<PAGE>   1

================================================================================


                       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 QUARTER ENDED MARCH 31, 2001

        [ ]     Transition report pursuant to Section 13 or 15(d) of the
                Securities Exchange Act of 1934 For the Period From _________ to
                __________.

                         Commission File Number: 0-24900
                                                 -------

                                INTERLOGIX, INC.
             (Exact name of Registrant as specified in its charter)

<TABLE>
<S>                                                             <C>
                    DELAWARE                                                  06-1340453
(State or other jurisdiction of incorporation or                (I.R.S. employer identification number)
                  organization)
</TABLE>


              114 WEST 7TH STREET, SUITE 1300, AUSTIN, TEXAS 78701

              (Address of principal executive offices and zip code)

                                 (512) 381-2760

              (Registrant's telephone number, including area code)

<TABLE>
<S>                                                          <C>
Securities registered pursuant to Section 12(b) of the Act:  Common Stock, par value $.01 per share
                                                             --------------------------------------
</TABLE>

        Securities registered pursuant to Section 12(g) of the Act: None
                                                                    ----

        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 periods as 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
                                    ---     ---

        As of May 10, 2001, number of outstanding shares of the Registrant's
Common Stock was 19,463,637.


================================================================================



<PAGE>   2


TABLE OF CONTENTS

<TABLE>
<S>                                                                                                      <C>
PART I     FINANCIAL INFORMATION...........................................................................3

ITEM 1.    CONSOLIDATED FINANCIAL STATEMENTS

           Consolidated balance sheets.....................................................................3

           Consolidated statements of operations...........................................................4

           Consolidated statement of stockholders' equity..................................................5

           Consolidated statements of cash flows...........................................................6

           Notes to consolidated financial statements......................................................7

ITEM 2.    MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
           AND RESULTS OF OPERATIONS......................................................................13

ITEM 3.    QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.....................................19



PART II    OTHER INFORMATION..............................................................................19

ITEM 1.    LEGAL PROCEEDINGS..............................................................................19

ITEM 2.    CHANGES IN SECURITIES AND USE OF PROCEEDS......................................................19

ITEM 3.    DEFAULTS UPON SENIOR SECURITIES................................................................19

ITEM 4.    SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS............................................20

ITEM 5.    OTHER INFORMATION..............................................................................20

ITEM 6.    EXHIBITS AND REPORTS ON FORM 8-K...............................................................20

SIGNATURE  ...............................................................................................21
</TABLE>




                                      -2-
<PAGE>   3


                                INTERLOGIX, INC.

                           CONSOLIDATED BALANCE SHEETS
                              (DOLLARS IN MILLIONS)

<TABLE>
<CAPTION>
                                                                                                     As of
                                                                                         -----------------------------
                                                                                            March 31,     December 31,
                                                                                              2001            2000
                                                                                         -----------------------------
                                                                                           (unaudited)
<S>                                                                                        <C>             <C>
ASSETS
CURRENT ASSETS:
   Cash and cash equivalents ........................................................        $   7.8         $  12.5
   Receivables, net .................................................................          137.5           131.6
   Inventories, net .................................................................           92.3            84.9
   Prepaids and other ...............................................................           15.6            14.8
                                                                                         -----------------------------
         Total current assets .......................................................          253.2           243.8

PROPERTY, PLANT AND EQUIPMENT, net of accumulated depreciation of $56.4 and
   $55.6, respectively ..............................................................           51.7            50.4

OTHER ASSETS, net ...................................................................            7.0             6.7

INTANGIBLES:
   Other intangible assets, net of accumulated amortization of $27.0 and
   $25.6, respectively ..............................................................          136.0           136.6
   Goodwill, net of accumulated amortization of $51.0 and $48.4, respectively .......          191.8           195.5
                                                                                         -----------------------------
         TOTAL ASSETS ...............................................................        $ 639.7         $ 633.0
                                                                                         =============================

LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
   Current portion of long-term debt ................................................           17.7            16.7
   Accounts payable and accrued expenses ............................................           96.2           101.8
   Accounts payable - related party .................................................            0.2             0.2
                                                                                         -----------------------------
         Total current liabilities ..................................................          114.1           118.7

LONG-TERM DEBT ......................................................................          219.3           210.6
DEFERRED INCOME TAXES ...............................................................           46.4            46.0
OTHER NONCURRENT LIABILITIES ........................................................           12.1            10.7
                                                                                         -----------------------------
         Total liabilities ..........................................................          391.9           386.0
                                                                                         -----------------------------

COMMITMENTS AND CONTINEGENCIES

STOCKHOLDERS' EQUITY:
   Common stock, par value $.01 per share; 60,000,000 shares authorized,
     20,419,987 issued and 19,463,287 outstanding at March 31, 2001;
     20,401,437 issued and 19,444,737 outstanding at December 31, 2000 ..............            0.2             0.2
   Paid-in-capital ..................................................................          235.6           234.9
   Treasury shares, at cost, 956,700 shares .........................................          (15.3)          (15.3)
   Retained earnings ................................................................           43.1            38.8
   Accumulated other comprehensive loss .............................................          (15.8)          (11.6)
                                                                                         -----------------------------
         Total stockholders' equity .................................................          247.8           247.0
                                                                                         -----------------------------
         TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY .................................        $ 639.7         $ 633.0
                                                                                         =============================
</TABLE>


See accompanying notes



                                      -3-
<PAGE>   4


                                INTERLOGIX, INC.

                      CONSOLIDATED STATEMENTS OF OPERATIONS
                 (DOLLARS IN MILLIONS, EXCEPT PER SHARE AMOUNTS)
                                   (UNAUDITED)

<TABLE>
<CAPTION>
                                                                  THREE MONTHS ENDED
                                                          -----------------------------------
                                                             MARCH 31,             APRIL 1,
                                                               2001                  2000
                                                          --------------        --------------
<S>                                                       <C>                   <C>

REVENUES .........................................                $158.9                 $97.0

COST OF REVENUES .................................                  91.9                  57.1
                                                          --------------        --------------

     Gross Profit ................................                  67.0                  39.9


SELLING, GENERAL AND
ADMINISTRATIVE EXPENSE ...........................                  41.8                  28.8

RESEARCH AND
DEVELOPMENT EXPENSES .............................                   6.3                   4.8

AMORTIZATION OF
INTANGIBLES ......................................                   5.8                   2.4

RESTRUCTURING AND
OTHER CHARGES ....................................                    --                   0.3
                                                          --------------        --------------

