UNITED STATES SECURITIES AND EXCHANGE COMMISSION
                          Washington, D.C.  20549
                                 FORM 10-Q





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

For the Quarterly Period ended June 30, 1999

                                     OR

( )  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
     EXCHANGE ACT OF 1934

For the Transition Period from  ________ to ________

Commission File Number 1-1822


                             LACLEDE GAS COMPANY
           (Exact name of registrant as specified in its charter)

        Missouri                                43-0368139
 (State of Incorporation)                    (I.R.S. Employer
                                           Identification Number)


 720 Olive Street, St. Louis, Missouri                             63101
(Address of principal executive offices)                         (Zip Code)

Registrant's telephone number, including area code             314-342-0500


     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 the latest practicable date.

18,877,987 shares, Common Stock, par value $1 per share at 8/6/99.









                                 Page 1
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               LACLEDE GAS COMPANY AND SUBSIDIARY COMPANIES











                                  PART I

                          FINANCIAL INFORMATION






The interim financial statements included herein have been prepared by the
Company, without audit, pursuant to the rules and regulations of the
Securities and Exchange Commission.  These financial statements should be
read in conjunction with the financial statements and the notes thereto
included in the Company's Form 10-K for the year ended September 30, 1998.




























                                 Page 2
<PAGE>
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<TABLE>
              LACLEDE GAS COMPANY AND SUBSIDIARY COMPANIES
                    STATEMENTS OF CONSOLIDATED INCOME
                               (UNAUDITED)

(In Thousands, Except Per Share Amounts)
<CAPTION>
                                    Three Months Ended    Nine Months Ended
                                         June 30,             June 30,
                                      1999       1998      1999       1998
                                      ----       ----      ----       ----
<S>                                  <C>        <C>      <C>        <C>
Operating Revenues:
  Utility operating revenues         $66,010    $77,193  $422,662   $490,686
  Non-utility operating revenues       4,388      3,102    12,235     11,912
                                    -------------------  -------------------
    Total Operating Revenues          70,398     80,295   434,897    502,598
                                    -------------------  -------------------
Operating Expenses:
  Utility Operating Expenses
    Natural and propane gas           24,628     34,486   232,336    290,876
    Other operation expenses          18,959     20,239    64,884     65,999
    Maintenance                        4,839      4,636    14,634     14,091
    Depreciation and amortization      5,386      6,771    16,013     20,038
    Taxes, other than income taxes     8,564      8,636    35,337     37,143
                                    -------------------  -------------------
    Total utility operating expenses  62,376     74,768   363,204    428,147
  Non-utility operating expenses       4,280      2,854    12,274     10,281
                                    -------------------  -------------------
    Total Operating Expenses          66,656     77,622   375,478    438,428
                                    -------------------  -------------------
Operating Income                       3,742      2,673    59,419     64,170
Other Income and Income
  Deductions-Net                         382        110     3,491        838
                                    -------------------  -------------------
Income Before Interest and
  Income Taxes                         4,124      2,783    62,910     65,008
                                    -------------------  -------------------
Interest Charges:
  Interest on long-term debt           3,488      3,648    10,182     11,450
  Other interest charges               1,300      1,344     5,418      4,664
                                    -------------------  -------------------
    Total Interest Charges             4,788      4,992    15,600     16,114
                                    -------------------  -------------------
Income Before Income Taxes              (664)    (2,209)   47,310     48,894
Income Taxes (Note 3)                   (859)    (1,303)   17,270     17,797
                                    -------------------  -------------------
Net Income                               195       (906)   30,040     31,097
Dividends on Preferred Stock              24         24        73         73
                                    -------------------  -------------------
Earnings Applicable to Common Stock  $   171    $  (930) $ 29,967   $ 31,024
                                    ===================  ===================
Average Number of Common
  Shares Outstanding                  18,411     17,611    17,889     17,587

Earnings Per Share of Common Stock      $.01      $(.05)    $1.68      $1.76

Dividends Declared Per Share
  of Common Stock                      $.335       $.33    $1.005       $.99
<FN>
             See notes to consolidated financial statements.
</TABLE>
                                 Page 3
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<TABLE>
             LACLEDE GAS COMPANY AND SUBSIDIARY COMPANIES
                       CONSOLIDATED BALANCE SHEETS
<CAPTION>
                                                       June 30     Sept. 30
                                                         1999        1998
                                                         ----        ----
                                                     (Thousands of Dollars)
                                                     (UNAUDITED)
                                  ASSETS
<S>                                                    <C>         <C>

Utility Plant                                          $864,941    $833,685
   Less:  Accumulated depreciation and amortization     352,295     343,100
                                                       --------------------
   Net Utility Plant                                    512,646     490,585
                                                       --------------------
Other Property and Investments                           29,914      33,834
                                                       --------------------
Current Assets:
   Cash and cash equivalents                             11,472       3,718
   Accounts receivable - net                             45,944      46,055
   Materials, supplies, and merchandise at avg cost       5,823       5,591
   Natural gas stored underground for current use
      at LIFO cost                                       28,945      54,973
   Propane gas for current use at FIFO cost              11,700      12,840
   Prepayments                                            2,530       2,927
   Deferred income taxes                                  6,316       9,933
                                                       --------------------
      Total Current Assets                              112,730     136,037
                                                       --------------------
Deferred Charges                                        137,236     110,691
                                                       --------------------
Total Assets                                           $792,526    $771,147
                                                       ====================

<FN>

             See notes to consolidated financial statements.




















