<PAGE>  1
---------------------------------------------------------------------------
                   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 quarter ended September 30, 1998

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

                    Commission file     Number 0-8287
                           LINDBERG CORPORATION


     DELAWARE                                 36-1391480            
----------------------              -------------------------------
State of Incorporation              IRS Employer Identification No.


                    6133 North River Road, Suite 700
                        Rosemont, Illinois 60018
                             (847) 823-2021


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     
                           -----              -----

The number of shares of the Registrant's Common Stock outstanding as of
November 10, 1998 was: 5,875,781.


<PAGE>  2

                                  -2-

                 LINDBERG CORPORATION AND SUBSIDIARIES

                           TABLE OF CONTENTS
<TABLE>

      Part I  Financial Information:                              Page No.
                                                                  --------
<S>                                                                  <C>
Item 1. Consolidated Statements of Earnings - Three Months
        and Nine Months Ended September 30, 1998 and 1997 ......      3

        Consolidated Balance Sheets - As of September 30, 1998
        and December 31, 1997 ..................................      4

        Consolidated Statements of Cash Flows - Nine Months
        Ended September 30, 1998 and 1997 ......................      5

        Notes to the Consolidated Financial Statements .........      6

Item 2. Management's Discussion and Analysis of Financial
        Condition and Results of Operations ....................      9


      Part II  Other Information:

Item 1.  Legal Proceedings .....................................      13

Item 6. Exhibits and Reports on Form 8-K .......................      13

        Signatures .............................................      14

        Exhibit Index ..........................................      15

</TABLE>

<PAGE>  3

                                  -3-

                      PART I FINANCIAL INFORMATION
<TABLE>
                 LINDBERG CORPORATION AND SUBSIDIARIES
                  CONSOLIDATED STATEMENTS OF EARNINGS
                               (UNAUDITED)

                                Three Months Ended         Nine Months Ended
                                   September  30,            September 30,
                             ------------------------  ------------------------
                                1998         1997         1998         1997    
<S>                          <C>          <C>          <C>          <C>
Net Sales                    $31,365,152  $20,954,520  $95,270,799  $62,350,578

 Cost of Sales               (21,680,600) (15,573,533) (65,628,244) (45,720,831)
                             -----------  -----------  -----------  -----------
Gross Profit                   9,684,552    5,380,987   29,642,555   16,629,747

 Selling and Administrative 
 Expenses                     (5,215,129)  (3,009,785) (15,016,364)  (9,077,671)

 Equity in Earnings of
 Partnership                          --      605,582           --    1,436,328
                             -----------  -----------  -----------  ----------- 
Operating Earnings             4,469,423    2,976,784   14,626,191    8,988,404

 Interest Expense - Net         (510,388)    (387,069)  (2,056,067)  (1,132,185)
                             -----------  -----------  -----------  -----------
Earnings from Continuing
Operations Before 
Income Taxes                   3,959,035    2,589,715   12,570,124    7,856,219

 Provision for Income Taxes   (1,603,398)  (1,043,587)  (5,091,655)  (3,176,415)

Earnings from Continuing     -----------  -----------  -----------  -----------
Operations                     2,355,637    1,546,128    7,478,469    4,679,804

Loss from Discontinued
Operations, Net of
Income Taxes                          --     (197,845)          --     (420,500)
                             -----------  -----------  -----------  -----------
Net Earnings                 $ 2,355,637  $ 1,348,283  $ 7,478,469  $ 4,259,304 
                             ===========  ===========  ===========  ===========

Basic Earnings Per Share:
 Earnings from Continuing
 Operations                  $       .43  $       .32  $      1.47  $       .97
 Loss from Discontinued
 Operations                           --         (.04)          --         (.08)
                             -----------  -----------  -----------  -----------
 Net Earnings                $       .43  $       .28  $      1.47  $       .89 
                             ===========  ===========  ===========  ===========

Weighted Average Shares
Outstanding                    5,512,901    4,809,490    5,072,119    4,801,771
                             ===========  ===========  ===========  ===========

Diluted Earnings Per Share:
 Earnings from Continuing
 Operations                  $       .41  $       .31  $      1.41  $       .96
 Loss from Discontinued
 Operations                           --         (.04)          --         (.09)
                             -----------  -----------  -----------  -----------
 Net Earnings                $       .41  $       .27  $      1.41  $       .87
                             ===========  ===========  ===========  ===========

