Income taxes                                                       77             121              97             339
                                                         ------------    ------------    ------------    ------------

Income before minority interest                                 1,280             980             763             198
Minority interest in income of consolidated subsidiary            (20)           --               (24)           --
                                                         ------------    ------------    ------------    ------------

Net income                                               $      1,260    $        980    $        739    $        198
                                                         ============    ============    ============    ============


Earnings (loss) per share:
   Basic                                                 $       (.21)   $        .02    $       (.27)   $       (.02)
                                                         ============    ============    ============    ============

   Diluted                                               $       (.20)   $        .02    $       (.27)   $       (.02)
                                                         ============    ============    ============    ============

Weighted average shares outstanding:

   Basic                                                       22,343          20,351          21,655          20,318
                                                         ============    ============    ============    ============

   Diluted                                                     23,454          21,297          21,655          20,318
                                                         ============    ============    ============    ============
</TABLE>



See notes to condensed consolidated financial statements

                                        3


<PAGE>   5



                      ADVANCED LIGHTING TECHNOLOGIES, INC.

      CONDENSED STATEMENT OF CONSOLIDATED SHAREHOLDERS' EQUITY (UNAUDITED)

                       SIX MONTHS ENDED DECEMBER 31, 2000

                                 (in thousands)

<TABLE>
<CAPTION>
                                                                                                           ACCUMULATED
                                                   COMMON STOCK                          COMPREHENSIVE       OTHER
                               PREFERRED     ------------------------      PAID-IN          INCOME         COMPREHENSIVE
                                 STOCK        SHARES      PAR VALUE       CAPITAL          (LOSS)         INCOME (LOSS)
                               -----------   ----------   -----------   -------------  ----------------  ---------------

<S>                               <C>           <C>           <C>           <C>            <C>                 <C>
Balance at July 1, 2000        $   16,999       20,482    $       20    $    195,786                     $      (2,659)

Net income                              -            -             -               -   $           739                -

Net proceeds from public
  offering of common shares             -        1,700             2          22,898                 -                -

Preferred shares accretion          1,258            -             -          (1,258)                -                -

Value of beneficial conversion
  option of preferred shares      (5,329)            -             -           5,329                 -                -

Additional preferred shares
  accretion from cumulative
  effect of accounting
  change for beneficial
  conversion option                 5,329            -             -          (5,329)                -                -

Loan to officer                         -            -             -               -                 -                -

Interest on loan to officer             -            -             -               -                 -                -

GE Warrant exercised                    -          999             1              (1)                -                -

Stock options exercised                 -           12             -             124                 -                -

Stock purchases
  by employees                          -           10             -              85                 -                -

Stock issued pursuant to
  employee benefit plan                 -           24             -             306                 -                -

Other comprehensive
  income (loss):
  Foreign currency
    translation adjustment              -            -             -               -              (929)               -
                                                                                       ----------------
Other comprehensive
  income (loss)                                                                                   (929)            (929)
                               -----------   ----------   -----------   -------------  ----------------  ---------------
Comprehensive
  income (loss)                                                                        $          (190)
                                                                                       ================
BALANCE AT
  DECEMBER 31, 2000            $   18,257       23,227    $       23    $    217,940                     $      (3,588)
                               ===========   ==========   ===========   =============                    ===============
</TABLE>
<TABLE>
<CAPTION>
                                  LOAN
                               RECEIVABLE       RETAINED
                                   FROM          EARNINGS
                                 OFFICER        (DEFICIT)         TOTAL
                               ------------   --------------  --------------

<S>                               <C>            <C>                <C>
Balance at July 1, 2000            $(9,528)       $(100,836)        $99,782

Net income                               -              739             739

Net proceeds from public
  offering of common shares              -                -          22,900

Preferred shares accretion               -                -               -

Value of beneficial conversion
  option of preferred shares             -                -               -

Additional preferred shares
  accretion from cumulative
  effect of accounting
  change for beneficial
  conversion option                      -                -               -

Loan to officer                     (1,900)               -          (1,900)

Interest on loan to officer           (379)               -            (379)

GE Warrant exercised                     -                -               -

Stock options exercised                  -                -             124

Stock purchases
  by employees                           -                -              85

Stock issued pursuant to
  employee benefit plan                  -                -             306

Other comprehensive
  income (loss):
  Foreign currency
    translation adjustment               -                -               -

Other comprehensive
  income (loss)                                                        (929)
                               ------------   --------------  --------------
Comprehensive
  income (loss)

BALANCE AT
  DECEMBER 31, 2000            $   (11,807)  $     (100,097)  $      120,728
                               ============  ===============  ==============
</TABLE>


            See notes to condensed consolidated financial statements

                                        4


<PAGE>   6



                      ADVANCED LIGHTING TECHNOLOGIES, INC.
           CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)

                                 (in thousands)

<TABLE>
<CAPTION>
                                                                    SIX MONTHS ENDED DECEMBER 31,
                                                                    ----------------------------
                                                                        2000            1999
                                                                    ------------    ------------
<S>                                                                 <C>             <C>
OPERATING ACTIVITIES
   Net income                                                       $        739    $        198
   Adjustments to reconcile net income to net cash
      used in operating activities:
         Depreciation                                                      4,138           3,631
         Amortization                                                      1,409           1,347
         Provision for doubtful accounts                                     152              97
         Income from equity investment                                       (18)            (85)
         Changes in operating assets and liabilities:
            Trade receivables                                             (2,229)         (7,835)
            Inventories                                                    2,750             190
            Prepaids and other assets                                        272          (2,265)
            Accounts payable and accrued expenses                         (7,934)          1,590
            Payments related to special charge accruals                      (70)         (1,506)
            Other                                                         (1,214)            968
                                                                    ------------    ------------
                            Net cash used in operating activities         (2,005)         (3,670)

INVESTING ACTIVITIES

   Capital expenditures                                                  (10,718)         (2,878)
   Sale of short-term investments                                           --               350
   Purchases of businesses                                                  (366)            (30)
   Investments in affiliates                                                --            (1,920)
                                                                    ------------    ------------
                            Net cash used in investing activities        (11,084)         (4,478)

FINANCING ACTIVITIES

   Proceeds from revolving credit facility                               110,102          95,318
   Payments of revolving credit facility                                (116,025)       (103,254)
   Proceeds from long-term debt                                              173            --
   Payments of long-term debt and capital leases                          (3,259)         (6,205)
   Issuance of preferred stock and stock purchase warrant                   --            20,203
   Loan to officer                                                        (1,900)           --
   Net proceeds from public offering                                      22,900            --
   Issuance of common stock                                                  514             320
                                                                    ------------    ------------
                        Net cash provided by financing activities         12,505           6,382
                                                                    ------------    ------------

Decrease in cash and cash equivalents                                       (584)         (1,766)
Cash and cash equivalents, beginning of period                             3,890           3,830
                                                                    ------------    ------------

                         CASH AND CASH EQUIVALENTS, END OF PERIOD   $      3,306    $      2,064
                                                                    ============    ============

SUPPLEMENTAL CASH FLOW INFORMATION

     Interest paid                                                  $      7,058    $      6,768
     Income taxes paid                                                        24            --
     Capitalized interest                                                    188             196

     Detail of acquisitions:
         Assets acquired                                            $        899    $        868
         Liabilities assumed                                                (288)           (262)
         Stock or debt issued                                               (245)           (535)
                                                                    ------------    ------------
         Cash paid                                                           366              71
             Less cash acquired                                             --               (41)
                                                                    ------------    ------------
         Net cash paid for acquisitions                             $        366    $         30
                                                                    ============    ============
</TABLE>


See notes to condensed consolidated financial statements

                                5


<PAGE>   7


                      ADVANCED LIGHTING TECHNOLOGIES, INC.
        NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)
                                DECEMBER 31, 2000
                  (Dollars in thousands, except per share data)



A.   ORGANIZATION

Advanced Lighting Technologies, Inc. (the "Company" or "ADLT") is an
innovation-driven designer, manufacturer and marketer of metal halide lighting
products, including materials, system components and systems. The Company also
develops, manufactures and markets passive optical telecommunications devices,
components and equipment based on the optical coating technologies of its
wholly-owned subsidiary, Deposition Sciences, Inc.

B.   BASIS OF PRESENTATION

The accompanying unaudited condensed consolidated financial statements have been
prepared in accordance with generally accepted accounting principles for interim
financial information and with the instructions for Form 10-Q and Article 10 of
Regulation S-X. Accordingly, they do not include all the information and
disclosures required by generally accepted accounting principles for complete
financial statements. In the opinion of management, the financial statements
include all material adjustments necessary for a fair presentation, consisting
of normal recurring accruals. For further information, refer to the consolidated
financial statements and notes thereto included in the Company's annual report
on Form 10-K for the year ended June 30, 2000. Operating results for the three
months and six months ended December 31, 2000 are not necessarily indicative of
the results that may be expected for the full-year ending June 30, 2001.

