<PAGE>

                     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 March 31, 2002
OR
( ) TRANSITION REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES
    EXCHANGE ACT OF 1934

<TABLE>
<CAPTION>
     ---------------------------------------------------------------------------------------------------
     Commission         Exact Name of Registrant as            States of          I.R.S.
     File Number        Specified in its Charter and           Incorporation      Employer
                        Principal Office Address and                              Identification
                        Telephone Number                                          Number
     ---------------------------------------------------------------------------------------------------
<S>                     <C>                                    <C>                <C>
     1-16681            The Laclede Group, Inc.                Missouri           74-2976504
                        720 Olive Street
                        St. Louis, MO 63101
                        314-342-0500
     ---------------------------------------------------------------------------------------------------
     1-1822             Laclede Gas Company                    Missouri           43-0368139
                        720 Olive Street
                        St. Louis, MO 63101
                        314-342-0500
     ---------------------------------------------------------------------------------------------------
</TABLE>

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 report),

           The Laclede Group, Inc.:                    Yes  X            No
                                                           ---              ---

           Laclede Gas Company:                        Yes  X            No
                                                           ---              ---

and (2) has been subject to such filing requirements for the past 90 days:

           The Laclede Group, Inc.:                    Yes  X            No
                                                           ---              ---

           Laclede Gas Company:                        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:

<TABLE>
<CAPTION>
                                                                       Shares Outstanding At
Registrant                 Description of Common Stock                 April 24, 2002
----------                 ---------------------------                 --------------
<S>                        <C>                                         <C>
The Laclede Group, Inc.    Common Stock ($1.00 Par Value)              18,877,987

Laclede Gas Company        Common Stock ($1.00 Par Value)                     100 (100% owned by
                                                                                   Laclede Group)
</TABLE>

                                     1



<PAGE>
<PAGE>

TABLE OF CONTENTS                                                      Page No.
                                                                       --------

PART I. FINANCIAL INFORMATION

Item 1   Financial Statements

         The Laclede Group, Inc.:
                  Statements of Consolidated Income                    4
                  Consolidated Balance Sheets                          5-6
                  Statements of Consolidated Cash Flows                7

         Laclede Gas Company:
                  Statements of Consolidated Income                    8
                  Consolidated Balance Sheets                          9-10
                  Statements of Consolidated Cash Flows                11

         Notes to Consolidated Financial Statements
         (The Laclede Group and Laclede Gas Company - Combined)        12

Item 2   Management's Discussion and Analysis of Financial Condition
                  and Results of Operations                            17


PART II. OTHER INFORMATION

Item 1   Legal Proceedings                                             23

Item 4   Submission of Matter to a Vote of Security Holders            23

Item 6   Exhibits and Other Reports on Form 8-K                        23

SIGNATURES                                                             24

Filing Format
-------------
This Quarterly Report on Form 10-Q is a combined report being filed by two
separate registrants: The Laclede Group, Inc. (Laclede Group or the Company)
and Laclede Gas Company (Laclede Gas or the Utility).

Effective October 1, 2001, Laclede Gas and its subsidiaries became
subsidiaries of The Laclede Group. At that time stock certificates
previously representing shares of Laclede Gas common stock were deemed to
represent the same number of shares of The Laclede Group common stock. All
of the former subsidiaries of Laclede Gas (Laclede Investment LLC, Laclede
Energy Resources, Inc, Laclede Gas Family Services, Inc., Laclede
Development Company, Laclede Venture Corp. and Laclede Pipeline Company)
are now subsidiaries of Laclede Group.

                                     2



<PAGE>
<PAGE>

                                   PART I
                            FINANCIAL INFORMATION

This Quarterly Report on Form 10-Q includes separate consolidated financial
statements (i.e. balance sheets, statements of income and statements of cash
flows) for Laclede Group and Laclede Gas. The Laclede Group financial
statements (pages 4 through 7) present the consolidated financial position,
results of operations and cash flows of Laclede Group after the October 1,
2001 restructuring, as well as the consolidated financial position, results
of operations and cash flows of Laclede Gas prior to the restructuring
(i.e., the highest level of consolidation). The consolidated financial
position, results of operations and cash flows of Laclede Gas immediately
before the restructuring are essentially identical to the consolidated
financial position, results of operations and cash flows of Laclede Group
immediately after the restructuring (i.e. legal entity results).