Weighted Average Shares
Outstanding and Equivalents    5,720,087    4,940,781    5,300,075    4,898,043 
                             ===========  ===========  ===========  ===========

Cash Dividends Declared
and Paid                     $       .08  $       .08  $       .24  $       .24
                             ===========  ===========  ===========  ===========
</TABLE>

<PAGE>  4

                                  -4-
<TABLE>
                 LINDBERG CORPORATION AND SUBSIDIARIES
                      CONSOLIDATED BALANCE SHEETS

                                             September 30,   December 31,
                                                 1998            1997   
                                              (UNAUDITED)
                                             -------------   -------------
<S>                                          <C>             <C>
CURRENT ASSETS:
 Cash                                        $     199,458   $     283,270
 Receivables - Net                              20,529,704      14,875,005
 Prepaid and Refundable Income Taxes             1,098,865       1,380,768
 Prepaid Expenses                                1,128,259         632,846
 Net Assets of Discontinued Operations           2,356,576      17,475,866
 Other Current Assets                            1,279,582       1,616,774
                                             -------------   -------------
   Total Current Assets                         26,592,444      36,264,529

PROPERTY AND EQUIPMENT:
 Cost                                          119,260,975      91,602,405
 Less-Accumulated Depreciation                 (59,501,077)    (52,505,822)
                                             -------------   -------------
   Net Property and Equipment                   59,759,898      39,096,583

 Goodwill                                       19,414,831      11,537,742
 Other Non-Current Assets                        5,312,142       2,664,577
                                             -------------   -------------
TOTAL ASSETS                                 $ 111,079,315   $  89,563,431
                                             =============   =============

CURRENT LIABILITIES:
 Current Maturities on Long-Term Debt        $     120,373   $      83,328
 Notes Payable                                   2,000,000      10,220,000
 Accounts Payable                                3,399,799       3,540,279
 Accrued Expenses                                9,469,391       6,273,794
                                             -------------   -------------
   Total Current Liabilities                    14,989,563      20,117,401

NON-CURRENT LIABILITIES:
 Deferred Income Taxes                           6,329,001       6,149,001
 Long-Term Debt (Less Current Maturities)       29,699,594      25,862,512
 Accrued Pension                                 3,222,930       3,342,458
 Other Non-Current Liabilities                   2,586,310       2,000,641
                                             -------------   -------------
   Total Non-Current Liabilities                41,837,835      37,354,612

STOCKHOLDERS' EQUITY:
 Preferred Shares, (Par value $0.01)
   Authorized 1,000,000 shares since April
   24, 1998.  No shares issued.                         --              --
 Common Shares, (Par value $0.01 since April
   24, 1998 and $2.50 prior thereto)
   Authorized 25,000,000 shares since April
   24, 1998 and 12,000,000 prior thereto.
   Issued 6,673,397 shares in 1998 and
   5,673,397 in 1997.                               66,734      14,183,493
 Additional Paid-In Capital                     31,313,928       1,526,192
 Retained Earnings                              27,611,138      21,377,489
 Treasury Shares (797,616 in 1998
   and 845,016 in 1997), at Cost                (4,585,348)     (4,841,221)
 Underfunded Pension Liability Adjustment         (154,535)       (154,535)
                                             -------------   -------------
   Total Stockholders' Equity                   54,251,917      32,091,418
                                             -------------   -------------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY   $ 111,079,315   $  89,563,431
                                             =============   =============
</TABLE>

<PAGE>  5

                                  -5-
<TABLE>
                 LINDBERG CORPORATION AND SUBSIDIARIES
                 CONSOLIDATED STATEMENTS OF CASH FLOWS
                              (UNAUDITED)