The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions that
affect reported amounts and related disclosures. Actual results could differ
from those estimates.

New Accounting Standards

The Company adopted Statement of Financial Accounting Standards ("FAS") No. 133
"Accounting for Derivative Instruments and Hedging Activities" as of July 1,
2000. FAS 133 requires that all derivatives, such as interest rate exchange
agreements (swaps), be recognized on the balance sheet at fair value. The
Company had no derivatives as at July 1, 2000, and therefore, no resulting
transition adjustments.

The Company also adopted Emerging Issues Task Force ("EITF") Issue 00-27,
"Application of EITF 98-5, `Convertible Securities with Beneficial Conversion
Features or Contingently Adjustable Conversion Ratios,' to Certain Convertible
Instruments" in the quarter ended December 31, 2000. EITF Issue 00-27 requires
that a convertible instrument's beneficial conversion feature be measured using
an effective conversion price. As a result, the value assigned to the redeemable
preferred stock was adjusted by $5,329 for the discount related to the
beneficial conversion option. This additional discount was immediately accreted
to paid-in

                                        6


<PAGE>   8


                      ADVANCED LIGHTING TECHNOLOGIES, INC.
  NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) -- CONTINUED
                                DECEMBER 31, 2000
                  (Dollars in thousands, except per share data)


B.   BASIS OF PRESENTATION (CONTINUED)

capital in a manner similar to a cumulative effect of an accounting change since
the redeemable preferred stock was convertible at the time of issuance. The
impact of this change is noted in the Condensed Statement of Consolidated
Shareholders' Equity and in Note H "Earnings Per Share."

Financial  Statement Presentation Changes

Certain amounts for prior periods have been reclassified to conform to the
current period reporting presentation.

C.   COMPREHENSIVE INCOME (LOSS)

For the three- and six-months ended December 31, 2000, the Company's
comprehensive income (loss) was $1,708 and $(190), respectively. For the three-
and six-months ended December 31, 1999, the Company's comprehensive income was
$1,118 and $684, respectively.

D.   BANK CREDIT FACILITY AND SENIOR NOTES

The Company maintains a Bank Credit Facility with a $40,000 revolving credit
loan and $20,000 term loan provided by several financial institutions. The
revolving credit loan has a three-year term expiring in May 2002. Interest rates
on revolving credit loans outstanding are based, at the Company's option, on
LIBOR plus 2.25% or the agent bank's prime rate. Availability of borrowings is
determined by the Company's eligible accounts receivable and inventories. The
term loan has a five-year term expiring in May 2004. The Company pays monthly
principal payments that total $3,576 annually, with the unpaid balance due at
maturity. Interest rates on the term loan are based, at the Company's option, on
LIBOR plus 2.75% or the agent bank's prime rate.

The Bank Credit Facility contains certain affirmative and negative covenants
customary for this type of agreement, prohibits cash dividends, and includes
financial covenants with respect to the coverage of certain fixed charges. The
principal security for the revolving credit loan is substantially all of the
personal property of the Company and each of its North American and United
Kingdom subsidiaries. The term loan is secured by substantially all of the
Company's machinery and equipment and is cross-collateralized and secured with
the revolving credit loan.

On March 13, 1998, the Company sold $100,000 of Senior Notes due March 15, 2008,
resulting in net proceeds of approximately $96,150. During August 2000, the
Company completed an

                                        7


<PAGE>   9


                      ADVANCED LIGHTING TECHNOLOGIES, INC.
  NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) -- CONTINUED
                                DECEMBER 31, 2000
                  (Dollars in thousands, except per share data)


D.   BANK CREDIT FACILITY AND SENIOR NOTES (CONTINUED)

exchange offer to existing noteholders, which resulted in reducing the interest
rate on the Senior Notes to 8.0% from 8.5%. The notes are redeemable at the
Company's option, in whole or in part, on or after March 15, 2003 at certain
preset redemption prices. In addition, at any time prior to March 15, 2001, the
Company may redeem up to 35% of the aggregate principal amount of the Notes at
108% of par with the proceeds of one or more public equity offerings. Interest
on the Senior Notes is payable semiannually on March 15 and September 15 of each
year. There are no sinking fund requirements.

The Notes Indenture contains covenants that, among other things, limit the
ability of the Company and its Restricted Subsidiaries (as defined therein) to
incur indebtedness, pay dividends, prepay subordinated indebtedness, repurchase
capital stock, make investments, create liens, engage in transactions with
stockholders and affiliates, sell assets and, with respect to the Company,
engage in mergers and consolidations.

E.   GENERAL ELECTRIC COMPANY INVESTMENT

In October 1999, General Electric Company ("GE") completed an investment in the
Company of $20,554. In exchange for the investment, GE received 761,250 shares
of the Company's newly-created Series A Preferred Stock convertible at any time
into 3,045,000 shares of Company Common Stock (subject to adjustment). GE also
received a Warrant (the "Initial Warrant") to purchase an additional 1,000,000
shares of Company Common Stock (subject to adjustment), which was immediately
exercisable at $.01 per share. During the second quarter ended December 31,
2000, GE exercised the Warrant. GE now holds 1,429,590 shares of Company Common
Stock. The Series A Stock and the Common Stock held by GE represent
approximately 17.0% of the voting power and equity ownership of the Company at
December 31, 2000. The proceeds of the transaction were applied principally to
the reduction of short-term liabilities and outstanding amounts under the
Company's Bank Credit Facility.

The Series A Stock has a liquidation preference of $27 per share, plus an amount
equal to 8% per annum compounded annually from the date of issuance to the date
of payment. The Company is required to redeem any shares of Series A Stock which
have not been converted or retired on September 30, 2010. In addition, GE may,
by notice, require the Company to redeem the outstanding Series A Stock, within
one year following either September 30, 2004, or the occurrence of certain
corporate events.

If the Company fails to maintain certain financial ratios over certain
measurement periods, GE will have the right to acquire a combination of
subscription rights to additional shares and

                                        8


<PAGE>   10


                      ADVANCED LIGHTING TECHNOLOGIES, INC.
  NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - CONTINUED
                                DECEMBER 31, 2000
                  (Dollars in thousands, except per share data)


E.   GENERAL ELECTRIC COMPANY INVESTMENT (CONTINUED)

proxies with respect to shares voted by certain officers of the Company, giving
GE the ability to obtain the majority of the voting power of the Company. The
first measurement period was the six months ended December 31, 1999. Thereafter,
the measurement periods are the six months ending on the last day of each
successive fiscal quarter until September 30, 2010 (excluding the six month
periods ended on June 30, 2000 and September 30, 2000).

The basis for GE's additional rights will be the failure of the Company to
maintain a 2.0 to 1.0 ratio of EBITDA to Interest Expense over the applicable
measurement periods. Under the terms of the transaction, EBITDA consists of net
earnings, plus interest expense, plus depreciation and amortization, plus income
taxes, less extraordinary gains and gains from asset sales plus losses from
asset sales and extraordinary losses. Interest Expense consists of interest
expense (net of interest income) calculated in accordance with generally
accepted accounting principles, but excludes amortization of deferred financing
costs up to a maximum of $125 in any fiscal quarter.

A measurement period for which the Company fails to maintain the required ratio
is referred to as an "Occurrence," however, if the Company maintains a 2.0 to
1.0 ratio in the three fiscal quarters immediately prior to a failure, a "Second
Occurrence" or "Third Occurrence," as the case may be, would not be effective.
The "First Occurrence" was effective in the six-month measurement period ended
December 31, 1999. The ratio for the six months ended December 31, 2000, was
2.02 to 1.0 (2.37 to 1.0 for the quarter ended December 31, 2000 and 1.71 to 1.0
for the quarter ended September 30, 2000).

A Second Occurrence would: (i) give GE the ability to vote the number of shares
currently voted by the Chief Executive Officer ("CEO") of the Company,
approximately 3.9 million shares, (ii) give GE the option to purchase shares
from the CEO and the President of the Company which, together with the shares
owned by GE, would represent 25% of the voting power of the Company, and (iii)
require the Company to grant GE an additional warrant to purchase shares, at the
then current market price, approximating 2,395,728 shares at December 31, 2000.
The ability to vote the shares, purchase shares or obtain the warrant would be
dependent upon compliance with antitrust laws. GE is not required to purchase
additional shares of the Company. If GE obtains approval and obtains in excess
of 35% of the voting power of the Company, the terms of the Indenture relating
to the Company's Senior Notes would require that the Company offer to repurchase
the $100,000 principal amount of outstanding Senior Notes due 2008 at a price of
101% of the principal amount thereof, plus accrued interest, and the Company's
banks will have the ability to demand payment of the Bank Credit Facility. Upon
a Third Occurrence, GE would have the right to vote shares currently voted by
the President and be granted a warrant to purchase (at the then current market
price) additional shares of Common Stock sufficient in number to give GE 50%
plus one vote of the voting power of the Company.