     Operating Income ............................                  13.1                   3.6

OTHER (INCOME) EXPENSE:
     Interest expense, net .......................                   4.6                   1.1
     Other, net ..................................                   0.5                  (2.2)
                                                          --------------        --------------

     Income before taxes .........................                   8.0                   4.7

INCOME TAX PROVISION .............................                   3.7                   2.8
                                                          --------------        --------------

NET INCOME .......................................                  $4.3                  $1.9
                                                          ==============        ==============

Net income per share:
   Basic .........................................                 $0.22                 $0.12
   Diluted .......................................                 $0.22                 $0.12

Weighted average shares outstanding:
   Basic .........................................            19,458,401            15,170,640
   Diluted .......................................            19,726,685            15,261,664
</TABLE>


See accompanying notes




                                      -4-
<PAGE>   5


                        INTERLOGIX, INC. AND SUBSIDIARIES

                 CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY
                 (DOLLARS IN MILLIONS, EXCEPT PER SHARE AMOUNTS)


<TABLE>
<CAPTION>
                                                                                                     Accumulated
                                    Number of     Common      Paid-In     Treasury       Retained       Other
                                     Shares        Stock      Capital       Stock        Earnings   Comprehensive
                                                                                                         Loss          Total
                                   ----------   ----------   ----------   ----------    ----------  -------------   ----------
<S>                                <C>          <C>          <C>          <C>           <C>         <C>             <C>

Balance December 31, 1999          15,170,640   $      0.2   $    122.6   $    (15.3)   $     67.3    $     (7.9)   $    166.9

Comprehensive loss
------------------

     Net loss                              --           --           --           --         (28.5)           --         (28.5)

     Currency translation
     adjustment                            --           --           --           --            --          (3.7)         (3.7)
                                                                                                                    ----------
Total comprehensive loss                   --           --           --           --            --            --         (32.2)
                                                                                                                    ----------

Issue common stock in
connection with the merger          4,268,372           --        111.2           --            --            --         111.2

Exercise of stock options               5,725           --          0.1           --            --            --           0.1

Compensation expense                       --           --          1.0           --            --            --           1.0
                                   ----------   ----------   ----------   ----------    ----------    ----------    ----------

Balance December 31, 2000          19,444,737   $      0.2   $    234.9   $    (15.3)   $     38.8    $    (11.6)   $    247.0
                                   ----------   ----------   ----------   ----------    ----------    ----------    ----------

Comprehensive income
--------------------

     Net income                            --           --           --           --           4.3            --           4.3

     Unrealized fair value of
     derivative  instruments               --           --           --           --            --          (0.3)         (0.3)

     Currency translation
     adjustment                            --           --           --           --            --          (3.9)         (3.9)
                                                                                                                    ----------
Total comprehensive income                 --           --           --           --            --            --           0.1
                                                                                                                    ----------
Exercise of stock options              18,550           --          0.4           --            --            --           0.4

Compensation expense                       --           --          0.3           --            --            --           0.3
                                   ----------   ----------   ----------   ----------    ----------    ----------    ----------

Balance March 31, 2001
(unaudited)                        19,463,287   $      0.2   $    235.6   $    (15.3)   $     43.1    $    (15.8)   $    247.8
                                   ==========   ==========   ==========   ==========    ==========    ==========    ==========
</TABLE>


See accompanying notes



                                      -5-
<PAGE>   6


                                INTERLOGIX, INC.

                      CONSOLIDATED STATEMENTS OF CASH FLOW
                              (DOLLARS IN MILLIONS)
                                   (UNAUDITED)

<TABLE>
<CAPTION>
                                                               THREE MONTHS ENDED
                                                            -----------------------
                                                             MARCH 31,     APRIL 1,
                                                               2001          2000
                                                            ----------    ---------
<S>                                                           <C>           <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
  Net Income ..........................................       $  4.3        $  1.9
  Adjustments to reconcile net income to net
     cash used in operating activities--
       Depreciation and amortization ..................         10.8           5.3
       Changes in assets and liabilities--
           Accounts receivable, net ...................         (4.1)          6.6
           Inventories, net ...........................         (7.4)         (5.0)
           Prepaid expenses and other .................         (3.5)         (0.1)
           Accounts payable and accrued expenses ......         (6.0)        (13.7)
                                                            ----------    ---------
       Net cash used in operating activities ..........         (5.9)         (5.0)
                                                            ----------    ---------

CASH FLOWS FROM INVESTING ACTIVITIES:
   Capital expenditures ...............................         (6.2)         (4.4)
   Other, net .........................................         (2.8)         (1.2)
                                                            ----------    ---------
      Net cash used in investing activities ...........         (9.0)         (5.6)
                                                            ----------    ---------

CASH FLOWS FROM FINANCING ACTIVITIES:
   Proceeds from borrowings ...........................         34.4           8.4
   Repayment of long-term debt ........................        (24.4)         (8.4)
   Proceeds from exercise of stock options ............          0.4            --
                                                            ----------    ---------
      Net cash provided by financing activities .......         10.4            --
                                                            ----------    ---------


EFFECT OF EXCHANGE RATE CHANGES ON CASH ...............         (0.2)         (0.3)
                                                            ----------    ---------


      Net decrease in cash and cash equivalents .......         (4.7)        (10.9)

CASH AND CASH EQUIVALENTS, beginning of period ........         12.5          21.6

CASH AND CASH EQUIVALENTS, end of period ..............       $  7.8        $ 10.7
                                                            ==========    =========

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
   Cash Paid for:
   Interest ...........................................       $  4.8        $  1.3
   Income Taxes .......................................       $  6.3        $  2.7
</TABLE>


See accompanying notes



                                      -6-
<PAGE>   7


NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)


I.      NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS


1.      OVERVIEW

        Interlogix, Inc. (the "Company"), a Delaware corporation (formerly known
        as ITI Technologies, Inc. ("ITI")), was incorporated in 1992. Pursuant
        to the terms of an Agreement and Plan of Merger and Reorganization, SLC
        Technologies, Inc. ("SLC"), a wholly owned subsidiary of Berwind LLC,
        formerly Berwind Group Partners ("Berwind"), a private company, merged
        with and into the Company, with the Company surviving. Since Berwind
        obtained a controlling interest in the Company the merger transaction
        was accounted for as a reverse acquisition of the Company by SLC.
        Accordingly, the financial statements of the Company consist of the
        historical accounts of SLC with the results of ITI included beginning on
        May 2, 2000. Concurrently with the transaction, the Company changed its
        name to Interlogix, Inc.