</TABLE>

                                 Page 4 
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<TABLE>
              LACLEDE GAS COMPANY AND SUBSIDIARY COMPANIES
                 CONSOLIDATED BALANCE SHEETS (Continued)
<CAPTION>
                                                       June 30     Sept. 30
                                                         1999        1998
                                                         ----        ----
                                                     (Thousands of Dollars)
                                                     (UNAUDITED)
                    CAPITALIZATION AND LIABILITIES
<S>                                                   <C>         <C>
Capitalization:
   Common stock (Issued - June 1999, 20,743,625
      shares; Sept. 1998, 19,493,625 shares)          $ 20,744    $ 19,494
   Paid-in capital                                      85,951      62,966
   Retained earnings                                   210,174     198,342
   Treasury stock, at cost (1,865,638 shares held)     (24,017)    (24,017)
                                                      --------------------
      Total common stock equity                        292,852     256,785
   Redeemable preferred stock                            1,958       1,960
   Long-term debt (less sinking fund requirements)     204,215     179,238
                                                      --------------------
         Total Capitalization                          499,025     437,983
                                                      --------------------
Current Liabilities:
   Notes payable                                        42,500      98,500
   Accounts payable                                     22,422      20,692
   Refunds due customers                                 1,400       7,589
   Advance customer billings                               920       8,936
   Taxes accrued                                        14,944       8,690
   Unamortized purchased gas adjustments                 3,894      15,815
   Other                                                21,504      23,429
                                                      --------------------
     Total Current Liabilities                         107,584     183,651
                                                      --------------------
Deferred Credits and Other Liabilities:
   Deferred income taxes                               115,728     102,856
   Unamortized investment tax credits                    6,673       6,933
   Other                                                63,516      39,724
                                                      --------------------
      Total Deferred Credits and Other Liabilities     185,917     149,513
                                                      --------------------
Total Capitalization and Liabilities                  $792,526    $771,147
                                                      ====================

<FN>

             See notes to consolidated financial statements.











</TABLE>

                                 Page 5   
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<TABLE>
              LACLEDE GAS COMPANY AND SUBSIDIARY COMPANIES
                 STATEMENTS OF CONSOLIDATED CASH FLOWS
                              (UNAUDITED)
<CAPTION>
                                                         Nine Months Ended
                                                              June 30,
                                                         1999        1998
                                                         ----        ----
                                                     (Thousands of Dollars)
<S>                                                   <C>         <C>
                                                          Operating
Activities:
 Net Income                                           $ 30,040    $ 31,097
 Adjustments to reconcile net income to net cash
   provided by operating activities:
    Depreciation and amortization                       16,151      20,112
    Deferred income taxes and investment tax credits     4,460       2,423
    Other - net                                         (2,181)       (700)
    Changes in assets and liabilities:
       Accounts receivable - net                           111      (4,010)
       Unamortized purchased gas adjustments           (11,921)    (10,981)
       Deferred purchased gas costs                     28,178      22,694
       Delayed customer billings - net                  (8,016)    (22,246)
       Accounts payable                                  1,730      (5,962)
       Refunds due customers                            (6,189)      7,479
       Taxes accrued                                     6,254       7,882
       Natural gas stored underground                   26,028      28,387
       Other assets and liabilities                    (20,500)    (14,009)
                                                      --------------------
         Net cash provided by operating activities      64,145      62,166
                                                      --------------------
Investing Activities:
 Construction expenditures                             (36,566)    (35,920)
 Investments - non-utility                               1,300      (1,344)
 Employee benefit trusts                                 4,019        (160)
 Other                                                    (677)         56
                                                      --------------------
         Net cash used in investing activities         (31,924)    (37,368)
                                                      --------------------
Financing Activities:
  Repayment of short-term debt                         (56,000)     (9,000)
  Issuance of common stock                              24,235       1,415
  Dividends paid                                       (17,700)    (17,379)
  Issuance of first mortgage bonds                      25,000      25,000
  Retirement of first mortgage bonds                         -     (25,000)
  Redemption of preferred stock                             (2)          -
                                                      --------------------
         Net cash used in financing activities         (24,467)    (24,964)
                                                      --------------------
Net Increase (Decrease) in Cash and Cash Equivalents     7,754        (166)
Cash and Cash Equivalents at Beginning of Period         3,718       4,508
                                                      --------------------
Cash and Cash Equivalents at End of Period            $ 11,472    $  4,342
                                                      ====================
Supplemental Disclosure of Cash Paid
 During the Period for:
  Interest                                             $17,727     $18,669
  Income taxes                                           5,076       4,766
<FN>
             See notes to consolidated financial statements.
</TABLE>
                                 Page 6
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              LACLEDE GAS COMPANY AND SUBSIDIARY COMPANIES
               NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

1.  In management's opinion, this interim report includes all
    adjustments, consisting only of normal recurring accruals, necessary
    for the fair presentation of the results of the periods covered.

2.  Laclede Gas Company is a natural gas distribution utility having a
    material seasonal cycle. As a result, this interim statement of
    consolidated income is not necessarily indicative of annual results nor
    representative of the succeeding quarter of the fiscal year.  Due to the
    seasonal nature of the Company's business, earnings are typically
    concentrated in the first six months of the fiscal year, which
    generally corresponds with the heating season.  Fiscal year earnings
    will likely be lower than earnings during the first six months of the
    fiscal year, reflecting typically lower summer sales volumes, partially
    offset by lower operating expenses.

3.  Net provisions for income taxes were charged (credited) as follows
    during the periods set forth below:
<TABLE>
<CAPTION>                       Three Months Ended     Nine Months Ended
                                     June 30,               June 30,
                                ------------------     -----------------
                                1999         1998      1999        1998
                                ----         ----      ----        ----
                                           (Thousands of Dollars)
    <S>                         <C>       <C>         <C>       <C>
    Utility Operations
       Current:
          Federal               $(9,055)  $(7,772)    $11,187   $12,894
          State and local        (1,539)   (1,321)      1,872     2,253

       Deferred:
          Federal                 8,466     6,774       3,088     1,826
          State and local         1,513     1,219         583       505
                                -----------------     -----------------
       Subtotal                 $  (615)  $(1,100)    $16,730   $17,478
                                -----------------     -----------------

    Non-Utility Operating
       Income and Other Income
       and Deductions
       Current:
          Federal               $  (571)  $  (234)    $  (254)  $   171
          State and local           (40)       (2)          5        56

       Deferred:
          Federal                   317        28         681        79
          State and local            50         5         108        13
                                -----------------     -----------------
       Subtotal                 $  (244)  $  (203)    $   540   $   319
                                -----------------     -----------------
                  Total         $  (859)  $(1,303)    $17,270   $17,797
                                =================     =================