                                        9

<PAGE>   11

                      ADVANCED LIGHTING TECHNOLOGIES, INC.
  NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - CONTINUED
                                DECEMBER 31, 2000
                  (Dollars in thousands, except per share data)


F.  ISSUANCE OF COMMON STOCK

On August 31, 2000, the Company completed a public offering of 1,700,000 shares
of its common stock at a price of $15.00 per share under a $300,000 shelf
registration filed with the Securities and Exchange Commission which became
effective in July 2000.

The public offering reduced the amount available for the issuance of various
debt and equity securities under the shelf registration statement to
approximately $274,500. The Company used the net proceeds from the public
offering of approximately $22,900 to repay revolving credit loan borrowings. The
Company intends to subsequently borrow under its revolving credit loan facility
to fund capital improvements, including optical coating production equipment,
filter testing and measurement equipment and production facilities, and on
research and development in its telecommunications business unit at Deposition
Sciences, Inc.

In addition to the $300,000 shelf registration discussed above, in July 2000 a
$100,000 shelf registration became effective under which the Company may from
time-to-time issue various debt and equity securities to acquire assets,
businesses or securities. The Company has no outstanding securities issued under
this registration statement.

G.  RELATED PARTY TRANSACTION

Pursuant to a loan agreement dated October 8, 1998, between the Company and its
Chairman and Chief Executive Officer (the "CEO"), the Company loaned $9,000 to
its CEO for a one-year term at an interest rate of 8%. The loan was made
following approval by the Company's Board of Directors. The proceeds of the loan
were used by the Company's CEO to reduce the principal balance outstanding of a
margin account loan, which is secured by 2,053,070 shares of the Company's
Common Stock owned by the CEO and a related entity. In connection with the loan,
the Company's Board of Directors asked for and received the CEO's agreement to
extend the term of his employment agreement to December 31, 2003. The loan
agreement prohibits the CEO from encumbering his shares of the Company's Common
Stock in any manner except pursuant to the existing agreements governing the
CEO's margin account, without the consent of the Company's Board of Directors.

The CEO has paid accrued interest of $720 on the loan through October 6, 1999.
The principal on the loan was due on October 6, 1999. On January 25, 2000, the
Board agreed that the CEO would not be required to repay the loan until October
6, 2000. The term of the loan has been extended by the Board to October 6, 2001.

                                       10


<PAGE>   12


                      ADVANCED LIGHTING TECHNOLOGIES, INC.
  NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - CONTINUED
                                DECEMBER 31, 2000
                  (Dollars in thousands, except per share data)


G.  RELATED PARTY TRANSACTION (CONTINUED)

On November 22, 2000, the Board authorized an amendment to the loan agreement
which allowed loans of up to an additional $1,900 to satisfy margin
requirements. During the second quarter, the Company loaned the CEO $1,900 for
this purpose. The CEO has agreed to repay $1,400 of this amount should the
market price of ADLT's Common Stock reach $11.00 per share and the average
closing price for the shares reaches $11.00 per share for twenty trading days.
The Board reserved the right to require earlier repayment if ADLT requires the
payment to prevent an unacceptable strain on cash resources.

H.  EARNINGS PER SHARE

Earnings (loss) per share is computed as follows:

<TABLE>
<CAPTION>
                                                             THREE MONTHS ENDED         SIX MONTHS ENDED
                                                                  DECEMBER 31,            DECEMBER 31,
                                                             --------------------    --------------------
                                                               2000        1999        2000        1999
                                                             --------    --------    --------    --------
<S>                                                          <C>         <C>         <C>         <C>
Income available to common shareholders:
     Net income                                              $  1,260    $    980    $    739    $    198
     Less: Preferred shares accretion                            (648)       (603)     (1,258)       (603)
             Additional preferred shares accretion from
                cumulative effect of accounting change
                for beneficial conversion option               (5,329)       --        (5,329)       --
                                                             --------    --------    --------    --------
     Net income (loss) attributable to common shareholders   $ (4,717)   $    377    $ (5,848)   $   (405)
                                                             ========    ========    ========    ========

Weighted average shares -- Basic:
     Outstanding at beginning of period                        20,482      20,302      20,482      20,278
     Issued pursuant to public offering                         1,700        --         1,081        --
     Issued in acquisitions                                      --            40        --            20
     Issued for exercise of warrant                               141        --            70        --
     Issued for exercise of stock options                        --          --            10        --
     Issued pursuant to employee stock purchase plan                6           4           3           7
     Issued pursuant to 401(k) plan                                14           5           9          13
                                                             --------    --------    --------    --------
         Basic weighted average shares                         22,343      20,351      21,655      20,318
                                                             ========    ========    ========    ========

Weighted average shares -- Diluted:
     Basic from above                                          22,343      20,351      21,655      20,318
     Effect of warrant prior to exercise                          858         946        --          --
     Effect of stock options                                      253        --          --          --
                                                             --------    --------    --------    --------
         Diluted weighted average shares                       23,454      21,297      21,655      20,318
                                                             ========    ========    ========    ========
</TABLE>

                                       11


<PAGE>   13


                      ADVANCED LIGHTING TECHNOLOGIES, INC.
  NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - CONTINUED
                                DECEMBER 31, 2000
                  (Dollars in thousands, except per share data)


H.  EARNINGS PER SHARE (CONTINUED)

<TABLE>
<CAPTION>
                                                             THREE MONTHS ENDED            SIX MONTHS ENDED
                                                                  DECEMBER 31,                DECEMBER 31,
                                                          ------------------------    ----------------------------
                                                             2000          1999          2000          1999
                                                          ----------    ----------    ----------    ----------
<S>                                                       <C>           <C>           <C>           <C>
Earnings (loss) per share -- Basic
     Net income                                           $      .06    $      .05    $      .04    $      .01
     Preferred shares accretion                                 (.03)         (.03)         (.06)         (.03)
                                                          ----------    ----------    ----------    ----------
     Earnings (loss) per share before cumulative effect
         of accounting change                                    .03           .02          (.02)         (.02)
     Additional preferred shares accretion from
         cumulative effect of accounting change
         for beneficial conversion option                       (.24)         --            (.25)         --
                                                          ----------    ----------    ----------    ----------
             Earnings (loss) per share attributable to
                 common shareholders -- basic             $     (.21)   $      .02    $     (.27)   $     (.02)
                                                          ==========    ==========    ==========    ==========


Earnings (loss) per share -- Diluted
     Net income                                           $      .06    $      .05    $      .04    $      .01
     Preferred shares accretion                                 (.03)         (.03)         (.06)         (.03)
                                                          ----------    ----------    ----------    ----------
     Earnings (loss) per share before cumulative effect
         of accounting change                                    .03           .02          (.02)         (.02)
     Additional preferred shares accretion from
         cumulative effect of accounting change
         for beneficial conversion option                       (.23)         --            (.25)         --
                                                          ----------    ----------    ----------    ----------
             Earnings (loss) per share attributable to
                 common shareholders -- diluted           $     (.20)   $      .02    $     (.27)   $     (.02)
                                                          ==========    ==========    ==========    ==========
</TABLE>

The diluted weighted average shares calculation excludes the antidilutive effect
of outstanding stock options and warrants which totaled 1,410 shares for the six
months ended December 31, 2000 and 482 shares for the six months ended December
31, 1999.

                                       12

<PAGE>   14

                      ADVANCED LIGHTING TECHNOLOGIES, INC.
  NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - CONTINUED
                                DECEMBER 31, 2000
                  (Dollars in thousands, except per share data)


I.   CONTINGENCY

In April and May 1999, three class action suits were filed in the United States
District Court, Northern District of Ohio, by certain alleged shareholders of
the Company on behalf of themselves and purported classes consisting of Company
shareholders, other than the defendants and their affiliates, who purchased
stock during the period from December 30, 1997 through September 30, 1998 or
various portions thereof. A First Amended Class Action Complaint, consolidating
the three lawsuits, was filed on September 30, 1999, and the action is now
pending before a single judge. The named defendants in the case - styled In re
Advanced Lighting Technologies, Inc. Securities Litigation, Master File No.
1:99CV836, pending before the United States District Court, Northern District of
Ohio - are the Company and its Chairman and Chief Executive Officer (CEO).

The First Amended Class Action Complaint alleges generally that certain
disclosures attributed to the Company contained misstatements and omissions
alleged to be violations of Section 10(b) of the Securities Exchange Act of 1934
and Rule 10b-5, including claims for "fraud on the market" arising from alleged
misrepresentations and omissions with respect to the Company's financial
performance and prospects and alleged violations of generally accepted
accounting principles by, among other things, improperly recognizing revenue and
improper inventory accounting. The Complaint seeks certification of the
purported class, unspecified compensatory and punitive damages, pre- and
post-judgment interest and attorneys' fees and costs.