The consolidated financial statements for Laclede Gas (pages 8 through 11)
present the consolidated financial position, results of operations and cash
flows of Laclede Gas throughout the reported periods, as well as the
consolidated financial position, results of operations and cash flows of
Laclede Gas' former subsidiaries prior to the October 1, 2001 restructuring.

A single set of Notes to the Consolidated Financial Statements begins on
page 12 that applies equally to Laclede Group and Laclede Gas, except where
otherwise noted.

This report includes a single Management's Discussion and Analysis of
Financial Condition and Results of Operations for Laclede Group as well as
Laclede Gas, due to the similarity of the operating results of the two
entities.

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, 2001.

                                     3





<PAGE>
<PAGE>

Item 1. Financial Statements

<TABLE>
                                        THE LACLEDE GROUP, INC.
                                   STATEMENTS OF CONSOLIDATED INCOME
                                             (UNAUDITED)

<CAPTION>
(In Thousands, Except Per Share Amounts)
                                                      Three Months Ended          Six Months Ended
                                                           March 31,                  March 31,
                                                       2002         2001         2002           2001
                                                       ----         ----         ----           ----

<S>                                                  <C>          <C>          <C>            <C>
Operating Revenues:
  Utility operating revenues                         $256,802     $417,392     $440,013       $739,948
  Non-utility operating revenues                       30,661       25,350       42,094         47,819
                                                    ---------------------------------------------------
      Total Operating Revenues                        287,463      442,742      482,107        787,767
                                                    ---------------------------------------------------

Operating Expenses:
  Utility operating expenses
    Natural and propane gas                           156,115      310,823      271,709        542,913
    Other operation expenses                           28,804       26,808       55,080         53,833
    Maintenance                                         4,318        5,026        8,632          9,546
    Depreciation and amortization                       6,053        6,559       12,635         13,043
    Taxes, other than income taxes                     18,437       27,981       31,336         45,277
                                                    ---------------------------------------------------
      Total utility operating expenses                213,727      377,197      379,392        664,612
  Non-utility operating expenses                       33,277       24,573       44,940         46,436
                                                    ---------------------------------------------------
      Total Operating Expenses                        247,004      401,770      424,332        711,048
                                                    ---------------------------------------------------
Operating Income                                       40,459       40,972       57,775         76,719
Other Income and Income Deductions - Net                 (175)         564          749          1,556
                                                    ---------------------------------------------------
Income Before Interest and Income Taxes                40,284       41,536       58,524         78,275
                                                    ---------------------------------------------------

Interest Charges:
  Interest on long-term debt                            5,205        4,377       10,410          8,754
  Other interest charges                                1,380        3,504        2,739          6,719
                                                    ---------------------------------------------------
      Total Interest Charges                            6,585        7,881       13,149         15,473
                                                    ---------------------------------------------------
Dividends on Preferred Stock - Laclede Gas                 15           22           36             44
                                                    ---------------------------------------------------
Income Before Income Taxes                             33,684       33,633       45,339         62,758
Income Taxes                                           12,946       12,948       16,882         23,578
                                                    ---------------------------------------------------
Net Income Applicable to Common Stock                $ 20,738     $ 20,685     $ 28,457       $ 39,180
                                                    ===================================================


Average Number of Common Shares Outstanding            18,878       18,878       18,878         18,878

Earnings Per Share of Common Stock                      $1.10        $1.10        $1.51          $2.08

Dividends Declared Per Share of Common Stock            $.335        $.335         $.67           $.67


See notes to consolidated financial statements.
</TABLE>

                                     4


<PAGE>
<PAGE>

<TABLE>
                                      THE LACLEDE GROUP, INC.
                                   CONSOLIDATED BALANCE SHEETS

<CAPTION>
                                                                            Mar. 31       Sept. 30
                                                                             2002           2001
                                                                            -------       --------
                                                                            (Thousands of Dollars)
                                                                          (UNAUDITED)
<S>                                                                        <C>            <C>
                        ASSETS
Utility Plant                                                              $  968,963     $949,775
  Less: Accumulated depreciation and amortization                             389,061      380,135
                                                                          -------------------------
      Net Utility Plant                                                       579,902      569,640
                                                                          -------------------------