        The Company designs, develops, manufactures and distributes a broad
        range of components, systems and services for security, life safety and
        lifestyle enhancements. These solutions are directed toward the
        requirements of both business and consumers on a global basis. The
        Company's products and services are provided through an array of
        channels, including direct sales, wholesale distribution, specialized
        distribution and system integrators. The Company has sales and technical
        support operations in 25 countries and manufacturing and logistics
        operations in the United States, Europe, South Africa, Australia and
        China. The Company is represented by the following brand names: Aritech,
        Caddx, Casi-Rusco, ESL, Fiber Options, GBC, ITI, Kalatel, Sentrol, Supra
        and Tecom.

        The weighted average common shares outstanding as well as common stock,
        paid-in capital, stock options and the other components of stockholders'
        equity have been retroactively restated to give effect to the
        recapitalization that occurred as a result of the reverse merger.



2.      BASIS OF PRESENTATION

        The unaudited consolidated financial statements for the three month
        periods ended March 31, 2001 and April 1, 2000, reflect, in the opinion
        of management of the Company, all normal, recurring adjustments
        necessary for a fair statement of the results of operations for the
        interim periods. The results of operations for any interim period are
        not necessarily indicative of results for the full year. The
        consolidated balance sheet data as of December 31, 2000 was derived from
        the audited consolidated financial statements but does not include all
        disclosures required by generally accepted accounting principles. The
        unaudited consolidated financial statements should be read in
        conjunction with the consolidated financial statements and notes thereto
        included in the Company's current Annual Report on Form 10-K, filed with
        the Securities and Exchange Commission on April 2, 2001.

        The unaudited consolidated financial statements include the accounts of
        the Company and its wholly owned subsidiaries. All significant
        intercompany accounts and transactions have been eliminated.

        Certain reclassifications have been made to the prior period to conform
        to the current year presentation.



                                      -7-
<PAGE>   8


3.      INVENTORIES, NET

        Inventories, net are composed of:

<TABLE>
<CAPTION>
                                     March 31, 2001    December 31, 2000
                                     --------------    -----------------
<S>                                  <C>               <C>

Raw Materials                             $ 51.6            $ 47.4

Work-in-process                             14.0              14.1

Finished goods                              33.2              30.6
                                          ------            ------

                                            98.8              92.1

Less:  Inventory reserve                     6.5               7.2
                                          ------            ------

                                          $ 92.3            $ 84.9
                                          ======            ======
</TABLE>


4.      PROPERTY, PLANT AND EQUIPMENT, NET

        Property, plant and equipment, net are composed of:

<TABLE>
<CAPTION>

                                          Useful life          March 31, 2001             December 31, 2000
                                          -----------          --------------             -----------------
                                            (years)
<S>                                       <C>                  <C>                        <C>

Land                                           -                   $  0.3                       $  0.3

Buildings                                    30-40                    2.6                          2.1

Machinery and equipment                       7-12                   64.7                         64.0

Furniture and fixtures                        5-10                   20.6                         21.0

Leasehold improvements                        2-7                     4.6                          4.4

ERP and other                                 5-7                    15.3                         14.2
                                                                   ------                       ------

                                                                    108.1                        106.0

Less: Accumulated depreciation                                       56.4                         55.6
                                                                   ------                       ------

                                                                   $ 51.7                       $ 50.4
                                                                   ======                       ======
</TABLE>

        Depreciation expense for the three months ended March 31, 2001 and April
        1, 2000 was $4.8 million and $2.9 million, respectively.


5.      LONG-TERM DEBT

<TABLE>
<CAPTION>
Long-term debt consists of the following:       March 31, 2001           December 31, 2000
                                                --------------           -----------------
<S>                                             <C>                      <C>

Revolving credit facility                         $   140.5                   $   128.1

Term facility                                          95.0                        97.5

Other                                                   1.5                         1.7
                                                  ---------                   ---------

                                                      237.0                       227.3

Less:  current portion                                 17.7                        16.7
                                                  ---------                   ---------

                                                  $   219.3                   $   210.6
                                                  =========                   =========
</TABLE>



                                      -8-
<PAGE>   9


        Effective with the merger transaction described in Note 1, the Company
        entered into a five year $325.0 million senior, first priority, secured
        facility composed of a multi-currency revolving facility in the amount
        of $225.0 million and a term facility in the amount of $100.0 million.
        The credit facilities bear interest, at the discretion of Interlogix, at
        either (a) the greater of the prime rate, or the federal funds effective
        rate plus 0.5%, or (b) Libor plus, a margin of 0.25% to 1.75% based on
        the Company's leverage ratio.

        The credit facility was used to finance the merger transaction, to
        refinance SLC's previous bank debt obligations, to provide for working
        capital and for general corporate purposes. The revolver is due May
        2005. The term facility will be amortized in equal quarterly
        installments in the following percentages of the initial principal
        amount of the term facility for each year: (1) Year 1-10%, (2) Year
        2-15%, (3) Year 3-20%, (4) Year 4-25% and (5) Year 5-30%. Commitment
        fees ranging from 0.25% to o.375% depending on the Company's leverage
        ratio, are payable on the undrawn portion of the revolving facility.
        This credit agreement contains certain restrictive covenants, including
        the prohibition of the payment of dividends on common stock. The credit
        agreement also contains affirmative covenants including the maintenance
        of certain financial ratios as defined in the agreement. As of March 31,
        2001, the Company was in compliance with all covenants. The Company
        incurred debt issue costs of $3.8 million, which are being amortized
        over the life of the credit facility.

        At March 31, 2001, the Company had borrowings of $235.5 million and
        $27.0 million available under its $325.0 million credit facility. At
        March 31, 2001, the weighted average interest rate charged for
        borrowings under the credit facility, including the effect of interest
        rate swap contracts, was 6.41%.


6.      EARNINGS PER SHARE

        Basic EPS is computed by dividing net income available to common
        stockholders by the actual weighted average number of common shares
        outstanding for the period. Diluted EPS is computed assuming the
        conversion of all dilutive securities, which only includes stock options
        for the Company. For periods prior to May 2, 2000, shares outstanding
        include only the common stock and stock options of SLC. As discussed in
        Note 1, the weighted-average common shares outstanding have been
        retroactively restated to give effect to the recapitalization, which
        occurred as a result of the merger transaction.