The Company and the CEO believe that these claims lack merit. The Company and
its CEO filed a Motion to Dismiss the Complaint, which was denied. The case will
now proceed. The Company and the CEO intend to continue to vigorously defend
against these actions.

                                       13


<PAGE>   15


ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS.
(Dollar amounts in thousands)

This report on Form 10-Q may contain forward-looking statements that involve
risks and uncertainties, including the Company's financing plans, trends
affecting the Company's financial condition or results of operations, continued
growth of the metal halide lighting market, the Company's operating strategy and
growth strategy, potential acquisitions or joint ventures by the Company, the
declaration and payment of dividends, litigation affecting the Company, the
timely development and market acceptance of new products, the possibility that
any success at Deposition Sciences, Inc.(an ADLT subsidiary) will not be
reflected in the value of the ADLT common stock, the ability to provide adequate
incentives to retain and attract key employees, the impact of competitive
products and pricing, and other risks which are detailed in the Company's Form
10-K for the fiscal year ended June 30, 2000, in particular, see "Risk Factors."
For this purpose, any statement contained herein that is not a statement of
historical fact may be deemed to be a forward-looking statement. Without
limiting the foregoing, the words "believes," "anticipates," "plans," "expects,"
and similar expressions are intended to identify forward-looking statements. The
Company's actual results may differ materially from those indicated by such
forward-looking statements based on the factors outlined above.

The following is management's discussion and analysis of certain significant
factors which have affected the results of operations and should be read in
conjunction with the accompanying unaudited Condensed Consolidated Financial
Statements and notes thereto.

GENERAL

The Company designs, manufactures and markets metal halide lighting products,
including materials, systems and components. Metal halide lighting is currently
used primarily in commercial and industrial applications such as factories and
warehouses, outdoor site and landscape lighting, sports facilities and large
retail spaces such as superstores. The Company also develops, manufactures and
markets passive optical telecommunications devices, components and equipment
based on the optical coating technologies of its wholly-owned subsidiary,
Deposition Sciences, Inc. ("DSI"). Systems, components and materials revenue is
recognized when products are shipped, and deposition equipment revenue is
recognized under the percentage of completion method.

Consistent with the Company's strategy for new product introductions, the
Company invests substantial resources in research and development to engineer
materials and system components to be included in customers' specialized
lighting systems. Over the last three fiscal years, the Company has spent an
aggregate of $43,286 on research and development, representing 7.4% of aggregate
net sales from continuing operations over that period. Such expenditures have
enabled the Company to develop new applications for metal halide lighting,
improve the quality of its materials, and introduce new specialized products,
such as the Uni-Form(R) pulse start products. Uni-Form(R) pulse start products
are a new generation of metal halide components and systems which permit (a)
increased light output with lower power utilization, (b) faster starting, (c) a
quicker restart of lamps which have been recently turned off, and (d) better
color uniformity.

                                       14

<PAGE>   16

The Company has spent additional amounts for manufacturing process and
efficiency enhancements, which were charged to cost of goods sold when incurred.
The Company expects to continue to make substantial expenditures on research and
development to enhance its position as the leading innovator in the metal halide
lighting industry.

The Company also has invested substantial resources in acquisitions and
strategic investments. In January 1998, the Company acquired Ruud Lighting, Inc.
and DSI. These acquisitions enabled the Company to complete the assembly of the
necessary operations to take a leadership role in the development, manufacturing
and marketing of new and better systems in the growing metal halide lighting
industry.

RECENT DEVELOPMENTS

Telecommunications Business Unit

In February 2000, the Company announced the creation of its Fiber Optic
Telecommunications Business Unit, which develops and manufactures passive
optical telecommunications devices and components based on its optical coating
technology. The telecommunications operations are located in Santa Rosa,
California, at the DSI business campus. The Telecommunications Unit exploits the
proprietary coating equipment, advanced thin film technologies, and measurement
capabilities developed by DSI over the last fifteen years for a wide variety of
demanding products in both military and commercial applications.

Prior to the formation of the telecommunications unit the development and
coating of telecommunications products was performed by DSI's R&D Engineering
unit. With the formation of the telecommunications unit, two employees were
transferred from the R&D Engineering unit to the telecommunications unit with
additional engineering and sales personnel being hired for the unit. Also, DSI
assigned thin film coating machines from other areas of the company as well as
purchasing and constructing additional equipment to be used in the
telecommunication business.

A portion of the in-process research and development which was acquired when the
Company acquired DSI was for research and development projects directed at
telecommunications applications (the "Fiber Optics Project"). These projects
involved the development of processes for the application of optical coatings to
products for telecommunications applications. At the time of the acquisition the
future importance of these technologies and optical products to
telecommunications infrastructure was not clear. (For more information, see
"Update on In-Process Research and Development.")

The Fiber Optics Project was directed at development of (i) optical coatings
that reduce insertion losses in fiber optic communications systems, including
wavelength division multiplexing (WDM) and dense wavelength division
multiplexing (DWDM) systems; (ii) collimating micro-optics for use in WDM and
DWDM systems; (iii) filter elements for use in WDM systems; (iv) secondary
filter elements for use in DWDM systems; (v) narrow bandpass filter elements for
use in the multiplex/demultiplex function of DWDM systems. WDM and DWDM are
technologies that allow multiple wavelengths of light to be simultaneously
transmitted through a single fiber optic cable. The first four projects have
resulted in commercial products, and sales of these

                                       15


<PAGE>   17


products reached $1,453 in fiscal 2000, an increase of 46% over the $993
recognized in fiscal 1999. Telecommunication product sales for the first six
months of fiscal 2001 approximated $1,208, up 108% from $581 in the first six
months of fiscal 2000. Backorders in the telecom product area grew to $1,800.
The Company has demonstrated key DWDM filter manufacturing capabilities using
its patented MicroDyn(R) technology. The Company believes that it will develop
and market commercial narrow bandpass filter products which take advantage of
the Company's patented MicroDyn(R) sputtering technology.

While the Company does apply optical coatings to elements supplied by its
customers, an increasing portion of its business is the supply of entire
assemblies and components. The Company expects that this trend to forward
integration will continue and accelerate. The Company has existing manufacturing
capacity to support sales of up to $10,000 per year of existing products.
Following additional capital investments, the Company anticipates achieving
additional manufacturing capability and revenue for DWDM products using
MicroDyn(R) technology. The Company believes that it can increase its production
capacity for its telecommuncations products beyond existing levels with
additional capital expenditures, on which this growing business depends.

DSI believes that the current demand exceeds supply for these thin film coating
products for the telecommunications industry. The principal competitors for the
Company's products are certain large OEMs, such as JDS Uniphase Corporation,
Corning Incorporated, Nortel Networks Corporation, and Lucent Technologies,
Inc., which have significant internal capability to manufacture thin film filter
products, and a variety of smaller companies which specialize in optical
coatings, such as Precision Optics Corp., Inc., Barr Associates, Inc., Iridian
Spectral Technologies, Ltd., Thin Film Technologies, Inc., and Evaporated
Coatings, Inc. The Company also believes that the large OEMs also represent
substantial opportunities for sales of its products.

The Company believes that the competitive environment for its products is based
primarily on technical performance, delivery and service, rather than price. The
Company believes that DSI's fifteen-year history of high volume, efficient
production of high quality optical components provides it with significant
advantages in this regard. Furthermore, the Company believes that its core
competencies in optical coating and coating equipment development and
manufacture, its experienced workforce and its ability to develop
telecommunications solutions, backed by the required measurement technology,
will permit it to continue to compete successfully in this product area.

The Company recognizes that the successful, full-scale development of its
telecommunications business unit requires a level of focus and resources that
the Company may not be able to provide while this unit resides within a
subsidiary of the Company. In pursuit of maximizing shareholder value, the
Company is exploring several strategic alternatives that would enable the
telecommunications business unit to pursue an aggressive, focused strategy with
sufficient assets and cash to compete in this market.

No final decisions have been made about the future courses of action to be
pursued. However, the Company is in discussions with several investment banking
firms to assist in identifying and implementing the best strategic alternative
for the telecommunications unit.

                                       16



<PAGE>   18

UPDATE ON IN-PROCESS RESEARCH AND DEVELOPMENT

In connection with the January 1998 purchase of DSI, the Company allocated
$18,220 of the $24,100 purchase price to in-process research and development
projects. This allocation represented the estimated fair value based on
risk-adjusted cash flows related to the incomplete research and development
projects. At the date of acquisition, the development of these projects had not
yet reached technological feasibility and had no alternative future uses.
Accordingly, these costs were expensed as of the acquisition date. DSI's
in-process research and development value was comprised of five primary research
and development programs, which were in-process at the time of the acquisition.