                                                   Nine Months Ended
INCREASE (DECREASE) IN CASH                          September 30,
                                             -----------------------------                         
                                                 1998            1997   
                                             -------------   -------------
<S>                                          <C>             <C>
Cash Flows from Operating Activities:
Net Earnings                                 $   7,478,469   $   4,259,304
Adjustments to Reconcile Net Earnings to
 Net Cash Provided by Operating Activities:
Depreciation                                     4,511,566       2,944,683
Goodwill Amortization                              438,811          21,169
Increase in Deferred Taxes                         180,000         180,000
Change in Assets and Liabilities                 2,181,318         369,979
                                             -------------   -------------
 Total Adjustments to Reconcile Net
   Earnings to Net Cash Provided by
   Operating Activities                          7,311,695       3,515,831
                                             -------------   -------------
 Net Cash Provided by Operating Activities      14,790,164       7,775,135

Cash Flows from Investing Activities:
Capital Expenditures                            (7,679,284)     (5,633,566)
Cash Received from Sale of Precision Products
 Operations                                      6,582,717       1,102,600
Investment in Acquisitions, Net
  of Cash Received                             (24,112,588)     (3,800,000)
                                             -------------   -------------
 Net Cash Used in Investing Activities         (25,209,155)     (8,330,966)

Cash Flows from Financing Activities:
Net Borrowings Under Revolving
  Credit Agreement                               3,800,000         800,000
Issuance of Common Stock                        16,000,000              --
Note Payable for Purchase of Vac-Hyd                    --        (901,437)
Notes Payable for Purchase of Ticorm            (1,900,000)      1,900,000
Notes Payable for Purchase of Alumatherm        (6,320,000)             --
Dividends Paid                                  (1,244,821)     (1,151,786)
                                             -------------   -------------
 Net Cash Provided by Financing Activities      10,335,179         646,777

Net Increase (Decrease) in Cash                    (83,812)         90,946
Cash at Beginning of Period                        283,270          36,228
                                             -------------   -------------
Cash at End of Period                        $     199,458   $     127,174
                                             =============   =============

Supplemental Disclosures of Cash
Flow Information:
 Interest Paid                               $   2,302,378   $   1,021,143
 Income Taxes Paid - Net of Refunds              4,726,578       2,599,094

</TABLE>

<PAGE>  6

                                  -6-

                 LINDBERG CORPORATION AND SUBSIDIARIES

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS:

NOTE 1    Condensed Financial Statements

          The condensed consolidated financial statements included
          herein have been prepared by the Company, without audit,
          pursuant to the rules and regulations of the Securities and
          Exchange Commission.  Certain information and footnote
          disclosures normally included in financial statements prepared
          in accordance with generally accepted accounting principles
          have been condensed or omitted pursuant to such rules and
          regulations, although the Company believes that the
          disclosures are adequate to make the information presented not
          misleading.  It is suggested that these condensed financial
          statements be read in conjunction with the consolidated
          financial statements for the three years ended December 31,
          1997, and the notes thereto included in the Company's latest
          annual report on Form 10-K.

          Statements for the three month and nine month periods ended
          September 30, 1998 and September 30, 1997 reflect, in the
          opinion of the Company, all adjustments (consisting only of
          normal recurring accruals) necessary to present fairly the
          results of these periods. Results for interim periods are not
          necessarily indicative of results for a full year.

NOTE 2    Comprehensive Income

          Effective January 1, 1998, the Company adopted Statement of
          Financial Accounting Standard no. 130, "Reporting
          Comprehensive Income" ("SFAS 130"). For the three month and
          nine month periods ended September 30, 1998 and September 30,
          1997, there was no difference between net earnings as reported
          and comprehensive income as per SFAS 130.

NOTE 3    Acquisitions

          On January 16, 1998, the Company acquired all of the
          outstanding shares of both Industrial Steel Treating Co.
          ("Industrial") and Fabriform Metal Brazing, Inc.
          ("Fabriform"), related heat treating companies in the Los
          Angeles area, for $10.6 million.  The purchase was effective
          as of January 1, 1998.  On April 16, 1998, the Company
          acquired all of the outstanding shares of Houston Heat
          Treating Company ("HHT") for $10.7 million. On September 30,
          1998, the Company acquired all of the outstanding shares of
          Merrell Enterprises, Inc. (D.B.A. Mann Aircraft Forming)
          of Gardena, California, for $2.8 million plus debt assumed.
          The acquisitions were funded with additional borrowings 
          under the Company's revolving credit agreement
          ("Credit Agreement").