        The following table summarizes the number of shares outstanding and
        diluted weighted average shares outstanding used to compute diluted EPS:

<TABLE>
<CAPTION>
                                                       Three Months Ended
                                            --------------------------------------
                                              March 31, 2001        April 1, 2000
                                              --------------        -------------
<S>                                           <C>                   <C>

Basic                                           19,458,401            15,170,640

Dilutive impact of options                         268,284                91,024
                                                ----------            ----------

Diluted                                         19,726,685            15,261,664
                                                ==========            ==========
</TABLE>


7.      SEGMENT REPORTING

        Through December 31, 2000, the Company reported on a geographic basis
        with two reportable segments, which included the Americas (North,
        Central and South America) and Europe (Europe and Africa). Effective
        January 1, 2001, the Company modified its organizational structure and
        as a result changed its reportable segments. The Company now operates
        its business on a geographic basis with three reportable segments, which
        include North America; Europe, the Middle East and Africa; and Rest of
        World. Additionally, the Company has three business groups, which
        operate within each geographic segment. These business groups include
        security and lifesafety; enterprise technologies; and key management
        products and services. Segment information for the three months ended
        April 1, 2000 has been restated to give effect to the change in the
        reportable segments.


                                      -9-
<PAGE>   10


        The Company evaluates the performance of its geographic segments based
        on operating profit, excluding amortization expense and certain
        corporate charges. Sales are determined based on the geographic segment
        within which the customer is located. Results of Europe, Middle East and
        Africa have been converted to United States dollars at the average
        exchange rate for the period.

        The following table presents geographic segment information.


<TABLE>
<CAPTION>
                                                       Three Months Ended
                                              ------------------------------------
                                                March 31, 2001     April 1, 2000
                                                --------------     -------------
<S>                                             <C>                <C>
SALES:
------

North America                                       $ 104.4            $  54.3

Europe, Middle East and Africa                         41.6               36.2

Rest of World                                          12.9                6.5
                                                    -------            -------

Total Sales                                         $ 158.9            $  97.0
                                                    =======            =======
OPERATING PROFIT:
-----------------

North America                                       $  13.4            $   4.0

Europe, Middle East and Africa                          4.4                3.4

Rest of World                                           2.8                0.5
                                                    -------            -------

Geographic Segment Operating Profit                 $  20.6            $   7.9
                                                    =======            =======
</TABLE>


        Geographic segment operating profit does not include charges for
        restructuring, amortization expense and corporate charges. A
        reconciliation of geographic segment operating profit to operating
        income reported in the consolidated statements of operations is as
        follows:

<TABLE>
<CAPTION>
                                                          Three Months Ended
                                                -------------------------------------
                                                  March 31, 2001      April 1, 2000
                                                  --------------      -------------
<S>                                               <C>                 <C>

Reconciliation:
---------------

Geographic segment operating profit                   $ 20.6             $  7.9

Amortization expense                                    (5.8)              (2.4)

Restructuring and other charges                           --               (0.3)

Other expenses and corporate charges                    (1.7)              (1.6)
                                                      ------             ------
Operating income per Statement of
Operations                                            $ 13.1             $  3.6
                                                      ======             ======
</TABLE>


<TABLE>
<CAPTION>
                                            March 31, 2001   December 31, 2000
                                            --------------   -----------------
<S>                                         <C>                <C>

TOTAL ASSETS:
-------------

North America                                   $ 514.5            $ 506.7

Europe, Middle East and Africa                     84.7               86.1

Rest of World                                      40.5               40.2
                                                -------            -------

Total Assets                                    $ 639.7            $ 633.0
                                                =======            =======
</TABLE>



                                      -10-
<PAGE>   11


        The following table presents business group information.


<TABLE>
<CAPTION>
                                                    Three Months Ended
                                           -----------------------------------
                                             March 31, 2001    April 1, 2000
                                             --------------    -------------
<S>                                          <C>               <C>
SALES:
------

Security and Lifesafety                         $  98.0            $  58.0

Enterprise Technologies                            34.7               27.6

Key Management                                     26.2               11.4
                                                -------            -------

Total Sales                                     $ 158.9            $  97.0
                                                =======            =======

OPERATING PROFIT:
-----------------

Security and Lifesafety                         $  13.5            $   5.2

Enterprise Technologies                             3.9                2.1

Key Management                                      4.7                1.7
                                                -------            -------

Business Group Operating Profit                 $  22.1            $   9.0
                                                =======            =======

</TABLE>

        Business group operating profit does not include charges for
        restructuring, amortization expense and corporate charges. A
        reconciliation of business group operating profit to operating income
        reported in the consolidated statements of operations is as follows:

<TABLE>
<CAPTION>
                                                        Three Months Ended
                                                ------------------------------------
                                                  March 31, 2001     April 1, 2000
                                                  --------------     -------------
<S>                                               <C>                <C>

Reconciliation:
---------------

Business group operating profit                       $ 22.1             $  9.0

Amortization expense                                    (5.8)              (2.4)

Restructuring and other charges                           --               (0.3)

Other expenses and corporate charges                    (3.2)              (2.7)
                                                      ------             ------
Operating income per Statement of
Operations                                            $ 13.1             $  3.6
                                                      ======             ======
</TABLE>


8.      DERIVATIVES

        Effective January 1, 2001, the Company adopted SFAS No. 133, "Accounting
        for Derivative Instruments and Hedging Activities" and SFAS No. 138,
        "Accounting for Certain Derivative Instruments and Certain Hedging
        Activities - An Amendment of FASB Statement No. 133." These
        pronouncements establish accounting and reporting standards for
        derivative instruments, including certain derivative instruments
        embedded in other contracts (collectively referred to as derivatives),
        and for hedging activities. Upon adoption, the cumulative transition
        adjustment recorded in Other Comprehensive Income for cash flow-type
        hedges was insignificant. The Company was not party to any fair value or
        foreign currency net investment hedge transactions.



                                      -11-
<PAGE>   12


        Interest Rate Swap Agreements

        The Company has interest rate swap agreements in place with the intent
        of managing its exposure to interest rate risk on its existing debt
        obligation. Accordingly, the company currently has three outstanding
        agreements to effectively convert LIBOR based variable-rate debt to
        fixed-rate debt.