The MicroDyn/Automation Project was intended to improve the coating process of
optical thin-films to both rigid and flexible surfaces so that the process can
be used in a wider array of applications. The Plastics (Acrylic) Coating Project
was designed to produce a method for applying thin-film coatings to plastics or
other similar materials that cannot withstand the heat generated during the
standard coating process. The goal of the Deposition Material Development
Project was to develop new thin-film materials that can be used in coatings and
to improve existing coating materials. The Lighting-Focused Projects were
intended to develop improvements to existing lighting technologies by using
coatings to improve efficiency and increase the longevity of lamp life;
including ultra-violet blockers, color enhancement/correction and lumen
maintenance. The Fiber Optic Project was intended to improve telecommunications
by providing optical thin-film coatings that are used in conjunction with
optical fibers to increase the transmission capacity of the fiber. The two
segments of the original Fiber Optic Project, directed at the development of
filters to reduce insertion loss in fiber optic communication systems and
filters for wavelength division multiplexing (WDM), have reached commercial
feasibility. The third segment of the project, which is an expansion of the
original project, related to the development of filters for dense wavelength
division multiplexing (DWDM) has not achieved technical and commercial
feasibility as of December 31, 2000.

Certain projects within the in-process research and development programs, if
successful, will not be fully complete for two to three years after attaining
technical feasibility. Annual Company expenditures to complete these projects
included $800 in fiscal 1998, $1,800 in fiscal 1999, and $2,100 in fiscal 2000.
Future expenditures related to the projects originally envisioned for fiscal
years 2001 and 2002 are estimated at $1,700 ($1,300 expended through December
31, 2000), and $200, respectively. These estimates are subject to change, given
the uncertainties of the development process, and no assurance can be given that
deviations from these estimates will not occur. Additionally, even if
successfully completed, these projects will require maintenance research and
development after they have reached a state of technological and commercial
feasibility.

Management believes the Company has a reasonable chance of successfully
completing each of the major research and development programs, except for the
Plastics (Acrylic) Coating Project which was abandoned in light of DSI's focus
on the telecommunications business. However, there is substantial risk
associated with the completion of the active projects and there is no steadfast
assurance that each will meet with either technological or commercial success.
The delay or outright failure of the DSI programs may materially impact the
Company's financial condition.

                                       17

<PAGE>   19

As of December 31, 2000 the focus of the Company's efforts was on the
MicroDyn/Automation Project (estimated at 79% complete) and the other two active
programs, Deposition Material Development and Lighting-Focused, which were
estimated as 93% and 98% complete, respectively. The original Fiber Optics
Project related to telecommunications was substantially completed as of
September 30, 2000. However, because of the growth of the telecommunications
market and the rate of advancement in telecommunications products, the Company
has focused its efforts to the production process (MicroDyn/Automation Project)
and the development of additional telecommunications products and the
expenditures related thereto will be greater than described above. See also
"Telecommunications Business Unit."

RESULTS OF OPERATIONS - SELECTED ITEMS AS A PERCENTAGE OF NET SALES

The following table sets forth, as a percentage of net sales, certain items in
the Company's Condensed Consolidated Statements of Operations for the indicated
periods:

<TABLE>
<CAPTION>
                                                                    Three Months Ended           Six Months Ended
                                                                       December 31,                December 31,
                                                                  -----------------------     ------------------------
                                                                    2000         1999            2000         1999
                                                                  ----------   ----------     -----------   ----------

<S>                                                                    <C>          <C>             <C>          <C>
        Net sales                                                      100%         100%            100%         100%

        Costs and expenses:
           Cost of sales                                               60.1         61.5            60.2         61.8
           Marketing and selling                                       19.0         17.8            19.0         17.9
           Research and development                                     5.5          5.8             6.0          6.0
           General and administrative                                   5.9          6.8             6.5          7.0
           Amortization of intangible assets                            1.3          1.1             1.3          1.2
                                                                  ----------   ----------     -----------   ----------
        Income from operations                                          8.2          7.0             7.0          6.1

        Other income (expense):
           Interest expense                                            (6.2)        (5.6)           (6.6)        (6.1)
           Interest income                                              0.4          0.3             0.4          0.4
           Income (loss) from equity investments                        0.0          0.1             0.0          0.1
                                                                  ----------   ----------     -----------   ----------

        Income before income taxes and minority interest                2.4          1.8             0.8          0.5
        Income taxes                                                    0.1          0.2             0.1          0.3
                                                                  ----------   ----------     -----------   ----------

        Income before minority interest                                 2.3          1.6             0.7          0.2
        Minority interest in income of consolidated subsidiary          0.0            -             0.0            -
                                                                  ----------   ----------     -----------   ----------

        Net income                                                      2.3%         1.6%            0.7%         0.2%
                                                                  ==========   ==========     ===========   ==========
</TABLE>


Factors which have affected the results of operations for the second quarter and
first six months of fiscal 2001 as compared to the second quarter and first six
months of fiscal 2000 are discussed below.

                                       18


<PAGE>   20


QUARTER ENDED DECEMBER 31, 2000 COMPARED WITH QUARTER ENDED DECEMBER 31, 1999

Net sales. Net sales decreased 6.5% to $55,974 in the second quarter of fiscal
2001 from $59,885 in the second quarter of fiscal 2000. Sales of Uni-Form(R)
pulse start lamps increased 72% to $4,061 from $2,354 and total pulse start
product sales increased 39% to $12,093 from $8,674 in the same quarter a year
ago. Sales of APL materials, a key indicator of industry trends, declined 14%
over the same quarter a year ago. One reason for this decline may have been the
abnormally high level of sales in the second quarter of fiscal 2000 as customers
overbought in preparation for year 2000 concerns. Non-metal halide lighting
sales declined 4% due to the elimination of certain non-metal halide products.
Changes in the foreign currency exchange rates from a year ago also negatively
impacted sales in Europe and Australia. Due to the strong dollar, the reported
sales for these operations were reduced by approximately $1,200 from what these
sales would have been at the year earlier exchange rate.

DSI's telecommunication product sales for the second quarter of fiscal 2001 were
$676, up 173% from $248 in the second quarter of fiscal 2000. However, sales of
DSI's non-telecom products were down 77% due to the Company's transitioning of
its emphasis to the telecommunications market.

Lighting sales outside the U.S. decreased 10%, which the Company primarily
attributes to foreign currency exchange and managed decline of non-metal halide
product sales noted above.

Pricing in the metal halide lighting business is competitive, and prices for the
Company's products have remained flat or declined slightly. The introduction of
new products has helped to stabilize the Company's product pricing.

Cost of Sales. Cost of sales decreased 8.7% to $33,663 in the second quarter of
fiscal 2001 from $36,852 in the second quarter of fiscal 2000. The decrease was
primarily attributable to decreased unit volume. As a percentage of net sales,
cost of sales decreased to 60.1% in the second quarter of fiscal 2001 from 61.5%
in the second quarter of fiscal 2000.

Marketing and Selling Expenses. Marketing and selling expenses increased 0.2% to
$10,634 in the second quarter of fiscal 2001 from $10,617 in the second quarter
of fiscal 2000. Marketing and selling expenses, as a percentage of net sales,
increased to 19.0% in the second quarter of fiscal 2001 as compared to 17.8% in
the second quarter of fiscal 2000.

Research and Development Expenses. Research and development expenses declined
11.2% to $3,092 from $3,483 in the second quarter of fiscal 2001. Research and
development expenses are incurred related to: (i) expansion and improvement of
the line of Uni-Form(R) pulse start lamps and fixtures (with improved energy
efficiency, quicker starting and restarting and a more compact arc source, which
improves the light and reduces material costs) intended to replace many first
generation metal halide lamps and fixtures in industrial and commercial
applications; (ii) improving the coating process of optical thin-films to
broaden the applications, developing new thin-film materials, and using coatings
to develop improvements to lighting and telecommunications technologies; (iii)
development of new materials for the world's major

                                       19


<PAGE>   21


lighting manufacturers; and, (iv) development and testing of electronic and
electromagnetic power supply systems. As a percentage of net sales, research and
development expenses decreased to 5.5% in the second quarter of fiscal 2001 from
5.8% in the second quarter of fiscal 2000.

General and Administrative Expenses. General and administrative expenses
decreased 19.2% to $3,301 in the second quarter of fiscal 2001 from $4,086 in
the second quarter of fiscal 2000. The decrease reflects the Company's continued
efforts to control corporate general and administrative costs, particularly a
reduction in professional services (legal, audit and tax) of $360. Also, in the
second quarter of fiscal 2001, expenses were reduced by the elimination of a
$500 litigation-related accrual that, based on review with legal counsel, is no
longer required. As a percentage of net sales, general and administrative
expenses declined to 5.9% in the second quarter of fiscal 2001 from 6.8% in the
second quarter of fiscal 2000. In future quarters, the Company expects that
general and administrative expenses will approximate 7% of sales.