<PAGE>  7

                                  -7-

          All of the acquisitions were accounted for using the purchase
          method; accordingly, the results of operations have been
          included in the consolidated totals of the Company since the
          effective dates of their respective acquisitions.  The cost of
          the acquisitions has been allocated to the assets and
          liabilities based on their estimated fair market value. 
          Goodwill is amortized using the straight line method over 30
          years.

          The preliminary allocation of the purchase prices is as
          follows:  (in thousands)
<TABLE>
                                                Industrial/
                                                Fabriform       HHT
                                                ----------   ----------  
          <S>                                   <C>          <C>
          Property and Equipment .......        $    5,753   $    9,261
          Accounts Receivable ..........             1,947          954
          Other Assets .................                69           15
          Goodwill .....................             4,633          999
          Accounts Payable .............              (157)         (11)
          Other Liabilities ............            (1,632)        (518)
                                                ----------   ----------
                                               $    10,613   $   10,700
</TABLE>

          The following table presents pro forma information for the
          three month and nine month periods ended September 30, 1998
          and September 30, 1997 of the combined entities of Lindberg
          Corporation, Industrial and Fabriform, HHT, and Alumatherm
          Heat Treating Company ("Alumatherm").  The Company purchased
          the remaining 50% interest in Alumatherm from its partner on
          October 1, 1997.

          The unaudited pro forma information assumes the acquisitions
          had taken place at the beginning of the periods presented (in
          thousands, except per share data).
<TABLE>
                           Three Months Ended    Nine Months Ended
                              September 30,        September 30,     
                           ------------------    ------------------
                            1998       1997       1998       1997
                           -------    -------    -------    -------
          <S>              <C>        <C>        <C>        <C>
          Net Sales        $31,365    $28,833    $97,253    $85,046

          Earnings from
          Continuing
          Operations         2,356      2,042      7,702      6,247

          Net Earnings       2,356      1,844      7,702      5,826


          Per Diluted Share:

          Earnings from
          Continuing
          Operations           .41        .41       1.45       1.28

          Net Earnings         .41        .37       1.45       1.19
</TABLE>

<PAGE>  8

                                  -8-

          Adjustments to the statements of earnings include additional
          depreciation and interest charges, goodwill amortization,
          adjustments of certain other expenses and income tax effects.
          The pro forma information is provided for illustrative
          purposes only and is not necessarily reflective of the future
          results of the Company or results of operations that would
          have actually occurred had the transactions been in effect for
          the periods presented.

NOTE 4    Debt

          On February 10, 1998, the Credit Agreement was amended to
          increase the Company's revolving credit facility by $10
          million to $45 million and to adjust certain loan covenants. 
          Additionally, the amendment extended the maturity date of the
          Credit Agreement to April 2000.

NOTE 5    Material Changes

          The Company is the subject of a pending investigation by the
          government and a qui tam (whistle-blower) lawsuit regarding
          alleged violations of the Federal False Claims Act.  The
          Company learned of the lawsuit in late May 1998.  Although the
          activities that are the subject of the investigation and
          lawsuit appear to relate to only one plant, no assurance can
          be given that the investigation or lawsuit will not materially
          adversely affect the Company.  Also, the Company assumed a
          liability for environmental remediation, which has been
          estimated to be $1.2 million, in its acquisition of
          Industrial.  Otherwise, no material changes have occurred with
          respect to the Company's contingent liabilities outlined in
          the consolidated financial statements and the notes thereto
          through the date of this report.

NOTE 6    Discontinued Operations

          On April 22, 1998, the Company sold certain assets of its
          Impact Industries, Inc. subsidiary, which was a part of the
          discontinued Precision Products segment, for cash and a note.
          On June 11, 1998, the Company sold the assets of Harris
          Metals, another Precision Products facility, for cash and a
          note.  The Company is continuing to pursue the sale of the
          remaining Precision Products operations and expects to
          complete the divestiture of the segment by the end of the
          first quarter of 1999.  The Company believes that the net
          assets of discontinued operations of $2.4 million as of
          September 30, 1998 will be realizable upon final 
          disposition.

NOTE 7    Public Stock Offering

          On August 3, 1998, the Company sold 1,000,000 shares of its
          common stock to the underwriters of a public offering at a
          price of $16.00 per share, which was net of an underwriting
          discount.