</TABLE>

                                 Page 7 
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4.  The Company's Gas Supply Incentive Plan became effective October 1, 1996
    for a three-year period ending September 30, 1999 as part of a
    settlement reached in the Company's 1996 rate case.  This plan continues
    to provide significant benefits for both the Company's shareholders and
    customers.  Under this plan, the Company and its customers share as
    follows:
      -  sales of gas outside of the Company's traditional service area, of
         which 70% of the income is allocated to Laclede's customers and the
         balance to the Company's shareholders
      -  releases of pipeline capacity, of which 70% to 90% of the revenues
         are allocated to Laclede's customers and the balance is allocated
         to its shareholders
      -  savings from discounts off of maximum pipeline transportation
         rates, of which 80% to 90% of the savings is allocated to Laclede's
         customers and the balance to its shareholders, and
      -  gains and losses as measured against a benchmark level of gas
         cost, of which the Company is allocated 50%.

    Results of the plan are set forth below.  These results may not be
    representative of results in future periods due to the volatile and
    seasonal nature of these efforts.
<TABLE>
<CAPTION>                        Three Months Ended     Nine Months Ended
                                      June 30,              June 30,
                                -------------------    -------------------
                                  1999       1998        1999       1998
                                  ----       ----        ----       ----
                                          (Thousands of Dollars)
    <S>                         <C>        <C>         <C>        <C>
    Net Benefits to Customers
      and Shareholders          $ 7,774    $ 7,923     $20,123    $23,191
    ---------------------------------------------------------------------

    Shareholder Benefits
    Incentive Plan Revenues     $ 3,040    $ 6,877     $14,184    $24,504
    Incentive Plan Gas Expense    1,506      5,424      10,674     19,662
                                -------    -------     -------    -------
    Company Share -
         Pretax Income          $ 1,534    $ 1,453     $ 3,510    $ 4,842
                                =======    =======     =======    =======
    </TABLE>
    The incentive plan revenues are included in the utility operating
    revenues line in the Company's financial statements.  Expenses related
    to the incentive plan are included in the natural and propane gas
    expense line in the financial statements.

    Hearings were held in late July before the Missouri Public Service
    Commission regarding the Company's request to extend for another three
    years the Gas Supply Incentive Plan with some modifications.  The
    current program is scheduled to expire September 30, 1999, and the
    Commission has recognized the need for a timely resolution of this
    matter.

5.  In September 1997, the staff of the Missouri Public Service Commission
    (MoPSC) recommended that Laclede refund $3.6 million to its ratepayers
    in connection with its sale of gas outside of Missouri during fiscal
    1996, prior to the approval of the incentive plan.  Laclede believes it
    had full authority to enter into these transactions in part under the
    implementation of the Federal Energy Regulatory Commission's Order No.
    636.  Laclede filed testimony opposing the recommendation made by the
    Staff of the MoPSC.  Formal hearings were held on this issue in October

                                 Page 8
<PAGE>
    <PAGE>
    1998.  On April 20, 1999 the MoPSC issued its order rejecting the
    proposal of its staff.  This order became effective on April 30,
    1999.  One of the parties sought a rehearing of the MoPSC's order
    denying the staff's refund proposal.  This request for rehearing was
    denied, and no further appeals were taken.  This matter is now closed.

6.  The Company is subject to various environmental laws and regulations.
    To date they have not materially affected the Company's financial
    position and results of operations.

    In the past, the Company operated various manufactured gas plants which
    produced certain by-products and residuals.  At the request of the
    United States Environmental Protection Agency, Laclede performed
    an investigation of one of the Company's former manufactured gas plant
    sites located in Shrewsbury, Missouri.  Subsequently, the Company and
    the state and federal environmental regulatory agencies agreed upon the
    actions needed at this site.  The Company currently estimates the
    overall costs of these actions will be approximately $1,135,000.  As of
    June 30, 1999, the Company has paid $638,000 and reserved $497,000 for
    these actions.  If the regulatory agencies require any additional
    actions, Laclede will incur additional costs.

    The Company also applied to place the site of a different former
    manufactured gas plant in the City of St. Louis, Missouri in the
    Missouri Voluntary Cleanup Program.  Laclede ceased its operations at
    and sold this site in 1950.  Subsequent owners of this site used it as a
    coke manufacturing facility.  The Missouri Department of Natural
    Resources accepted the Company's application.  Acceptance provides
    opportunities to minimize costs of remediation and maximize
    possibilities of site development.  Laclede submitted a site
    investigation plan to the Missouri Department of Natural Resources on
    November 16, 1998, which investigation is now complete.  Recently,
    Laclede sent its report on the investigation to the Missouri Department
    of Natural Resources.  Laclede currently estimates that the cost of the
    investigation, oversight costs and legal and engineering consulting
    costs for this site may be approximately $534,000.  Currently, the
    Company has paid $297,000 and reserved an additional $237,000.  The
    Company has requested that other former site owners and operators
    participate in the cost of any site investigation.  One former owner and
    operator, who is currently in a Chapter 11 bankruptcy proceeding,
    recently agreed to participate in these costs, and the agreement
    recently received the bankruptcy court's approval.  The Company plans to
    seek proportionate reimbursement of all costs relative to this site from
    any other potentially responsible parties if practicable.

    While the scope or costs relative to the site in Shrewsbury will not
    be material, the scope or costs relative to the City of St. Louis site
    are unknown and may be material.  The Company has notified its insurers
    that it intends to seek reimbursement from them of its costs at both
    these sites.  None of the Company's insurers have agreed that its
    insurance covers the costs for which the Company intends to seek
    reimbursement.  The majority of the insurers have sent Laclede letters
    reserving their rights with respect to the manufactured gas plant issues
    addressed in the Company's notices to them.  While some of the insurers
    have denied coverage with respect to these issues, the Company continues
    to seek reimbursement from them.  With regard to the Shrewsbury site,
    the denial of coverage will not have any material impact on the Company.
    With regard to the City of St. Louis site, since the scope or costs
    relative to this site are unknown and may be material, the denial of
    coverage may have a material impact on the Company.