Amortization of Intangible Assets. Amortization expense increased slightly to
$706 in the second quarter of fiscal 2001 from $672 in the second quarter of
fiscal 2000. Amortization expense relates primarily to the amortization of
goodwill and other intangible assets related to the January 1998 acquisitions of
Ruud Lighting, Inc. and Deposition Sciences, Inc.

Income from Operations. As a result of the items noted above, income from
operations in the second quarter of fiscal 2001 increased to $4,578 from $4,175
in the second quarter of fiscal 2000. As a percentage of net sales, income from
operations increased to 8.2% in the second quarter of fiscal 2001 from 7.0% in
the second quarter of fiscal 2000.

Interest Expense. Interest expense increased slightly to $3,463 in the second
quarter of fiscal 2001 from $3,323 in the second quarter of fiscal 2000. Both
the average debt outstanding and the weighted average interest rates remained
relatively comparable during the quarters.

Interest Income. Interest income increased to $263 in the second quarter of
fiscal 2001 from $214 in the second quarter of fiscal 2000.

Income (Loss) from Equity Investments. The income (loss) from equity investments
in the second quarter of fiscal 2001 of $(21) and fiscal 2000 of $35 represent
the earnings (loss) from the Company's investment in Fiberstars, Inc., a
marketer and distributor of fiber optic lighting products.

Income before Income Taxes and Minority Interest. Income before income taxes and
minority interest increased to $1,357 in the second quarter of fiscal 2001 from
$1,101 in the second quarter of fiscal 2000.

Income Taxes. Income tax expense was $77 for the second quarter of fiscal 2001
as compared to income tax expense of $121 in the first quarter of fiscal 2000.
The income tax expense in the second quarters of fiscal 2001 and 2000 related
primarily to certain of the Company's foreign operations.

                                       20


<PAGE>   22


At June 30, 2000, the Company had net operating loss carryforwards of $77,205
available to reduce future United States federal taxable income, which expire in
varying amounts from 2008 to 2020.

The Company also has research and development credit carryforwards for tax
purposes of approximately $3,196, which expire in varying amounts from 2008 to
2015. Additionally, in conjunction with the Alternative Minimum Tax ("AMT")
rules, the Company had available AMT credit carryforwards for tax purposes of
approximately $259, which may be used indefinitely to reduce regular federal
income taxes.

Also at June 30, 2000, the Company had foreign net operating loss carryforwards
for tax purposes totaling $3,693 that expire in varying amounts from 2001 to
2006 and $9,303 that have no expiration dates.

SIX MONTHS ENDED DECEMBER 31, 2000 COMPARED WITH SIX MONTHS ENDED DECEMBER 31,
1999

Net sales. Net sales decreased 6.2% to $108,838 in the first six months of
fiscal 2001 from $116,065 in the first six months of fiscal 2000. Sales of
Uni-Form(R) pulse start lamps increased 89% to $7,683 from $4,063 and total
pulse start product sales increased 48% to $22,794 from $15,397 in the first six
months a year ago. Sales of APL materials, a key indicator of industry trends,
remained consistent with the prior year. Non-metal halide lighting sales
declined 6% due to the elimination of certain non-metal halide products. Changes
in the foreign currency exchange rates from a year ago also negatively impacted
sales in Europe and Australia. Due to the strong dollar, the reported sales for
these operations were reduced by approximately $2,000 from what these sales
would have been at the year earlier exchange rate.

DSI's telecommunication product sales for the first six months of fiscal 2001
were $1,208, up 108% from $581 in the first six months of fiscal 2000. However,
sales of DSI's non-telecom products were down 63% due to the Company's
transitioning of its emphasis to the telecommunications market.

Lighting sales outside the U.S. decreased 10%, which the Company primarily
attributes to foreign currency exchange and managed decline of non-metal halide
product sales noted above.

Pricing in the metal halide lighting business is competitive, and prices for the
Company's products have remained flat or declined slightly. The introduction of
new products has helped to stabilize the Company's product pricing.

Cost of Sales. Cost of sales decreased 8.6% to $65,552 in the first six months
of fiscal 2001 from $71,696 in the first six months of fiscal 2000. The decrease
was primarily attributable to decreased unit volume. As a percentage of net
sales, cost of sales decreased to 60.2% in the first six months of fiscal 2001
from 61.8% in the first six months of fiscal 2000.

                                       21


<PAGE>   23


Marketing and Selling Expenses. Marketing and selling expenses decreased 0.4% to
$20,704 in the first six months of fiscal 2001 from $20,792 in the first six
months of fiscal 2000. Marketing and selling expenses, as a percentage of net
sales, increased to 19.0% in the first six months of fiscal 2001 as compared to
17.9% in the first six months of fiscal 2000.

Research and Development Expenses. Research and development expenses declined
5.7% to $6,583 from $6,978 in the second quarter of fiscal 2001. Research and
development expenses are incurred related to: (i) expansion and improvement of
the line of Uni-Form(R) pulse start lamps and fixtures (with improved energy
efficiency, quicker starting and restarting and a more compact arc source, which
improves the light and reduces material costs) intended to replace many first
generation metal halide lamps and fixtures in industrial and commercial
applications; (ii) improving the coating process of optical thin-films to
broaden the applications, developing new thin-film materials, and using coatings
to develop improvements to lighting and telecommunications technologies; (iii)
development of new materials for the world's major lighting manufacturers; and,
(iv) development and testing of electronic and electromagnetic power supply
systems. As a percentage of net sales, research and development expenses
remained constant at 6.0% for both fiscal 2001 and fiscal 2000.

General and Administrative Expenses. General and administrative expenses
decreased 13.7% to $7,008 in the first six months of fiscal 2001 from $8,121 in
the first six months of fiscal 2000. The decrease reflects the Company's
continued efforts to control corporate general and administrative costs,
particularly a reduction in professional services (legal, audit and tax) of
$655. Also, in fiscal 2001, expenses were reduced by the elimination of a $500
litigation-related accrual that, based on review with legal counsel, is no
longer required. As a percentage of net sales, general and administrative
expenses declined to 6.5% in the first six months of fiscal 2001 from 7.0% in
the first six months of fiscal 2000. In future quarters, the Company expects
that general and administrative expenses will approximate 7% of sales.

Amortization of Intangible Assets. Amortization expense increased slightly to
$1,409 in the first six months of fiscal 2001 from $1,347 in the first six
months of fiscal 2000. Amortization expense relates primarily to the
amortization of goodwill and other intangible assets related to the January 1998
acquisitions of Ruud Lighting, Inc. and Deposition Sciences, Inc.

Income from Operations. As a result of the items noted above, income from
operations in the first six months of fiscal 2001 increased to $7,582 from
$7,131 in the first six months of fiscal 2000. As a percentage of net sales,
income from operations increased to 7.0% in the first six months of fiscal 2001
from 6.1% in the first six months of fiscal 2000.

Interest Expense. Interest expense increased slightly to $7,227 in the first six
months of fiscal 2001 from $7,113 in the first six months of fiscal 2000. Both
the average debt outstanding and the weighted average interest rates remained
relatively comparable during the quarters.

Interest Income. Interest income increased slightly to $487 in the first six
months of fiscal 2001 from $434 in the first six months of fiscal 2000.



                                       22


<PAGE>   24


Income (Loss) from Equity Investments. The income from equity investments in the
first six months of fiscal 2001 of $18 and fiscal 2000 of $85 represent the
earnings from the Company's investment in Fiberstars, Inc., a marketer and
distributor of fiber optic lighting products.

Income before Income Taxes and Minority Interest. Income before income taxes and
minority interest increased to $860 in the first six months of fiscal 2001 from
$537 in the first six months of fiscal 2000.

Income Taxes. Income tax expense was $97 for the first six months of fiscal 2001
as compared to income tax expense of $339 for the first six months of fiscal
2000. The income tax expense is related primarily to certain of the Company's
foreign operations.

At June 30, 2000, the Company had net operating loss carryforwards of $77,205
available to reduce future United States federal taxable income, which expire in
varying amounts from 2008 to 2020.

The Company also has research and development credit carryforwards for tax
purposes of approximately $3,196, which expire in varying amounts from 2008 to
2015. Additionally, in conjunction with the Alternative Minimum Tax ("AMT")
rules, the Company had available AMT credit carryforwards for tax purposes of
approximately $259, which may be used indefinitely to reduce regular federal
income taxes.

Also at June 30, 2000, the Company had foreign net operating loss carryforwards
for tax purposes totaling $3,693 that expire in varying amounts from 2001 to
2006 and $9,303 that have no expiration dates.

LIQUIDITY AND CAPITAL RESOURCES

The Company's principal financial requirements are for market development
activities, research and development efforts, acquisitions and strategic
investments, and working capital. These requirements have been, and the Company
expects they will continue to be, financed through a combination of cash flow
from operations, borrowings under credit facilities and the sale of stock and
debt under two shelf registration statements for $300,000 and $100,000.