<PAGE>  9

                                   -9-

"Safe Harbor" Statement:  Statements contained herein that are not based
     on historical facts are forward-looking statements subject to
     uncertainties and risks including, but not limited to, economic
     conditions, industry concentration, risks associated with
     acquisition strategy, approved vendor status, environmental
     regulations, product and other liabilities, risks associated with
     government programs, competition and other uncertainties and risks
     described in registration statements, reports and other documents
     filed by the Company from time to time with the Securities and
     Exchange Commission under the Securities Act of 1933 and
     Securities Exchange Act of 1934.  Specific reference is made to
     the factors described under "Risk Factors" in the Registration
     Statement on Form S-2 (Registration No. 333-57313) filed by the
     Company in connection with the public offering of 1,000,000 shares
     of its common stock.


ITEM 2.   MANAGEMENT'S DISCUSSION AND ANALYSIS

     OF FINANCIAL CONDITION:

     At September 30, 1998, the Company's total debt was $31.8 million,
     a decrease of $4.4 million from $36.2 million outstanding as of
     December 31, 1997.  The Company's total debt to capitalization
     ratio was 37% at the close of the third quarter in 1998 versus 53%
     at the end of last year.   At $31.8 million, total debt decreased
     29% from $44.5 million at the close of the quarter ended June 30, 1998.

     The reduction in total debt during the third quarter of the year
     resulted largely from a public offering of common stock completed
     during the period.  On August 3, 1998, the Company sold 1,000,000
     new shares of its common stock at a public offering price of
     $17.00 per share (net of an underwriting discount of $1.00 per
     share).  Proceeds received of $16,000,000, less offering expenses,
     were used to repay debt under the Company's revolving credit
     agreement.

     On September 30, 1998, the Company acquired Mann Aircraft 
     Forming for $2.8 million of cash. The funds used to complete 
     this transaction were borrowed under the Company's revolving 
     credit facility on that date.

     The Company's revolving credit agreement maintained with two banks
     provides for a total borrowing facility of $45 million. At
     September 30, 1998, the Company had $23.4 million of available
     capacity under this revolving credit agreement.

     Capital expenditures for the first nine months of 1998 were $7.7
     million, an increase from the $5.6 million recorded in the same
     period of 1997.  The spending in 1998 related primarily to the
     acquisition of additional furnaces/equipment for expansion at
     certain heat treating locations and for equipment used in the
     Company's Strategic Partnership 2000 program. The figure does not
     include funds utilized for acquisitions.

<PAGE> 10

                                    -10-

     On July 29, 1998, the Board of Directors declared a cash dividend
     of $.08 on each share of the Company's common stock.  This
     dividend was paid on September 1, 1998, totaling $470,000.  This
     compared to a dividend payout of $.08 per share of common stock,
     or $385,000, in the third quarter of 1997.

     The Company believes that its borrowing capacity and funds
     generated through operations will be sufficient to meet currently
     foreseen capital investment and working capital needs in support
     of existing businesses for the balance of 1998 and in the longer
     term.


     OF RESULTS OF OPERATIONS:

     Quarter ended September 30, 1998 and 1997

     Net sales for the quarter ended September 30, 1998 were $31.4
     million, up $10.4 million, or 50%, from $21.0 million for the
     corresponding period in 1997. Approximately 92% of the year-to-
     year increase in net sales resulted from acquisitions in the
     latter half of 1997 and in 1998.  Excluding those acquisitions,
     the Company's remaining operations reported increased net sales of
     4% overall. These results are for the Company's continuing heat
     treating operations, and do not reflect revenues from the
     Precision Products business segment, which has been reported as
     discontinued operations.

     Gross profit for the third quarter of 1998 was $9.7 million, up
     $4.3 million, or 80%, from $5.4 million for the third quarter of
     1997.  The Company's gross margin in the third quarter of 1998 was
     30.9% compared to 25.7% in the same period of 1997. The improved
     margin resulted as sales growth exceeded the increase in expenses
     due to the fixed nature of certain of the Company's operating
     costs, and also from the effect of certain acquisitions since the
     third quarter of 1997 which have provided above average margins.