        The Company considers these agreements to be cash flow hedging
        instruments. Under SFAS No. 133, in order to consider these agreements
        as hedges, (i) the Company must designate the instrument as a hedge of
        future transactions, and (ii) the contract must reduce the Company's
        exposure in the risk of changes in interest rates. If the above criteria
        are not met, the Company will record the market value of the contract at
        the end of each month on the balance sheet and will recognize a related
        gain or loss in the statement of operations. Net receipts or payments
        under these agreements are recognized as an adjustment to interest
        expense, while changes in the fair market value of these hedges are
        recognized in Other Comprehensive Income if the transactions qualify for
        hedge accounting under SFAS No. 133. The Company will recognize the fair
        market value of the hedges in income at the time of maturity, sale or
        termination, though the Company does not anticipate the sale or
        termination of these instruments. The fair value of interest rate swaps
        is the estimated amount that the bank would receive or pay to terminate
        the swap agreements at the reporting date, taking into account current
        market conditions and interest rates.

        At March 31, 2001, the notional amount of the contracts in place was
        $30.0 million, which were effective as of December 31, 1998, and mature
        in 2005. The company will receive variable rate payments (equal to the
        three month LIBOR rate) from the third parties and is obligated to pay
        fixed interest rate payments (weighted average rate equal to 5.862%) to
        the third parties during the term of the contracts. The net unrealized
        loss, which equals the fair values, net of tax, on the interest rate
        swaps at March 31, 2001 was $0.4 million, and was included in accrued
        expenses in the Company's balance sheet and recorded as other
        comprehensive income in the statement of stockholders' equity.

        Foreign Currency Contracts

        It is the purpose of the Company's foreign exchange risk management
        policy is to minimize its cash flow exposure to adverse changes in
        currency and exchange rates. This is accomplished by identifying and
        evaluating the risk that the Company's cash flows will decline in value
        due to changes in foreign currency exchange rates and by determining the
        appropriate strategies necessary to manage such exposures. The Company's
        objective is to maintain economically balanced currency risk management
        strategies or foreign currency option contracts that provide adequate
        downside protection. Forward exchange contracts are designated as a
        hedge at inception when there is a direct relationship to the exchange
        risk associated with the Company's cash flow. The Company formally
        documents all relationships between hedging instruments and hedged
        items, as well as its risk-management objectives and strategy for
        undertaking various hedge transactions. This process includes relating
        all derivatives to specific firm commitments or forecasted transactions.
        The Company also formally assesses, both at the inception of the hedge
        and on an ongoing basis, whether each derivative is highly effective in
        offsetting changes of the hedged item. As the terms of the forward
        exchange contract and the underlying transaction are matched at
        inception, forward contract effectiveness is calculated by comparing the
        fair value of the contract to the change in the forward value of the
        anticipated transaction, with the effective portion of the gain or loss
        on the derivative instrument reported as a component of other
        comprehensive income. Contract effectiveness on foreign currency options
        is calculated by comparing the intrinsic value of the effective portion
        of changes in fair value accumulated in other comprehensive income.
        Ineffectiveness associated with the time value component of foreign
        currency option contracts in the first quarter of 2001 was not
        significant. Changes in the fair value of a derivative that is not
        designated as a hedge are recorded immediately in earnings.

        During the three months ended March 31, 2001, the Company entered into
        several foreign exchange contracts with notional amounts totaling
        approximately $8.0 million. At March 31, 2001, the net unrealized gain,
        net of tax, included in prepaid and other assets on the Company's
        balance sheet and recorded as other comprehensive income in the
        statement of stockholders' equity was approximately $0.1 million.



                                      -12-
<PAGE>   13


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

        Interlogix, Inc. (the "Company"), a Delaware corporation (formerly known
        as ITI Technologies, Inc. ("ITI")), was incorporated in 1992. Pursuant
        to the terms of an Agreement and Plan of Merger and Reorganization, SLC
        Technologies, Inc. ("SLC"), a wholly owned subsidiary of Berwind, LLC,
        formerly known as Berwind Group Partners ("Berwind"), a private company,
        merged with and into the Company, with the Company surviving (the
        "Merger"). Since Berwind obtained a controlling interest in the Company,
        the Merger was accounted for as a reverse acquisition of the Company by
        SLC (see discussion in Note 1 to the consolidated financial statements).
        Accordingly, the financial statements of the Company consist of the
        historical accounts of SLC with the results of ITI included beginning on
        May 2, 2000. Concurrently with the transaction, the Company changed its
        name to Interlogix, Inc.

        UNAUDITED RESULTS OF OPERATIONS FOR THE THREE MONTHS ENDED MARCH 31,
        2001 AND APRIL 1, 2000

        The following tables illustrate results of operations for the periods
        indicated and the percentages for which certain items of income and
        expense relate to net sales:

<TABLE>
<CAPTION>
                                                        Three Months Ended
                                                ---------------------------------

                                                March 31, 2001      April 1, 2000
                                                --------------      -------------
                                                      (Dollars in millions)
<S>                                                 <C>                <C>

Revenues ...............................            $ 158.9            $  97.0
                                                    -------            -------
Gross Profit ...........................               67.0               39.9
Selling, General and Administrative ....               41.8               28.8
Research and Development ...............                6.3                4.8
Amortization of Intangibles ............                5.8                2.4
Restructuring and other charges ........                 --                0.3
                                                    -------            -------
Operating Income .......................               13.1                3.6
Interest Expense, net ..................                4.6                1.1
Other (Income) Expense, net ............                0.5               (2.2)
                                                    -------            -------
Income Before Taxes ....................                8.0                4.7
Income tax provision ...................                3.7                2.8
                                                    -------            -------
Net Income .............................            $   4.3            $   1.9
                                                    =======            =======
</TABLE>


<TABLE>
<CAPTION>
                                                       Three Months Ended
                                                ---------------------------------

                                                March 31, 2001      April 1, 2000
                                                --------------      -------------
<S>                                             <C>                 <C>

Revenues ...............................              100.0%              100.0%
                                                    -------             -------
Gross Profit ...........................               42.2%               41.1%
Selling, General and Administrative ....               26.3%               29.7%
Research and Development ...............                4.0%                4.9%
Amortization of Intangibles ............                3.7%                2.5%
Restructuring and other charges ........                 --                 0.3%
                                                    -------             -------
Operating Income .......................                8.2%                3.7%
Interest Expense, net ..................                2.9%                1.1%
Other (Income) Expense, net ............                0.3%               (2.3%)
                                                    -------             -------
Income Before Taxes ....................                5.0%                4.8%
Income tax provision ...................                2.3%                2.9%
                                                    -------             -------
Net Income .............................                2.7%                1.9%
                                                    =======             =======
</TABLE>