                                 Page 9
<PAGE>
    <PAGE>
    In the Company's 1998 rate case, the MoPSC approved the Company's
    continued use of a cost deferral mechanism for these costs.  Through
    this, the Company is applying for appropriate rate recovery of these
    costs in its current rate case.  The recovery of these costs, however,
    is being questioned in Laclede's current rate proceeding.

7.  Laclede Pipeline Company, Laclede Gas Company's wholly-owned subsidiary,
    owns and operates a propane pipeline which connects Laclede Gas
    Company's 800,000-barrel, or approximately 33 million gallons, propane
    storage facilities in St. Louis County, Missouri, to propane supply
    terminal facilities located at Wood River and Cahokia, Illinois.
    Laclede Pipeline Company transports liquid propane through this pipeline
    to Laclede Gas Company for storage.  Laclede Gas Company ultimately
    vaporizes and uses the propane to supplement its natural gas supply to
    meet the peak demands on the distribution system.  Laclede Pipeline
    Company's contract with Phillips Petroleum Company, which provided for
    delivery of up to 35 million gallons of propane annually, expired on
    March 31, 1999.  Laclede Gas Company will not be adversely affected by
    this termination, as Laclede Pipeline Company purchased the connecting
    pipeline from Phillips for approximately $1.4 million in June 1999,
    allowing adequate access to propane supply markets.

8.  On October 30, 1998, the Missouri Public Service Commission (MoPSC)
    issued an order opening a docket addressing the adequacy of
    Laclede's copper service line replacement program.  At this time, the
    Staff is continuing its investigation and expects to issue its
    recommendations by August 30, 1999.  The Company currently faces two
    lawsuits and one claim relative to incidents where gas has apparently
    leaked from direct buried copper service lines.  Laclede is unable to
    predict at this time what action, if any, the MoPSC may take in this
    docket or the outcome of this lawsuit or any of these claims.

9.  This Form 10-Q should be read with the Notes to Consolidated Financial
    Statements in the Company's 1998 Form 10-K.

10. Basis of Consolidation - The consolidated financial statements include
    the accounts of the Laclede Gas Company and its subsidiary companies
    (Company).  All subsidiaries are wholly owned and all appropriate
    intercompany transactions have been eliminated.  Certain prior-period
    amounts have been reclassified to conform to current-period
    presentation.

















                                 Page 10
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<PAGE>
                   MANAGEMENT'S DISCUSSION AND ANALYSIS OF
                 FINANCIAL CONDITION AN RESULTS OF OPERATION

RESULTS OF OPERATIONS

Quarter Ended June 30, 1999
----------------------------

Due to the seasonal nature of the Company's core gas distribution business,
earnings are typically concentrated in the first six months of the fiscal
year, the period that corresponds with the heating season.  In the remaining
warm spring and summer months, gas sales volumes are low, and revenues and
earnings generally decline.  This year, the Company earned a third-quarter
profit, although modest, due largely to an effective cost-control program
which resulted in expense reductions.

The Company's quarterly earnings were $.01 per share compared with a loss of
$.05 per share in the same quarter last year.  The expense reductions, some
of which resulted from regulatory accounting changes instituted July 1, 1998
as part of the Company's 1998 rate case settlement, were partially offset by
the effect of lower gas sales volumes resulting from weather that was 22%
warmer than in the same period last year.

Utility operating revenues for the quarter were $66.0 million compared with
$77.2 million for the quarter ended June 30, 1998.  The $11.2 million, or
14.5%, decrease resulted primarily from lower gas costs, lower gas supply
incentive plan revenues and lower gas sales.  Laclede's gas costs impact its
revenues since those costs are passed on to its customers under its
purchased gas adjustment clause.  The warmer weather led to the lower gas
sales.  System therms sold and transported decreased by 9.4 million therms,
or 6.7%, below the quarter ended June 30, 1998.

Non-utility operating revenues for this quarter increased $1.3 million from
those revenues for the same quarter last year mainly due to increased gas
marketing sales by Laclede Energy Resources, Inc., a wholly-owned
non-utility subsidiary of the Company.

Utility operating expenses decreased by $12.4 million, or 16.6%, below these
expenses in the same quarter last year.  Natural and propane gas expense in
this quarter decreased $9.9 million, or 28.6%, below the expense for last
year's third quarter.  This decrease reflects lower rates to the Company for
natural and propane gas, lower incentive plan expense and a decrease in gas
purchases resulting from the warmer weather.  Other operation and
maintenance expenses decreased $1.1 million from last year.  This decrease
was mainly due to lower net pension costs, which were largely offset by a
higher provision for uncollectible accounts and higher wage rates.
Depreciation and amortization expense decreased 20.5% from the amount for
the same period last year primarily due to lower depreciation rates which
were partially offset by additional depreciable property.  The Company
instituted the lower depreciation rates on July 1, 1998 as authorized in its
1998 rate case settlement.  Taxes, other than income taxes, decreased
slightly below the amount for last year mainly due to lower gross receipts
taxes (reflecting decreased revenues) largely offset by higher real estate
and personal property taxes in this fiscal year.

Non-utility operating expenses increased $1.4 million this quarter mainly
due to increased gas expense associated with gas marketing sales by Laclede
Energy Resources, Inc., a wholly-owned non-utility subsidiary of the
Company.

                                 Page 11
<PAGE>
<PAGE>
Other income and income deductions increased $.3 million due to a gain
recognized on a minor sale of land.  Interest charges dropped by 4.1% due
mainly to the redemption in May 1998 of a 9 5/8% first mortgage bond issue
and decreased short-term interest expense due to lower average borrowings.
This decrease in interest expense was partially offset by higher interest on
long-term debt resulting from the issuance of $25 million of 7% first
mortgage bonds in June 1999.


Nine Months Ended June 30, 1999
-------------------------------

Earnings were $1.68 per share compared with $1.76 per share for the
comparable period last year.  The weather was 12% warmer than normal and 7%
warmer than last year.  The decrease in earnings was primarily due to lower
gas sales arising from the warm weather, partially offset by expense
reductions.