Cash decreased $584 during the first six months of fiscal 2001. Uses of cash
consisted of $2,005 used in operating activities and $11,084 used in investing
activities. These uses of cash were offset by net financing activities of
$12,505.

Net cash used in operating activities. Net cash used in operating activities
totaled $2,005 during the first six months of fiscal 2001 as compared to $3,670
in the first six months of fiscal 2000. Net income plus depreciation and
amortization provided $6,286, while the decrease in accounts payable and accrued
expenses of $7,934 was the primary usage of cash. This decrease was primarily a
result of a plan to bring payables to suppliers more current. In spite of this
usage of cash in the first six months, the Company intends to manage its cash
resources to generate positive cash flow from operating activities for the full
fiscal year 2001 and beyond.

                                       23


<PAGE>   25


Net cash used in investment activities. During the first half of fiscal 2001,
investing activities used $11,084, of which $10,718 represented capital
expenditures. Capital expenditures in fiscal 2001 related primarily to
additional machinery and equipment to improve production processes, which should
result in increased productivity and capacity in the production of lighting and
telecommunications products.

The Company has modified its future growth and capital expansion plans to be in
line with fiscal 2000. Specifically, the Company will limit its capital
expenditures for the next twelve months, except for its telecommunications
business. Under its $300,000 shelf registration, in September 2000, the Company
sold 1,700,000 shares of common stock for $15.00 per share to fund the future
expansion of its telecommunications business unit over the next twelve to
eighteen months. The net proceeds from the stock offering of $22,900 were used
to repay outstanding indebtedness under the Bank Credit Facility. The Company
expects to use $22,900 of borrowings under the Bank Credit Facility for
expenditures on capital improvements, including optical coating production
equipment, filter testing and measuring testing and measuring equipment and
production facilities, and on research and development, in the
telecommunications business.

As a result of the Company's fiscal 1999 decision to terminate joint venture
equipment contracts, approximately $6,500 of new production equipment was made
available for installation at the Company's lamp manufacturing facilities. The
Company has transferred approximately $2,000 of this equipment to its
manufacturing facility in Chennai (Madras) India, and has placed $1,700 of
equipment into service in its Solon, Ohio lamp manufacturing facility, leaving
approximately $2,800 of equipment available for future manufacturing
requirements. The Company estimates its maintenance level for capital
expenditures in the lighting business will approximate $6,000 to $8,000 over the
next twelve months. Future capital expenditures (excluding the
telecommunications business) beyond this level will be discretionary, as the
Company presently has sufficient operating capacities to support several years
of sales growth at its historical rates.

Net cash provided by financing activities. During the first six months of fiscal
2001, net financing activities provided cash of $12,505, which included $22,900
of net proceeds from an offering of 1,700,000 shares of the Company's common
stock and net repayments of debt of $9,009.

On March 13, 1998, the Company sold $100,000 of 8% Senior Notes due March 15,
2008, resulting in net proceeds of $96,150. Approximately $76,300 of the net
proceeds of the Senior Notes were used to repay amounts outstanding under the
Company's former bank credit facility, thereby lengthening the average term of
the Company's debt, most of which had been incurred to finance the acquisitions
of Ruud Lighting, Inc. and Deposition Sciences, Inc. From September 1998 until
August 2000, interest on these notes was calculated at 8.5%. During August 2000,
the Company completed a registered exchange offer to existing noteholders, which
resulted in reducing the interest rate on the Senior Notes to 8.0% from 8.5%.

Pursuant to a loan agreement dated October 8, 1998, between the Company and its
Chairman and Chief Executive Officer (the "CEO"), the Company loaned $9,000 to
its CEO for a one-year term at an interest rate of 8%. The loan was made
following approval by the Company's Board

                                       24


<PAGE>   26


of Directors. The proceeds of the loan were used by the Company's CEO to reduce
the principal balance outstanding of a margin account loan, which is secured by
2,053,070 shares of the Company's Common Stock owned by the CEO and a related
entity. In connection with the loan, the Company's Board of Directors asked for
and received the CEO's agreement to extend the term of his employment agreement
to December 31, 2003. The loan agreement prohibits the CEO from encumbering his
shares of the Company's Common Stock in any manner except pursuant to the
existing agreements governing the CEO's margin account, without the consent of
the Company's Board of Directors.

The CEO has paid accrued interest of $720 on the loan through October 6, 1999.
The principal on the loan was due on October 6, 1999. On January 25, 2000, the
Board agreed that the CEO would not be required to repay the loan until October
6, 2000. The term of the loan has been extended by the Board to October 6, 2001.

On November 22, 2000, the Board authorized an amendment to the loan agreement
which allowed loans of up to an additional $1,900 to satisfy margin
requirements. During the second quarter, the Company loaned the CEO $1,900 for
this purpose. The CEO has agreed to repay $1,400 of this amount should the
market price of ADLT's Common Stock reach $11.00 per share and the average
closing price for the shares reaches $11.00 per share for twenty trading days.
The Board reserved the right to require earlier repayment if ADLT requires the
payment to prevent an unacceptable strain on cash resources.

Ability to advance future operations. The Company has begun to implement, and
will continue to implement, changes in its operations and investment activities
intended to reduce the use of its cash resources to a level at or below the cash
flow generated by its operations and investments.

The Company's working capital (current assets less current liabilities) at
December 31, 2000 was $48,471 resulting in a working capital ratio of current
assets to current liabilities of 2.3 to 1.0, as compared to $39,949 or 1.9 to
1.0 at June 30, 2000. As of December 31, 2000, the Company had $3,306 in cash
and cash equivalents.

The interest-bearing obligations of the Company totaled $156,086 as of December
31, 2000, and consisted of: $31,746 of borrowings under the Bank Credit
Facility; $100,000 of 8% Senior Notes; mortgages of $15,735; promissory notes of
$2,451; obligations of a foreign subsidiary of $5,698; and, capital leases of
$456.

The Company maintains a Bank Credit Facility with a $40,000 revolving credit
loan and $20,000 term loan provided by several financial institutions. The
revolving credit loan has a three-year term expiring in May 2002. Interest rates
on revolving credit loans outstanding are based, at the Company's option, on
LIBOR plus 2.25% or the agent bank's prime rate. Availability of borrowings is
determined by the Company's eligible accounts receivable and inventories. The
term loan has a five-year term expiring in May 2004. The Company pays monthly
principal payments that total $3,576 annually, with the unpaid balance due at
maturity. Interest rates on the term loan are based, at the Company's option, on
LIBOR plus 2.75% or the agent bank's prime rate.

                                       25

<PAGE>   27

The Bank Credit Facility contains certain affirmative and negative covenants
customary for this type of agreement, prohibits cash dividends, and includes
financial covenants with respect to the coverage of certain fixed charges. The
principal security for the revolving credit loan is substantially all of the
personal property of the Company and each of its North American and United
Kingdom subsidiaries. The term loan is secured by substantially all of the
Company's machinery and equipment and is cross-collateralized and secured with
the revolving credit loan.

As discussed above, the Company is in discussions with several investment
banking firms to assist in identifying and implementing the best strategic
alternative for the telecommunications business unit.

On August 31, 2000, the Company completed a public offering of 1,700,000 shares
of its common stock at a price of $15.00 per share under a $300,000 shelf
registration filed with the Securities and Exchange Commission which became
effective in July 2000.

The public offering reduced the amount available for the issuance of various
debt and equity securities under the shelf registration statement to
approximately $274,500. The Company used the net proceeds from the public
offering of approximately $22,900 to repay revolving credit loan borrowings. The
Company intends to subsequently borrow under its revolving credit loan facility
to fund capital improvements, including optical coating production equipment,
filter testing and measurement equipment and production facilities, and on
research and development in its telecommunications business unit at Deposition
Sciences, Inc.

In addition to the $300,000 shelf registration discussed above, in July 2000 a
$100,000 shelf registration became effective under which the Company may from
time-to-time issue various debt and equity securities to acquire assets,
businesses or securities. The Company has no outstanding securities issued under
this registration statement.

The Company believes that the available cash, cash flow from operations, along
with the availability under its existing Bank Credit Facility, will enable the
Company to fund its operations for at least the next 12 months. Beyond this
time, the Company believes a return to profitability and positive cash flow from
operations, and the growth in the popularity and applications for metal halide
products and systems should enable the Company to access additional capital
resources, as needed.

IMPACT OF RECENTLY ISSUED ACCOUNTING STANDARDS

The Company adopted Statement of Financial Accounting Standards ("FAS") No. 133
"Accounting for Derivative Instruments and Hedging Activities" as of July 1,
2000. FAS 133 requires that all derivatives, such as interest rate exchange
agreements (swaps), be recognized on the balance sheet at fair value. The
Company had no derivatives as at July 1, 2000, and therefore, no resulting
transition adjustments.

