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

                                                     FORM 10-Q

                                 QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D)
                                      OF THE SECURITIES EXCHANGE ACT OF 1934

                                 FOR THE QUARTERLY PERIOD ENDED SEPTEMBER 24, 2000

                                                  [Company Logo]

                                          COMMISSION FILE NUMBER 1-12333

                                                Iomega Corporation
                              (Exact name of registrant as specified in its charter)

                Delaware                                                                86-0385884
          (State or other jurisdiction                                      (IRS employer identification number)
         of incorporation or organization)

                                        1821 West Iomega Way, Roy, UT 84067
                                     (Address of principal executive offices)

                                                  (801) 332-1000
                               (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   ____________
                                          -----------

         Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of
September 24, 2000.

Common Stock, par value $.03 1/3                                                      270,614,405
   (Title of each class)                                                          (Number of shares)
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**IOMEGA CORPORATION                                                 TABLE OF CONTENTS****PART I - FINANCIAL STATEMENTS**Item 1.  Financial Statements (Unaudited)         Condensed Consolidated Balance Sheets at September 24, 2000              and December 31, 1999................................................................       3         Condensed Consolidated Statements of Operations for the quarters              ended September 24, 2000 and September 26, 1999......................................       5         Condensed Consolidated Statements of Operations for the nine months              ended September 24, 2000 and September 26, 1999......................................       6         Condensed Consolidated Statements of Cash Flows for the nine months              ended September 24, 2000 and September 26, 1999......................................       7         Notes to Condensed Consolidated Financial Statements......................................       8Item 2.  Management's Discussion and Analysis of Financial              Condition and Results of Operations..................................................      26Item 3.  Quantitative and Qualitative Disclosures About Market Risk................................      48                                            **PART II - OTHER INFORMATION**Item 1.  Legal Proceedings.........................................................................      49Item 2.  Changes in Securities and Use of Proceeds.................................................      49Item 6.  Exhibits and Reports on Form 8-K..........................................................      49Signatures.........................................................................................      50Exhibit Index......................................................................................      51
This Quarterly Report onForm 10-Q contains a number of forward-looking statements, including, withoutlimitation, statements referring to: future gross margin percentages; expectedincreases in selling, general and administrative expenses and in research anddevelopment expenses; the impact on gross margins of the sales volumes ofZip®; and Jaz® disks, sales mix between disks and drives, the sales mixbetween Zip 100MB and Zip 250MB drives, the sales mix between OEM andaftermarket channels, the sales mix between the Company’s products, futurepricing actions and potential start-up costs of new products; the expectedsufficiency of cash, cash equivalent and temporary investment balances, cashflows from operations and future sources of financing; the expected source offunds for the Company’s stock repurchase program; the impact of newaccounting pronouncements; the timing and impact of restructuring activities andother organizational changes; expected sales levels due to seasonal demand;anticipated hedging strategies; and, the possible effects of an adverse outcomein legal proceedings described in Note 8 of Part I. Any statements containedherein that are not statements of historical fact may be deemed to beforward-looking statements. Without limiting the foregoing, the words“believes,” “anticipates,” “plans,”“expects,” “intends” and similar expressions are intended toidentify forward-looking statements, although not all forward-looking statementscontain these words. There are a number of important factors that could causeactual events or the Company’s actual results to differ materially fromthose indicated by such forward-looking statements. These factors include,without limitation, those set forth under the caption “Litigation” inNote 8 of Part I, under the captions “Liquidity and Capital Resources”and “Factors Affecting Future Operating Results” included under“Management’s Discussion and Analysis of Financial Condition andResults of Operations” in Item 2 of Part I and “QuantitativeDisclosures About Market Risk” in Item 3 of Part I of this Quarterly Reporton Form 10-Q. The factors discussed herein do not reflect the potential futureimpact of any mergers, acquisitions or dispositions. The Company does not assumeany obligation to update any forward-looking statements made herein. 
__________
Copyright © 2000Iomega Corporation. Iomega, Zip, Jaz, Iomega CD-RW, PocketZip, Clik!, HipZip,Fotoshow, iomegadirect and the stylized “I” logo are either registeredtrademarks or trademarks of Iomega Corporation in the United States and/or othercountries. Certain other product names, brand names and company names may betrademarks or designations of their respective owners. 

**IOMEGA CORPORATION                                       CONDENSED CONSOLIDATED BALANCE SHEETS                                                      ASSETS**
(In thousands)                                                                            September 24,         December 31,                                                                                     2000                 1999                                                                            -------------         ------------                                                                                       (Unaudited)      **Current assets:**          Cash and cash equivalents                                            $ 293,035          $   172,706          Temporary investments                                                  113,884               38,209          Trade receivables, less allowance for doubtful accounts of             $9,601 and $15,908, respectively (Note 1)                           169,213              175,511          Inventories                                                             84,169              103,019          Income taxes receivable                                                  1,360               19,910          Deferred income taxes                                                   33,587                    -          Other current assets                                                    15,800               21,585                                                                              ----------            ---------             Total current assets                                                711,048              530,940                                                                              ----------            ---------      **Property, plant and equipment,** at cost                                     316,269              365,036      Less:  Accumulated depreciation and amortization                          (211,255)            (227,336)                                                                              ----------            ---------          Net property, plant and equipment                                      105,014              137,700                                                                              ----------            ---------      **Intangibles, net**                                                            22,815               31,743                                                                              ----------            ---------      **Other assets**                                                                 1,884                2,848                                                                              ----------            ---------                                                                                $840,761             $703,231                                                                              ==========            =========
Theaccompanying notes to condensed consolidated financial statements are anintegral part of these statements.