Utility operating revenues decreased $68.0 million, or 13.9% below the
corresponding period of fiscal year 1998.  This decrease was primarily due
to lower wholesale gas costs, lower gas sales volumes arising from the
warmer weather and lower incentive plan revenues.  System therms sold and
transported decreased by 45.1 million therms, or 4.9% below the level
experienced during the nine months ended June 30, 1998.

Non-utility operating revenues increased $.3 million this fiscal year
primarily due to higher gas marketing sales, partially offset by minor
variations in several areas.

Utility operating expenses decreased by $64.9 million, or 15.2% below last
year.  Natural and propane gas expense decreased by $58.5 million, or
20.1%, below last year mainly due to lower rates charged by our suppliers,
reduced gas purchases resulting from the warmer weather and lower incentive
plan expense.  Other operation and maintenance expenses decreased slightly
primarily due to lower net pension costs (due in part from regulatory
accounting changes instituted July 1, 1998) and reduced distribution
expenses. These decreases were largely offset by a higher provision for
uncollectible accounts, lower gains recognized this fiscal year on lump sum
pension settlements, higher wage rates and a higher provision for injuries
and damages.  Depreciation and amortization expense decreased 20.1%
primarily due to the lower depreciation rates effective July 1, 1998,
partially offset by additional depreciable property.  Taxes, other than
income taxes, decreased by 4.9% principally due to lower gross receipts
taxes (mainly reflecting decreased revenues), partially offset by higher
real estate and personal property taxes in this fiscal year.

Non-utility operating expenses increased $2.0 million this fiscal year
mainly due to higher costs incurred by the Company's wholly-owned
subsidiary, Laclede Energy Resources, Inc., related to natural gas financial
instruments and gas expense associated with gas marketing activities.

Other income and income deductions increased $2.7 million above the same
period last year primarily due to a pre-tax gain of approximately $1.9
million recognized by the Company's wholly-owned subsidiary, Laclede
Development Company, on the sale of undeveloped property known as Centre
Park 40.  Laclede Development owned its interest in Centre Park 40 through a
real estate partnership.  The increase was also attributable to improved
results in several areas.  The 3.2% decrease in interest charges is mainly
due to the redemption in May 1998 of a 9 5/8% first mortgage bond issue.

                                 Page 12 
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This decrease was partially offset by increased short-term interest expense
due to higher average borrowings and higher interest on long-term debt
resulting from the issuance of $25 million of 7% first mortgage bonds in
June 1999.

The $.5 million decrease in income taxes is principally due to lower pre-tax
income.


Updated Regulatory Matters
--------------------------

On January 26, 1999, Laclede filed a request with the Missouri Public
Service Commission (MoPSC) for a general rate increase to recover costs
related to the operation of its gas distribution system.  Laclede does not
anticipate higher rate levels during the current fiscal year, because the
MoPSC generally suspends a general rate increase request until it has
reviewed and audited the filing, held hearings and reached its determination
whether and to what extent the rate increase request should be granted.  By
statute, the MoPSC process may take no longer than eleven months.  Laclede's
request is for a rate adjustment that would increase its annual revenues by
$30.5 million and increase a typical residential heating customer's bill by
about 5.8%, or $3.37 a month.  A series of pre-hearing conferences were held
in mid-July with the Commission's Staff, the Office of Public Counsel and
other parties regarding our proposed general rate increase.  In the event
the Company does not obtain an adequate resolution of the issues involved, a
full hearing before the Commission is scheduled to begin on August 30, 1999.
Historically, the MoPSC has not granted Laclede's rate increase requests in
full.

The Company's gas supply incentive plan became effective October 1, 1996 for
a three-year period ending September 30, 1999 as part of a settlement
reached in the Company's 1996 rate case.  This plan continues to provide
significant benefits for both the Company's shareholders and customers.
Under this plan, the Company and its customers share in benefits from:
sales of gas outside of the Company's traditional service area, releases of
pipeline capacity, savings from discounts off of maximum pipeline
transportation rates, and gains and losses as measured against a benchmark
level of gas cost.  For additional information on the incentive plan, see
Note 4 of Notes to Consolidated Financial Statements, on page 8.  Hearings
were held in late July before the Missouri Public Service Commission
regarding the Company's request to extend for another three years the Gas
Supply Incentive Plan with some modifications.  The current program is
scheduled to expire September 30, 1999, and the Commission has recognized
the need for a timely resolution of this matter.

Since the Company began operating under the incentive plan in October 1996,
Laclede has achieved overall net benefits of $86.2 million for its
shareholders and customers.  During the nine months ended June 30, 1999, the
incentive plan operations resulted in gas cost savings of $16.6 million to
its customers and $3.5 million in pretax income to its shareholders.

On July 21, 1999, the Missouri Public Service Commission gave final approval
to Laclede's proposal to extend and significantly modify its existing Price
Stabilization Program.  Under the initial program, which was first approved
in 1997, Laclede was authorized to purchase certain financial instruments to
protect its customers during the heating season from unusually large
increases in the unregulated cost of natural gas.  Under the modifications
proposed by the Company and approved by the Commission, Laclede still will
                                 Page 13    
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<PAGE>
provide significant price protection for its customers above a pre-
determined level but it will now have the opportunity to share in any gains
and cost reductions realized under the program.  Laclede believes this new
program can provide significant benefits for both its customers and
shareholders.


LIQUIDITY AND CAPITAL RESOURCES

The Company's short-term borrowing requirements typically peak during colder
months when the Company borrows money to cover the gap between when the
Company purchases its natural gas and when the Company's customers pay the
Company for that gas.  These short-term cash requirements have traditionally
been met through the sale of commercial paper supported by lines of credit
with banks.  In January 1999, the Company renewed three primary lines of
bank credit under which it may borrow up to an aggregate of $30 million
prior to January 31, 2000, with renewal of any loans outstanding on that
date permitted up to June 30, 2000.  An additional $10 million primary line
of credit was renewed through March 31, 1999.  This, along with a previously
obtained $100 million supplemental line of credit extending through August
30, 1999, and an additional $20 million supplemental line of credit obtained
for the period of January 1999 through March 20, 1999, provided total lines
of credit of $160 million for the majority of the 1998-1999 heating season.