     Selling and administrative expenses for the third quarter of 1998
     were $5.2 million, an increase of 73% in comparison to $3.0
     million in the third quarter of 1997.  The increase resulted in
     large part from expenses associated with acquired companies.

     Subsequent to the Company's acquisition of its partner's 50%
     interest in the Alumatherm partnership on October 1, 1997, the
     Company stopped recording equity in earnings of the partnership
     and, therefore, did not report any such earnings during the third
     quarter of 1998.  During the same period of 1997, the Company
     reported equity in earnings of $606,000 from the Alumatherm
     partnership.

     Interest expense in the third quarter of 1998 was $510,000,
     compared to $387,000 in the third quarter of 1997.  The increase
     resulted from the higher level of borrowing associated with the
     Company's acquisitions during the latter three months of 1997 and
     in 1998. Interest expense in the third quarter of 1998 fell 34%
     from $770,000 in the second quarter of 1998 due to the sale of
     common stock and subsequent paydown of debt in August 1998.

<PAGE> 11

                                    -11-

     Reflecting the above, net earnings from continuing operations in
     the third quarter of 1998 were $2.4 million, up $810,000, or 52%,
     from $1.5 million for the corresponding period of 1997.  Net
     earnings from continuing operations for the third quarter of 1998
     were $.41 per diluted share, up $.10, or 32%, from $.31 per
     diluted share in the third quarter of 1997. 

     As required by Accounting Principles Board Opinion No. 30, results
     of discontinued operations for the third quarter of 1998 were
     included in the reserve for loss on discontinued operations
     provided for previously.  Discontinued operations reported a net
     loss of $198,000 in the third quarter of 1997.

     Nine months ended September 30, 1998 and 1997

     Net sales for the nine months ended September 30, 1998 were $95.3
     million, up $32.9 million, or 53%, from $62.4 million for the
     corresponding period in 1997. Approximately 86% of the year-to-
     year increase in net sales resulted from acquisitions in the
     latter half of 1997 and in 1998.  Excluding those acquisitions,
     the Company's remaining operations reported increased net sales 
     of 7% overall.

     Gross profit for the first nine months of 1998 was $29.6 million,
     up $13.0 million, or 78%, from $16.6 million for the first nine
     months of 1997.  The Company's gross margin in the first nine
     months of 1998 was 31.1% compared to 26.7% in the same period of
     1997. The improved margin resulted as sales growth exceeded the
     increase in expenses due to the fixed nature of certain of the
     Company's operating costs, and also from the effect of recent
     acquisitions.

     Selling and administrative expenses for the first nine months of
     1998 were $15.0 million, compared to $9.1 million in the first
     nine months of 1997.  The increase resulted in large part from
     expenses associated with acquired companies.

     During the first nine months of 1998, the Company did not record
     equity in earnings from the Alumatherm partnership.  For the same
     nine-month period of 1997 the Company reported equity in earnings
     of $1.4 million from the partnership.

     Interest expense in the first nine months of 1998 was $2.1
     million, compared to $1.1 million in the corresponding period of
     1997.  The increase resulted from a higher level of borrowing
     associated with the Company's acquisitions during the latter six
     months of 1997 and in 1998, offset to a degree by the sale of
     common stock and related paydown of debt in the third quarter of
     1998.
         
     Reflecting the above, net earnings from continuing operations in
     the first nine months of 1998 were $7.5 million, up $2.8 million,
     or 60%, from $4.7 million for the corresponding period of 1997. 
     Net earnings from continuing operations for the first nine months
     of 1998 were $1.41 per diluted share, up $.45, or 47%, from $.96
     per diluted share in the first nine months of 1997.

<PAGE> 12

                                  -12-

     Discontinued operations reported a net loss of $421,000, or $.09
     per diluted share, in the first nine months of 1997.

     POSSIBLE EFFECTS OF YEAR 2000:

     The Company maintains computer systems at each operating facility
     and at its corporate office and, additionally, utilizes embedded
     technology such as microcontrollers.  Certain of these
     systems/technologies are provided by third party vendors, which
     are responsible for upgrades and maintenance.  Company staff
     personnel maintain others.