                                      -13-
<PAGE>   14


        THREE MONTHS ENDED MARCH 31, 2001 COMPARED WITH THREE MONTHS ENDED APRIL
        1, 2000

        Revenues. Revenues increased from $97.0 million for the three months
        ended April 1, 2000 to $158.9 million for the three months ended March
        31, 2001, which represents an increase of $61.9 million, or 63.8%. The
        increase in revenues is partially due to the inclusion of ITI, which
        contributed sales of $35.3 million for the three months ended March 31,
        2001. Excluding the impact of ITI, revenues increased by 27.4% over
        first quarter 2000. Without sales generated by ITI, revenues for the
        security and lifesafety group increased $4.8 million or 8.3% for the
        quarter ended March 31, 2001. Contributing to this sales increase were
        improved revenues in Europe and Africa's security and lifesafety
        business. In addition, first quarter 2000 revenues were constrained in
        the United States by an inventory reduction program by a major
        distributor. Sales within the key management business group increased
        $14.7 million or 129.8% over the prior comparable period. This growth
        resulted primarily from incremental business in the real estate market
        generated from the Supra Advantage Express III product offering. The
        digital video product line was the primary contributor to the increase
        in enterprise technologies revenues of $7.1 million. This growth was due
        to market acceptance of the digital video product line, mainly for
        safety applications, in educational institutions.

        Gross Profit. As a percentage of sales, gross profit was 42.2% for the
        three months ended March 31, 2001 versus 41.1% for the three months
        ended April 1, 2000. Changes in product mix and cost reductions as a
        result of global purchasing initiatives provided an increase in gross
        profit as a percentage of sales for the quarter ended March 31, 2001.
        The inclusion of ITI wireless products in the first quarter of 2001,
        with associated higher gross margins than SLC margins, also contributed
        to the improvements.

        Selling, General and Administrative Expenses. Selling, general and
        administrative expenses increased from $28.8 million for the three
        months ended April 1, 2000 to $41.8 million for the three months ended
        March 31, 2001 which represents an increase of $13.0 million or 45.1%.
        As a percentage of sales, selling, general and administrative expenses
        were 26.3% for the three months ended March 31, 2001 versus 29.7% for
        the three months ended April 1, 2000. The inclusion of ITI for the three
        months ended March 31, 2001 contributed to $7.1 million of incremental
        expense. Other increases in selling, general and administrative expenses
        are primarily related to investments made in the enterprise technologies
        and key management businesses and related to the rapid revenue growth in
        these businesses. Expenses related to the growth in the key management
        products group increased $2.9 million for the quarter ended March 31,
        2001 as compared to the quarter ended April 1, 2000. Incremental
        investments of $1.0 million were made in the digital video product
        offering for the quarter ended March 31, 2001. Included in first quarter
        2001 expenses were costs related to establishing and staffing a
        corporate office in Austin, Texas.

        Research and Development Expenses. Research and development expenses
        increased from $4.8 million for the three months ended April 1, 2000 to
        $6.3 million for the three months ended March 31, 2001 which represents
        an increase of $1.5 million, or 31.3%. As a percentage of sales,
        research and development expenses were 4.0% for the three months ended
        March 31, 2001 versus 4.9% for the three months ended April 1, 2000. The
        primary reason for the increase in research and development expenses was
        the inclusion of ITI for the three months ended March 31, 2001 which
        contributed $1.4 million of incremental expense over the prior
        comparable period. Engineering investments made in 2001 in the
        enterprise technologies business included investments in radio frequency
        identification (RFID) asset tagging systems and digital video recording
        systems. Synergies were realized in the security and lifesafety business
        due to the elimination of redundant development activities and
        contributed to the reduced spending as a percentage of sales.

        Amortization of Intangible Assets. The amortization of intangible assets
        increased from $2.4 million for the three months ended April 1, 2000 to
        $5.8 million for the three months ended March 31, 2001 which represents
        an increase of $3.4 million or 141.1%. The increase in amortization of
        intangible assets is due to the addition of approximately $222.6 million
        of intangible assets, including goodwill, as a result of the Merger. The
        identifiable intangible assets include technology, patents, trademarks,
        and other intangible property and are being amortized over their
        estimated useful lives ranging from 7 to 20 years.

        Interest Expense, Net. Net interest expense increased from $1.1 million
        for the three months ended April 1, 2000 to $4.6 million for the three
        months ended March 31, 2001, which represents an increase of $3.5
        million or 318.2%. The increase in interest expense is due to increased
        borrowings of $173.0 million used to finance the incremental debt
        associated with the Merger.



                                      -14-
<PAGE>   15


        Other (Income) Expense, Net. Other expense, net of other income was $0.5
        million for the three months ended March 31, 2001. Other income, net of
        other expense was $2.2 million for the three months ended April 1, 2000.
        Contributing to other net income for the three months ended April 1,
        2000 was the settlement of a patent infringement lawsuit in the amount
        of $2.5 million. Results for the first quarter of 2001 include currency
        exchange losses related to the European business of $0.4 million.

        Income Tax Provision. Income tax expense increased from $2.8 million for
        the three months ended April 1, 2000 to $3.7 million for the three
        months ended March 31, 2001, which represents an increase of $0.9
        million. The effective tax rate was 46.3% for the three months ended
        March 31, 2001, compared to an effective tax rate of 59.6% for the three
        months ended April 1, 2000. The decrease in the effective tax rate for
        the three months ended March 31, 2001 can be attributed to higher pretax
        earnings relative to non-deductible goodwill amortization. Generally,
        the Company's effective tax rate differs from the statutory rate on
        ordinary income due to different tax rates applicable to foreign income,
        amortization of non-deductible goodwill, state income taxes and
        recognition of tax credits.

        SEGMENT REPORTING (UNAUDITED)

<TABLE>
<CAPTION>
                                                   Three Months Ended
                                           -------------------------------------

                                             March 31, 2001      April 1, 2000
                                             --------------      -------------
                                                  (Dollars in millions)
<S>                                          <C>                 <C>

SALES:
------

North America                                   $ 104.4            $  54.3

Europe, Middle East and Africa                     41.6               36.2

Rest of World                                      12.9                6.5
                                                -------            -------

Total Sales                                     $ 158.9            $  97.0
                                                =======            =======


OPERATING PROFIT:
-----------------

North America                                   $  13.4            $   4.0

Europe, Middle East and Africa                      4.4                3.4

Rest of World                                       2.8                0.5
                                                -------            -------

Segment Operating Profit                        $  20.6            $   7.9
                                                =======            =======
</TABLE>


        Segment operating profit does not include amortization expense,
        restructuring charges, and certain corporate charges. A reconciliation
        of segment operating profit to operating income as presented in the
        financial statements can be found in Note 7 to the consolidated
        financial statements.