During fiscal 1999 to date, the Company sold commercial paper aggregating to
a maximum of $142.5 million at any one time, but did not borrow from the
banks under the aforementioned agreements.  Short-term borrowings amounted
to $42.5 million at June 30, 1999.

In January 1999, the Missouri Public Service Commission (MoPSC) authorized
the Company to issue and sell up to 1,250,000 shares of its common stock.
The Company filed a registration statement with the Securities and Exchange
Commission for the registration of these shares of common stock on March 15,
1999.  The registration statement was amended on April 15, 1999 and April
27, 1999 and became effective on April 29, 1999.  On May 5, 1999, the
Company issued and sold 1,250,000 shares of its common stock to the public
through an underwriting group led by Merrill Lynch & Co. and A.G. Edwards &
Sons, Inc.  The net proceeds were used to repay short-term debt.

On April 8, 1999, the MoPSC approved the Company's request for a two-year
extension, to April 21, 2001, of its authority to sell up to $25 million of
additional first mortgage bonds.  The MoPSC originally authorized the
issuance and sale of $100 million of first mortgage bonds, of which $75
million had already been issued and sold.  On June 2, 1999, the Company
issued the remaining $25.0 million first mortgage bonds with an interest
rate of 7%, at an overall cost to the Company of 7.04%.  The bonds were
dated June 1, 1999 and mature June 1, 2029.  The proceeds were used to repay
short-term debt.  The bonds were rated Aa3 by Moody's and AA- by Standard &
Poor's.  The ratings also apply to the Company's other outstanding bonds.

Laclede Pipeline Company, Laclede Gas Company's wholly-owned subsidiary,
owns and operates a propane pipeline which connects Laclede Gas
Company's 800,000-barrel, or approximately 33 million gallons, propane
storage facilities in St. Louis County, Missouri, to propane supply
terminal facilities located at Wood River and Cahokia, Illinois.
Laclede Pipeline Company transports liquid propane through this pipeline
to Laclede Gas Company for storage.  Laclede Gas Company ultimately
vaporizes and uses the propane to supplement its natural gas supply to
meet the peak demands on the distribution system.  Laclede Pipeline
Company's contract with Phillips Petroleum Company, which provided for

                                 Page 14
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<PAGE>
delivery of up to 35 million gallons of propane annually, expired on
March 31, 1999.  Laclede Gas Company will not be adversely affected by
this termination, as Laclede Pipeline Company purchased the connecting
pipeline from Phillips for approximately $1.4 million in June 1999, allowing
adequate access to supply markets.

Construction expenditures for the nine months ended June 30, 1999 were
$36.6 million compared with $35.9 million for the same period last year.
Capitalization at June 30, 1999 increased $61.0 million from September 30,
1998 and consisted of 58.7% common stock equity, .4% preferred stock equity,
and 40.9% long-term debt.

The seasonality of the Company's business impacts some balance sheet items
such as Natural Gas Stored Underground, Notes Payable and
Advance Customer Billings.


ENVIRONMENTAL MATTERS

The Company is subject to various environmental laws and regulations.
To date they have not materially affected the Company's financial
position and results of operations.

In the past, the Company operated various manufactured gas plants which
produced certain by-products and residuals.  At the request of the
United States Environmental Protection Agency, Laclede performed
an investigation of one of the Company's former manufactured gas plant
sites located in Shrewsbury, Missouri.  Subsequently, the Company and
the state and federal environmental regulatory agencies agreed upon the
actions needed at this site.  The Company currently estimates the
overall costs of these actions will be approximately $1,135,000.  As of
June 30, 1999, the Company has paid $638,000 and reserved $497,000 for
these actions.  If the regulatory agencies require any additional
actions, Laclede will incur additional costs.

The Company also applied to place the site of a different former
manufactured gas plant in the City of St. Louis, Missouri in the
Missouri Voluntary Cleanup Program.  Laclede ceased its operations at
and sold this site in 1950.  Subsequent owners of this site used it as a
coke manufacturing facility.  The Missouri Department of Natural
Resources accepted the Company's application.  Acceptance provides
opportunities to minimize costs of remediation and maximize
possibilities of site development.  Laclede submitted a site
investigation plan to the Missouri Department of Natural Resources on
November 16, 1998, which investigation is now complete.  Recently,
Laclede sent its report on the investigation to the Missouri Department
of Natural Resources.  Laclede currently estimates that the cost of the
investigation, oversight costs and legal and engineering consulting costs
for this site may be approximately $534,000.  Currently, the Company has
paid $297,000 and reserved an additional $237,000.  The Company has
requested that other former site owners and operators participate in the
cost of any site investigation.  One former owner and operator, who is
currently in a Chapter 11 bankruptcy proceeding, recently agreed to
participate in these costs, and the agreement recently received the
bankruptcy court's approval.  The Company plans to seek proportionate
reimbursement of all costs relative to this site from any other potentially
responsible parties if practicable.

While the scope or costs relative to the site in Shrewsbury will not
be material, the scope or costs relative to the City of St. Louis site

                                 Page 15
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<PAGE>
are unknown and may be material.  The Company has notified its insurers
that it intends to seek reimbursement from them of its costs at both
these sites.  None of the Company's insurers have agreed that its
insurance covers the costs for which the Company intends to seek
reimbursement.  The majority of the insurers have sent Laclede letters
reserving their rights with respect to the manufactured gas plant issues
addressed in the Company's notices to them.  While some of the insurers
have denied coverage with respect to these issues, the Company continues
to seek reimbursement from them.  With regard to the Shrewsbury site,
the denial of coverage will not have any material impact on the Company.
With regard to the City of St. Louis site, since the scope or costs
relative to this site are unknown and may be material, the denial of
coverage may have a material impact on the Company.

In the Company's 1998 rate case, the MoPSC approved the Company's
continued use of a cost deferral mechanism for these costs.  Through
this, the Company is applying for appropriate rate recovery of these
costs in its current rate case.  The recovery of these costs, however, is
being questioned in Laclede's current rate proceeding.