     The Company is in the process of cataloging all areas to determine
     exposure to the Year 2000 issue.  With respect to items supplied
     by third party vendors, the Company is monitoring progress related
     to stated solutions to the Year 2000 issue and is in the process
     of verifying compliance.  Systems that are identified as non-
     compliant will be upgraded or replaced.  The Company is in the
     process of acquiring new software, which will replace and enhance
     the functionality of current proprietary systems used at its
     operating plants for order entry, billing, plant routing, shipping
     and process management.  This new software will also be Year 2000
     compliant, and installation is expected to be completed during
     1999.  This project was not accelerated due to the Year 2000
     issue.

     Company personnel, working in some cases with third party
     suppliers, are attempting to confirm that all computer systems and
     embedded technology will be fully Year 2000 compliant in advance
     of December 31, 1999, including verification of compliance.  Based
     on present information, the Company believes that its internal
     systems and those supplied by third parties are or will be Year
     2000 compliant without material additional expense, and that past
     costs related to the Year 2000 issue have also not been material.
     However, there can be no assurance that the Company's operations
     will not be adversely affected by this issue, particularly as it
     relates to compliance by the Company's many customers and
     suppliers, of which the Company has not presently confirmed Year
     2000 readiness status.  The Company does not currently have a Year
     2000 contingency plan, nor has it been able to reasonably determine
     the potential worst case effects from the Year 2000 issue, but 
     expects to develop such a plan as soon as is practicable.

<PAGE> 13

                                  -13-

PART II. OTHER INFORMATION

ITEM 1.  Legal Proceedings

       The Company is a defendant in a qui tam (whistle-blower) lawsuit
       filed by a former employee of the Company under seal on or about
       July 25, 1996 in the U.S. District Court for the Central District
       of California, seeking to recover damages and civil penalties
       arising from allegedly false statements and claims made by the
       Company in violation of the federal False Claims Act (the "FCA")
       and for damages resulting from the plaintiff's allegedly wrongful
       discharge and retaliatory acts by the Company.  The complaint
       alleges that the Company defrauded the government by submitting
       invoices and other documentation falsely representing that
       certain metal parts had been treated at one Company facility by
       equipment that met certain industry and government standards. 
       Private parties may bring actions under the FCA on behalf of the
       government and share in any recovery, and may recover attorneys'
       fees.  The FCA provides for civil penalties of up to $10,000 for
       each false claim, plus trebling of damages sustained by the
       government.  A qui tam complaint must be filed under seal
       (without service on the defendant) and may remain under seal
       while the government conducts its own investigation and
       determines whether to join the action.  The government notified
       the Company of the complaint in late May 1998, stating that the
       court partially unsealed the complaint, which the government gave
       to the Company, to facilitate discussions between the parties.
       The government told the Company that it has not yet determined
       whether to join the action, and that it was also independently
       investigating the hardness testing certification of certain items
       treated at the same Company facility.  The Company has responded
       to a civil investigative demand from the government and is
       cooperating with the government in its investigation.  Although
       the activities that are the subject of the investigation and the
       lawsuit appear to be limited to one plant, the Company cannot
       predict whether the government will join the action nor whether
       the action or the government's investigation will have a material
       adverse effect on the Company.

ITEM 6.  Exhibits and Reports on Form 8-K

       (a) Exhibits required by Item 601 of Regulation S-K - Exhibits 
           required by Item 601 of Regulation S-K are listed in the 
           Exhibit Index which is attached hereto at page 15 and which
           is incorporated herein by reference.

       (b) Reports on Form 8-K - There were no reports on Form 8-K
           filed in the three months ended September 30, 1998.

<PAGE> 14

                                  -14-




                               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.




                                             LINDBERG CORPORATION






Principal Financial and Accounting         By __________________________
Officer:                                      Stephen S. Penley
                                              Senior Vice President
                                              and Chief Financial Officer




Dated: November 10, 1998

<PAGE> 15

                                  -15-

                          LINDBERG CORPORATION
                     Quarterly Report on Form 10-Q
              for the Quarter Ended September 30, 1998   

                             Exhibit Index
<TABLE>

Number and Description of Exhibit
---------------------------------
  <S>                                                        <C>
  11. Statement re computation of per share earnings         Attached  

  27. Financial Data Schedule                                Attached

</TABLE>