        Sales. Net customer sales for North America increased from $54.3 million
        to $104.4 million, which represents an increase of $50.1 million or
        92.3%. The increase is partially due to the inclusion of ITI sales in
        North America of $25.7 million for the quarter ended March 31, 2001.
        Additional increases in sales were a result of growth within the key
        management and digital video product lines. Sales of digital video
        products under the Kalatel brand increased $6.0 million over the
        comparable period in 2000. Growth within the key management business as
        result of the success of Supra Advantage Express III platform provided
        incremental sales of $14.7 million for the three months ended March 31,
        2001.

        Net shipments into Europe, the Middle East and Africa of $41.6 million
        were $5.4 million, or 14.9% higher than the comparative period for 2000.
        Excluding the impact of foreign currency translation adjustments of $2.6
        million, sales growth in Europe, the Middle East and Africa was 22.1% as
        compared to 2000. ITI sales into this region were $3.0 million for the
        quarter ended March 31, 2001. Sales growth was supported by the
        introduction of new products for the closed circuit television product
        line and increased business with global installation companies.

        Sales for Rest of World were $12.9 million for the quarter ended March
        31, 2001 compared to $6.5 million for the comparable period in 2000. The
        inclusion of ITI sales into this region for the quarter ended March



                                      -15-
<PAGE>   16


        31, 2001 accounts for $6.1 million of this increase. Growth was limited
        in part due to the economic downturn, particularly in the Australian
        marketplace.

        Operating Profit. Operating profit for North America of $13.4 million,
        or 12.8% of sales, compares with $4.0 million, or 7.4% of sales, for the
        first three months of 2000. Improvements in relative operating profit
        ratios can be attributed to changes in product mix due to the wireless
        ITI product offering providing improved gross margins. Synergies
        realized from the merger with ITI in the areas of global procurement
        initiatives and expense savings due to development and administration
        redundancies, contributed to improved operating income ratios. The
        additional volumes over the prior year supported increased leverage of
        the fixed cost base of the North American operation.

        Operating profit for Europe, the Middle East and Africa was $4.4
        million, or 10.6% of sales. This performance was an improvement from the
        9.4% operating profit ratio to sales in first quarter 2000. This was
        despite the adverse impact of currency translation adjustments relating
        to the U.S. dollar being approximately 7.0% stronger in 2001 than prior
        year first quarter. The impact of the strengthening U.S. dollar on
        sourcing from the U.S. and the translation of foreign currency
        denominated results to the U.S. dollar has adversely impacted operating
        profit by approximately $0.7 million. Price increases, as a result of
        the higher cost for U.S. source products, account for approximately 1.0%
        in increased margins.

        Operating profit in Rest of World was $2.8 million for the three months
        ended March 31, 2001 as compared to $0.5 million for the comparable
        period in 2000. ITI's contribution to operating profit in this
        geographic region was $2.0 million in 2001.

        SUPPLEMENTAL BUSINESS GROUP INFORMATION (UNAUDITED)

        The Company has three business groups that operate within each
        geographic segment. These business groups include security and
        lifesafety, enterprise technologies, and key management products and
        services. Presented in the table below are the sales and operating
        profits of these business groups for the three months ended March 31,
        2001 and April 1, 2000, with the three months ended April 1, 2000 on a
        pro forma basis as if the Merger occurred on January 1, 2000. The pro
        forma data gives effect to actual operating results prior to the Merger.
        No effect has been given to anticipated cost reductions or operating
        synergies in the 2000 pro forma data. The pro forma data amounts do not
        purport to be indicative of the results that would have actually been
        obtained if the Merger had occurred as of the beginning of the periods
        presented or that may be obtained in the future.


<TABLE>
<CAPTION>
                                             Three Months Ended
                                     ------------------------------------
                                       March 31, 2001     April 1, 2000
                                       --------------     -------------
                                            (Dollars in millions)
<S>                                    <C>                <C>

SALES:
------

Security and Lifesafety                   $  98.0            $  89.5

Enterprise Technologies                      34.7               27.6

Key Management                               26.2               11.4
                                          -------            -------

Total Sales                               $ 158.9            $ 128.5
                                          =======            =======

OPERATING PROFIT:
-----------------

Security and Lifesafety                   $  13.5            $  11.6

Enterprise Technologies                       3.9                2.1

Key Management                                4.7                1.7
                                          -------            -------

Total Operating Profit                    $  22.1            $  15.4
                                          =======            =======
</TABLE>



                                      -16-
<PAGE>   17


        Business group operating profit does not include charges for
        restructuring, amortization expense and corporate charges.

        The following table illustrates the sales and operating profits for the
        three business groups for the quarterly periods in fiscal 2000, with the
        quarters ended April 1 and July 1, 2000 on a pro forma basis as if the
        Merger occurred on January 1, 2000.

<TABLE>
<CAPTION>
                                                        2000 QUARTER ENDED
                                   ------------------------------------------------------------
                                      APRIL 1         JULY 1      SEPTEMBER 30     DECEMBER 31
                                   -------------  -------------  --------------   -------------
                                                     (Dollars in millions)
<S>                                <C>            <C>            <C>              <C>

SALES:
------

Security and Lifesafety               $  89.5        $  90.6        $  97.3        $  95.9

Enterprise Technologies                  27.6           31.2           33.5           38.0

Key Management                           11.4           14.5           23.3           27.7
                                      -------        -------        -------        -------

Total Sales                           $ 128.5        $ 136.3        $ 154.1        $ 161.6
                                      =======        =======        =======        =======

OPERATING PROFIT:
-----------------

Security and Lifesafety               $  11.6        $  10.3        $  16.7        $  16.5

Enterprise Technologies                   2.1            2.4            3.3            5.0

Key Management                            1.7            3.1            7.3            7.3
                                      -------        -------        -------        -------

Total Operating Profit                $  15.4        $  15.8        $  27.3        $  28.8
                                      =======        =======        =======        =======
</TABLE>

        Business group operating profit does not include charges for
        restructuring, amortization expense and corporate charges.

        LIQUIDITY, CAPITAL RESOURCES AND OTHER FINANCIAL DATA

        Cash flow from operations, supplemented with proceeds from debt
        financing, historically has provided funding for the Company's capital
        spending and acquisition objectives. Cash flow from operations and
        financing activities are expected to meet the Company's future resource
        requirements.