YEAR 2000 ISSUE

Laclede Gas Company is well into the process of assessing and addressing the
Year 2000 issues that might adversely affect Laclede.

Under the mainframe portion of the Company's year 2000 readiness plan, it is
upgrading, converting and replacing:
    - mainframe computer hardware;
    - attendant operating system software; and
    - key mainframe systems and applications.

The majority of these systems and applications have been completely
converted and upgraded as well as tested on an initial basis.  These systems
include customer records, billing and accounting systems.  With regard to
the few personal computer applications which may be important, their
replacements/upgrades are currently being implemented.  Testing will
continue on an ongoing basis.

Additionally, Laclede has conducted a company-wide program to inventory,
evaluate, remediate and test significant equipment, products, services and
supplies that it uses.  Laclede completed the inventory of these items and
services in August 1998, and the evaluation of their importance in September
1998.  Under the Company's year 2000 readiness plan, it will test and, to
the extent problems are discovered, fix those problems or replace the item.
The remediation of those relatively few important items with problems has
been developed and its implementation is in process.

The Company has developed and continues to refine its contingency plans for
unforeseen critical system or equipment failures.  With regard to a
temporary loss of electrical and/or communication services, it would at most
impair Laclede's ability to operate remotely a small number of pressure
regulator stations.  Laclede will place trained employees at each of the
remotely controlled pressure regulator stations to make any adjustments
needed on a manual basis.  In addition, the Company will use an in-house
radio relay system to maintain any needed communications with its employees
in the field.  With regard to any temporary natural gas supply
interruptions, Laclede operates a large, local natural gas underground
storage facility as well as a local propane storage facility which it would
use if needed.  Contingency planning is substantially complete.  The plans
will continue to be reviewed for adequacy and improved upon if necessary
during the remainder of this year.
                                 Page 16
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<PAGE>
The Company has directly contacted and received assurances from many of its
vendors.  This group of vendors includes the natural gas suppliers and
transporting pipelines who have assured Laclede that they will be able to
supply natural gas to us after 1999 without interruption.  Laclede has, to
the extent possible, verified the vendors' ability to continue to supply the
items and services to Laclede in the year 2000.  The Company will conduct
additional follow-ups during the remainder of the year to verify further the
ability of the Company's vendors to continue to supply items and services
through the transition into the year 2000 and beyond.  If the Company does
not believe a vendor will be able to provide a needed item or service in the
year 2000, it will use alternate vendors and develop contingency plans for
any prospective unavailability of the needed item or service.

Based on all of the information available to us at this time, we do not
expect to experience any interruption in Laclede's business operations, or
to cause any materially adverse consequences to our customers, as a result
of the year 2000 situation.

As of June 30, 1999, the Company has incurred total costs of approximately
$16.2 million for replacements and modifications of various computer
systems.  Of this amount, Laclede capitalized $14.7 million and charged
$1.5 million to expense.  The Company has used funds from internally
generated cash flows and short-term borrowings to pay these costs.  The
Company currently estimates that costs remaining to be incurred during
fiscal 1999 will amount to approximately $2 million.  In the 1998
rate case, the Missouri Public Service Commission authorized Laclede to
capitalize the costs incurred in connection with making its information
systems ready for year 2000 operations.  The MoPSC also authorized Laclede
to defer any interim property tax, depreciation or carrying cost expenses
that it may incur in connection with these capitalized items.  Laclede has
applied for recovery of these interim expenses in its current rate
proceeding.  However, recovery is being questioned.


OTHER MATTERS

In September 1997, the staff of the Missouri Public Service Commission
(MoPSC) recommended that Laclede refund $3.6 million to its ratepayers in
connection with its sale of gas outside of Missouri during fiscal 1996,
prior to the approval of the incentive plan.  Laclede believes it had full
authority to enter into these transactions in part under the implementation
of the Federal Energy Regulatory Commission's Order No. 636.  Laclede filed
testimony opposing the recommendation made by the staff of the MoPSC.
Formal hearings were held on this issue in October 1998.  On April 20, 1999
the MoPSC issued its order rejecting the proposal of its staff.  This order
became effective on April 30, 1999.  One of the parties sought a rehearing
of the MoPSC's order denying the staff's refund proposal.  This request for
rehearing was denied, and no further appeals were taken.  This matter is now
closed.

At the federal level, the Federal Energy Regulatory Commission (FERC) this
year undertook several initiatives to consider changes in the regulation of
interstate pipeline transportation service that could affect the Company's
future costs and, ultimately, the rates its customers pay.  These
initiatives include a proposed requirement that pipelines auction their
short-term capacity and that they be permitted to negotiate rates and terms
of service on an individual basis with their customers.  The Company is
monitoring these developments closely and will intervene when necessary so
that the best interests of both the Company and its customers are addressed
in changes that may eventually be approved by the FERC.

                                 Page 17
<PAGE>
<PAGE>
On April 6, 1999, voters in Wentzville, Missouri, in western St. Charles
County, granted Laclede, by a 3-to-1 margin, a 20 year non-exclusive
franchise to provide natural gas service to much of the city south of
Interstate 70, west of Lake St. Louis.  This will allow Laclede to continue
expansion of its service area in areas where the Company anticipates
significant growth to occur during the next few years.  The Company received
the Missouri Public Service Commission's approval to serve specifically this
portion of Wentzville, as well as currently unincorporated adjacent areas.