The Company also adopted Emerging Issues Task Force ("EITF") Issue 00-27,
"Application of EITF 98-5, `Convertible Securities with Beneficial Conversion
Features or Contingently Adjustable Conversion Ratios,' to Certain Convertible
Instruments" in the quarter ended

                                       26


<PAGE>   28


December 31, 2000. EITF Issue 00-27 requires that a convertible instrument's
beneficial conversion feature be measured using an effective conversion price.
As a result, the value assigned to the redeemable preferred stock was adjusted
by $5,329 for the discount related to the beneficial conversion option. This
additional discount was immediately accreted to paid-in capital in a manner
similar to a cumulative effect of an accounting change since the redeemable
preferred stock was convertible at the time of issuance. The impact of this
change is noted in the Condensed Statement of Consolidated Shareholders' Equity
and in Note H "Earnings Per Share."

FOREIGN CURRENCY

Approximately 27% of the Company's net sales in fiscal 2000 were denominated in
currencies other than U.S. dollars, principally Pounds Sterling, Australian
dollars and Canadian dollars. A weakening of such currencies versus the U.S.
dollar could have a material adverse effect on the Company. The Company
currently does not hedge its foreign currency exposure.

ITEM 3.  QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

During the six months ended December 31, 2000, there have been no material
changes in the reported market risks presented in the Company's Annual Report on
Form 10-K for the year ended June 30, 2000.

                                       27



<PAGE>   29

PART II.  OTHER INFORMATION

Except as noted below, the items in Part II are inapplicable or, if applicable,
would be answered in the negative. These items have been omitted and no other
reference is made thereto.

ITEM 2.  CHANGES IN SECURITIES AND USE OF PROCEEDS

(c)  On December 18, 2000, a subsidiary of General Electric Company ("GE")
     exercised the warrant acquired by GE on October 6, 1999 in connection with
     GE's privately-negotiated $20.55 million investment in the Company. As a
     result of the exercise of the warrant, the subsidiary of GE acquired
     998,703 shares of Company Common Stock, par value $.001 per share ("Common
     Stock") in consideration of the surrender of the right to acquire 1,297
     shares of Common Stock upon exercise of the warrant. The transaction was
     exempt from registration under the Securities Act of 1933, as amended (the
     "Act") pursuant to Section 4(2) of the Act. GE agreed to restrictions on
     the transfer of the warrant and the underlying Common Stock, made customary
     representations and warranties and the share certificate bears a
     restrictive legend.

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

An annual meeting of shareholders was held on December 7, 2000. The following
sets forth the actions considered and the results of the voting with respect to
each action:

<TABLE>
<CAPTION>
                                                                                      Abstained/
                                                                                        Broker
                                                           For          Against        Nonvotes
                                                           ---          -------        --------

<S>                                                     <C>              <C>              <C>
1.  Nominees for director for the term
    expiring in 2003 -- All elected

          Alan J. Ruud                                  15,137,249       56,991          -0-
          Francis H. Beam                               15,134,195       60,045          -0-
          Louis S. Fisi                                 14,773,748      420,492          -0-

2.  Ratify appointment of Grant Thornton LLP
    as independent auditors -- Passed                   14,750,088      422,512       21,640

</TABLE>

ITEM 5.  OTHER INFORMATION

On January 17, 2001, the Company ("ADLT") announced DSI's success in
demonstrating key DWDM filter manufacturing capabilities using its patented
MicroDyn(R) technology. ADLT's press release, dated January 17, 2001, relating
to these matters is attached hereto as Exhibit 99.1.

On January 25, 2001, ADLT announced its results of operations for the second
quarter and first six months of fiscal 2001 ended December 31, 2000. ADLT's
press release, dated January 25, 2001, relating to the results of its operations
is attached hereto as Exhibit 99.2.

                                       28


<PAGE>   30


ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K

(a)   Exhibits

<TABLE>
<CAPTION>
                                                                                              SEQUENTIAL
                                                                                             PAGE NUMBER/
EXHIBIT                                                                                      INCORPORATED
NUMBER            TITLE                                                                      BY REFERENCE
------            -----                                                                      ------------

<S>         <C>                                                                              <C>
3.1         Second Amended and Restated Articles of Incorporation filed
            September 26, 1995                                                                    (1)

3.2         Certificate of Adoption of Third Amendment to Second Amended and
            Restated Articles of Incorporation filed October 6, 1999                              (2)

3.3         Certificate of Adoption of Fourth Amendment to Second Amended and
            Restated Articles of Incorporation filed March 16, 2000                               (3)

3.4         Code of Regulations                                                                   (4)

4.1         Reference is made to Exhibits 3.1, 3.2, 3.3 and 3.4

10.1        First Amendment to Loan Agreement, Secured Promissory Note and
            Security Agreement between Wayne R. Hellman and Advanced Lighting
            Technologies, Inc.

12          Statement Re: Computation of Ratio of Earnings to Fixed Charges

99.1        Press Release of Advanced Lighting Technologies, Inc. dated January
            17, 2001

99.2        Press Release of Advanced Lighting Technologies, Inc. dated January
            25, 2001
</TABLE>

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

(1)  Incorporated by reference to Exhibit of same number in Company's Quarterly
     Report on Form 10-Q for the Quarterly Period ended December 31, 1996.

(2)  Incorporated by reference to Exhibit of same number in Company's Quarterly
     Report on Form 10-Q/A for the Quarterly Period ended September 30, 1999
     filed January 14, 2000.

(3)  Incorporated by reference to Exhibit of same number in Company's Annual
     Report on Form 10-K for the Annual Period ended June 30, 2000 filed
     September 27, 2000.

(4)  Incorporated by reference to Exhibit 3.2 in Company's Registration
     Statement on Form S-1, Registration No. 33-97902, effective December 11,
     1995.

                                       29


<PAGE>   31


(b)  Reports on Form 8-K.

During the quarter ended September 30, 2000, the Company filed one Report on
Form 8-K.

On November 28, 2000, the Company filed a Current Report dated November 22,
2000, reporting under Item 5 the Board of Directors' authorization of an
amendment to the loan agreement dated October 8, 1998 between ADLT and Mr. Wayne
R. Hellman, its Chairman and Chief Executive Officer. Pursuant to the amendment,
the Company authorized additional loans of up to $1,900,000 to reduce
outstanding balances in margin loan accounts maintained by Mr. Hellman secured
by 2,053,070 shares of ADLT common stock owned by Mr. Hellman and Hellman Ltd.
The Company also reported that $1,400,000 was advanced on November 24, 2000.

                                       30


<PAGE>   32


                                   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 hereunto duly authorized.

                                            ADVANCED LIGHTING TECHNOLOGIES, INC.

Date: February 14, 2001                              By: /s/ Wayne R. Hellman
                                                         -----------------------
                                                         Wayne R. Hellman
                                                         Chief Executive Officer



Date: February 14, 2001                              By: /s/ Steven C. Potts
                                                         -----------------------
                                                         Steven C. Potts
                                                         Chief Financial Officer



                                       31


<PAGE>   33


                                  EXHIBIT INDEX

<TABLE>
<CAPTION>
EXHIBIT
NUMBER      DESCRIPTION OF EXHIBITS                                                      PAGE NO.
------      -----------------------                                                      --------

<S>         <C>                                                                          <C>
3.1         Second Amended and Restated Articles of Incorporation filed
            September 26, 1995                                                              (1)

3.2         Certificate of Adoption of Third Amendment to Second Amended and
            Restated Articles of Incorporation filed October 6, 1999                        (2)

3.3         Certificate of Adoption of Fourth Amendment to Second Amended and
            Restated Articles of Incorporation filed March 16, 2000                         (3)

3.4         Code of Regulations                                                             (4)

4.2         Reference is made to Exhibits 3.1, 3.2, 3.3 and 3.4

10.1        First Amendment to Loan Agreement, Secured Promissory Note and
            Security Agreement between Wayne R. Hellman and Advanced Lighting
            Technologies, Inc.

12          Statement Re: Computation of Ratio of Earnings to Fixed Charges

99.1        Press Release of Advanced Lighting Technologies, Inc. dated January
            17, 2001

99.2        Press Release of Advanced Lighting Technologies, Inc. dated January
            25, 2001
</TABLE>

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

(1)  Incorporated by reference to Exhibit of same number in Company's Quarterly
     Report on Form 10-Q for the Quarterly Period ended December 31, 1996.

(2)  Incorporated by reference to Exhibit of same number in Company's Quarterly
     Report on Form 10-Q/A for the Quarterly Period ended September 30, 1999
     filed January 14, 2000.

(3)  Incorporated by reference to Exhibit of same number in Company's Annual
     Report on Form 10-K for the Annual Period ended June 30, 2000 filed
     September 27, 2000.

(4)  Incorporated by reference to Exhibit 3.2 in Company's Registration
     Statement on Form S-1, Registration No. 33-97902, effective December 11,
     1995.

                                       32