        CAPITAL EXPENDITURES

        Capital expenditures for the three months ended March 31, 2001 were $6.2
        million versus $4.4 million for the three months ended April 1, 2000.
        During 2001, the Company has continued to invest in a common information
        technology platform to both encompass the European operation and provide
        the capability to undertake electronic commerce activities.

        FINANCING AND CAPITAL STRUCTURE

        Effective with the merger transaction described in Note 1, the Company
        entered into a five year $325.0 million senior, first priority, secured
        facility composed of a multi-currency revolving facility in the amount
        of $225.0 million and a term facility in the amount of $100.0 million.
        At March 31, 2001, the Company had $27.0 million available to borrow
        under the revolving facility, and had repaid $5.0 million of its $100.0



                                      -17-
<PAGE>   18


        million term facility leaving a balance of $95.0 million. The credit
        facility also includes up to $10.0 million for letters of credit of
        which $2.2 million are unused at March 31, 2001.

        The credit facilities bear interest, at the discretion of Interlogix, at
        either (a) the greater of the prime rate, or the federal funds effective
        rate plus 0.5%, or (b) Libor plus, a margin of 0.25% to 1.75% based on
        the Company's leverage ratio. Commitment fees ranging from 0.25% to
        0.375% depending on the Company's leverage ratio, are payable on the
        undrawn portion of the revolving facility. This credit agreement
        contains certain restrictive covenants, including the prohibition of the
        payment of dividends on common stock. The credit agreement also contains
        affirmative covenants including the maintenance of certain financial
        ratios as defined in the agreement. As of March 31, 2001, the Company
        was in compliance with all covenants.

        WORKING CAPITAL

        Working capital, excluding cash, at March 31, 2001 was $131.3 million
        compared to $112.6 million at December 31, 2000, an increase of $18.7
        million. The increase in working capital is due primarily to higher
        levels of inventory to support the demand in the enterprise technologies
        and key management businesses and higher receivables.


                           FORWARD-LOOKING STATEMENTS

        This Form 10-Q contains forward-looking statements relating to the
        financial condition, results of operations, plans, objectives, future
        performance and business of Interlogix, Inc. ("Interlogix" or the
        "Company"). These statements include, without limitation, statements
        preceded by, followed by or that include the words "believes,"
        "expects," "anticipates," "estimates" or similar expressions. These
        forward-looking statements involve risks and uncertainties. Actual
        results may differ materially from those contemplated by the
        forward-looking statements due to factors discussed in the Company's
        current Annual Report on Form 10-K, filed with the Securities and
        Exchange Commission on April 2, 2001, including the following:

        -   increases in the competitive environment among intrusion, fire
            protection, access control, video surveillance and integrated system
            companies, including the potential effect of industry consolidation;

        -   changes in or unexpected unfavorable general economic conditions in
            the states or countries in which Interlogix is doing business;

        -   change in currency exchange rates, particularly between the U.S.
            Dollar and the Euro;

        -   legislative or regulatory changes that adversely affect the
            businesses in which Interlogix is engaged;

        -   difficulties in the technical, operational and/or strategic
            integration of Interlogix; and

        -   obsolescence of the technology of Interlogix.



                                      -18-
<PAGE>   19


ITEM 3.         QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK


        QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

        The Company is exposed to market risk from changes in interest rates and
        foreign exchange rates. The Company periodically utilizes interest rate
        swap agreements and forward exchange agreements to hedge a portion of
        these exposures. The Company does not use derivatives or other financial
        instruments for trading purposes. The Company's management believes the
        risk of incurring material losses related to credit risk is remote. The
        Company's derivative and other financial instruments consist of cash,
        accounts receivable, accounts payable, long-term debt (including current
        portion), foreign currency exchange contracts and interest rate swaps.
        The utilization of the Company's derivative financial instruments is
        described more fully in the Note 8 to the consolidated financial
        statements.

        Interest Rate Risk

        The Company's debt portfolio, including interest rate swap agreements,
        as of March 31, 2001, is composed of revolving and term debt denominated
        in U.S. dollars. Substantially all of the Company's debt was
        variable-rate at March 31, 2001, however $30.0 million of this debt was
        effectively fixed with an interest rate swap. A change in interest rates
        on the variable portion of the debt portfolio impacts the interest
        incurred and cash flows, but does not impact the net financial
        instrument position. Based on the variable-rate debt included in the
        Company's debt portfolio as of March 31, 2001, a 100 basis point
        increase in interest rates would result in an additional $2.0 million in
        interest incurred per year. A 100 basis point decline would lower
        interest incurred by $2.0 million.

        Foreign Currency Exchange Rate Risk

        The primary currencies for which the Company has foreign currency
        exchange rate exposure are the U.S. dollar versus the Euro, Irish pound,
        Dutch guilder, French franc, Australian dollar and German mark. Foreign
        currency debt and foreign exchange forward contracts are occasionally
        used in countries where the Company does business, thereby reducing the
        Company's net asset exposure. Foreign exchange forward and option
        contracts are used on occasion to hedge the Company's firm and highly
        anticipated foreign currency cash flows. For the quarter ended March 31,
        2001, the Company was a party to foreign currency hedging instruments
        with notional amounts totaling approximately $8.0 million.



        PART II         OTHER INFORMATION



        ITEM 1.         LEGAL PROCEEDINGS

                        The Company is not currently a party to any material
                        legal proceedings.



        ITEM 2          CHANGES IN SECURITIES AND USE OF PROCEEDS

                        Not applicable.



        ITEM 3.         DEFAULTS UPON SENIOR SECURITIES

                        Not applicable.



                                      -19-
<PAGE>   20


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

                        Not applicable.



        ITEM 5.         OTHER INFORMATION

                        Not applicable.



        ITEM 6.         EXHIBITS AND REPORTS ON FORM 8-K

                        a.      Exhibits

                                None.

                        b.      Reports on Form 8-K

                                None.



                                      -20-
<PAGE>   21


                                   SIGNATURES


Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this Report to be signed on its behalf by the
undersigned, thereunto duly authorized.

                           INTERLOGIX, INC.


                           By: /s/        Kenneth L. Boyda
                               -------------------------------------
                                         Kenneth L. Boyda
                               President and Chief Executive Officer
                               (principal executive officer)

                           By: /s/        John R. Logan
                               ---------------------------------------
                                         John R. Logan
                               Senior Vice President and Chief Financial Officer
                               (principal financial and accounting officer)


                           DATED: MAY 10, 2001
                                  ------------



                                      -21-