FORWARD-LOOKING STATEMENTS

Certain statements in this 10-Q are forward-looking statements made based
upon the Company's expectations and beliefs concerning future developments
and their potential effect on Laclede.  These statements, however, do not
include  financial statements and other statements of historical fact.  The
forward-looking statements may be identified by the use of such terms as
"anticipate," "believe," "estimate,"  "expect," "intend," "plan," "seek" and
similar expressions.  Future developments may not be in accordance with the
Company's expectations or beliefs and the effect of future developments on
Laclede may not be those anticipated.  Among the factors that may cause
actual results to differ materially from those contemplated in any forward-
looking statements are:
    -  weather conditions and catastrophic events
    -  changes in transportation and gas supply costs or availability
    -  regulatory actions and initiatives of federal and state regulatory
       agencies, some of which could be retroactive, including those
       affecting:
        --  financings
        --  allowed rates of return
        --  incentive regulation
        --  industry and rate structure
        --  purchase gas adjustment provisions
        --  franchise renewal
        --  environmental or safety requirements
    -  the effects of any industry or corporate restructuring
    -  conservation efforts of our customers
    -  economic factors such as changes in the conditions of capital
       markets, interest rates and rates of inflation
    -  inability to retain existing customers or to attract new customers
    -  ability to obtain funds from operations or the sale of debt or
       equity to finance necessary capital expenditures and other
       investments
    -  employee work force issues
    -  statutory or tax changes
    -  changes in accounting standards and
    -  the effectiveness of Year 2000 computer system remediation efforts by
       third parties and unknown Year 2000 related problems

The Company does not, by including this statement, assume any obligation to
review or revise any particular forward-looking statement referenced herein
in light of future events.







                                 Page 18
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              LACLEDE GAS COMPANY AND SUBSIDIARY COMPANIES












                                Part II


                           OTHER INFORMATION





























                                 Page 19
<PAGE>
<PAGE>
         LACLEDE GAS COMPANY AND SUBSIDIARY COMPANIES

Item 1.  Legal Proceedings

         For a discussion of environmental matters, see Note 6 of the Notes
         to Consolidated Financial Statements in Part I, Financial
         Information.

         On October 30, 1998, the Missouri Public Service Commission (MoPSC)
         issued an order opening a docket addressing the adequacy of
         Laclede's copper service line replacement program.  At this time,
         the Staff is continuing its investigation and expects to issue its
         recommendations by August 30, 1999.  The Company currently faces
         two lawsuits and one claim relative to incidents where gas has
         apparently leaked from direct buried copper service lines.  Laclede
         is unable to predict at this time what action, if any, the MoPSC
         may take in this docket or the outcome of this lawsuit or any of
         these claims.

         Superior Oil Company and Union Pacific Railroad Company dismissed,
         without prejudice, their action against Laclede Gas Company seeking
         contribution under the Comprehensive Environmental Response,
         Compensation and Liability Act of 1980 for costs incurred and to be
         incurred in remediating a site in St. Louis.


Item 5.  Other Information

         Effective June 1, 1999, the Board of Directors of Laclede Gas
         Company elected Mr. W. Stephen Maritz, President and Chief
         Executive Officer of Maritz Inc., to fill the vacant position on
         the Board.  The vacancy resulted from the resignation of Mr.
         Richard E. Beumer, Vice Chairman of Jacobs Engineering Group Inc.
         The board meeting schedule for Jacobs directly coincided and
         conflicted with the board meeting schedule of Laclede Gas Company.


Item 6.  Exhibits and Reports on Form 8-K

         (a)  See Exhibit Index

         (b)  Reports on Form 8-K

              The Company filed two Form 8-Ks during the quarter ended
              June 30, 1999.

         Item Reported in Form 8-K with April 29, 1999 Date of Report:

         Item 5.  Other Events - Pursuant to an underwriting agreement dated
         April 29, 1999, Laclede Gas Company on May 5, 1999 sold to the
         underwriters named on schedule I to the underwriting agreement,
         1,250,000 shares of its common stock, par value $1 per share.  The
         Company filed the registration statement on Form S-3
         (No. 333-74423) with respect to the shares on March 15, 1999,
         Amendment No. 1 to the S-3 on April 15, 1999, and Amendment No. 2
         to the S-3 on April 27, 1999.  The Securities and Exchange
         Commission declared it effective on April 29, 1999.  A copy of the
         underwriting agreement was exhibit 1 to the Form 8-K.  The Company
         issued a press release regarding the sale of the 1,250,000 shares
         on May 5, 1999, a copy of which was attached as exhibit 2 to the
         Form 8-K.

                                 Page 20 
<PAGE>
<PAGE>
         Item reported in Form 8-K with May 27, 1999 Date of Report:

         Item 5. Other Events - Pursuant to an underwriting agreement,
         effective May 27, 1999, Laclede Gas Company on June 2, 1999 sold to
         ABN AMRO Incorporated, the underwriter named on schedule I of the
         underwriting agreement, $25,000,000 aggregate principal amount of
         its first mortgage bonds, 7% series due June 1, 2029.  The bonds
         were issued under the Mortgage and Deed of Trust, dated as of
         February 1, 1945, under which State Street Bank and Trust Company
         of Missouri, N.A. is the present trustee.  Such mortgage and deed
         of trust had previously been amended and supplemented by a Twenty-
         Fourth Supplemental Indenture, dated as of June 1, 1999.  The
         registration statement on Form S-3 with respect to the first
         mortgage bonds (File no. 33-60996) was filed by Laclede Gas Company
         on April 13, 1993 and declared effective by the Securities and
         Exchange Commission on April 21, 1993.  The underwriting agreement
         and the supplemental indenture were exhibits 1.01 and 4.01,
         respectively, to the Form 8-K.









































                                 Page 21
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              LACLEDE GAS COMPANY AND SUBSIDIARY COMPANIES


                               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.





                                                  LACLEDE GAS COMPANY


Date: August 6, 1999
                                                    G. T. McNeive, Jr.
                                                  ---------------------
                                                    G. T. McNeive, Jr.
                                              Sr. Vice President - Finance
                                                  and General Counsel
                                               (Authorized Signatory and
                                               Chief Financial Officer)





























                                 Page 22                                 
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                          Index to Exhibits




                                                               Sequentially
Exhibit                                                          Numbered
Number            Exhibit                                          Page
-------           -------                                      ------------

4             Twenty-Fourth Supplemental Indenture
              dated May 27, 1999 entered in to by Laclede
              Gas Company and ABN AMRO Incorporated
              relative to the first mortgage bonds,
              incorporated by reference from exhibit 4.01 to
              Form 8-K filed on June 4, 1999
              (File No. 1-1822).


27            Financial Data Schedule UT                            24


































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