Other Property and Investments                                                 69,260       32,893
                                                                          -------------------------

Current Assets:
  Cash and cash equivalents
                                                                               15,588        3,223
  Accounts receivable                                                         134,944       87,707
    Less: Allowances for doubtful accounts                                     (6,089)      (9,216)
  Materials, supplies, and merchandise at avg. cost                             5,828        5,393
  Natural gas stored underground for current use at LIFO cost                  20,209       76,661
  Propane gas for current use at FIFO cost                                     14,724       14,213
  Prepayments                                                                   4,699        3,999
  Delayed customer billings                                                    12,802            -
  Deferred income taxes                                                         6,738        8,556
                                                                          -------------------------
      Total Current Assets                                                    209,443      190,536
                                                                          -------------------------

Deferred Charges:
  Prepaid pension cost                                                        115,247      110,475
  Regulatory assets                                                            70,660       68,599
  Other                                                                         4,645        3,767
                                                                          -------------------------
      Total deferred charges                                                  190,552      182,841
                                                                          -------------------------
Total Assets                                                               $1,049,157     $975,910
                                                                          =========================


See notes to consolidated financial statements.
</TABLE>

                                     5




<PAGE>
<PAGE>

<TABLE>
                                        THE LACLEDE GROUP, INC.
                                CONSOLIDATED BALANCE SHEETS (Continued)

<CAPTION>
                                                                             Mar. 31         Sept. 30
                                                                              2002             2001
                                                                             -------         --------
                                                                              (Thousands of Dollars)
                                                                           (UNAUDITED)
<S>                                                                        <C>               <C>
                 CAPITALIZATION AND LIABILITIES
Capitalization:
  Common stock (Mar. 31, 2002, 18,877,987 and
    Sept. 30, 2001, 20,743,625 shares issued)                              $   18,878        $ 20,744
  Paid-in capital                                                              63,701          85,846
  Retained earnings                                                           221,321         205,512
  Treasury stock, at cost (1,865,638 shares held Sept. 30, 2001)                    -         (24,017)
                                                                          ----------------------------
      Total common stock equity                                               303,900         288,085
  Redeemable preferred stock - Laclede Gas                                      1,266           1,588
  Long-term debt (less sinking fund requirements) - Laclede Gas               284,502         284,459
                                                                          ----------------------------
      Total Capitalization                                                    589,668         574,132
                                                                          ----------------------------

Current Liabilities:
  Notes payable                                                               118,400         117,050
  Accounts payable                                                             39,802          32,087
  Advance customer billings                                                         -          11,679
  Current portion of preferred stock                                                -              79
  Taxes accrued                                                                29,044          14,912
  Unamortized purchased gas adjustment                                          2,721           9,026
  Other                                                                        45,260          32,863
                                                                          ----------------------------
      Total Current Liabilities                                               235,227         217,696
                                                                          ----------------------------

Deferred Credits and Other Liabilities:
  Deferred income taxes                                                       131,458         142,515
  Unamortized investment tax credits                                            5,789           5,948
  Pension and postretirement benefit costs                                     21,009          15,847
  Regulatory liabilities                                                       46,274             304
  Other                                                                        19,732          19,468
                                                                          ----------------------------
      Total Deferred Credits and Other Liabilities                            224,262         184,082
                                                                          ----------------------------
Total Capitalization and Liabilities                                       $1,049,157        $975,910
                                                                          ============================


See notes to consolidated financial statements.
</TABLE>

                                     6



<PAGE>
<PAGE>

<TABLE>
                                       THE LACLEDE GROUP, INC.
                                STATEMENTS OF CONSOLIDATED CASH FLOWS
                                            (UNAUDITED)

<CAPTION>

                                                                                  Six Months Ended
                                                                                      March 31,
                                                                                 2002          2001
                                                                                 ----          ----
                                                                                (Thousands of Dollars)
<S>                                                                            <C>           <C>
Operating Activities:
  Net Income                                                                   $ 28,457      $  39,180
  Adjustments to reconcile net income
   to net cash provided by (used in) operating activities:
    Depreciation and amortization                                                13,153         13,148
    Deferred income taxes and investment
      tax credits                                                               (14,341)        (5,825)
    Dividends on preferred stock - Laclede Gas                                       36             44
    Other - net                                                                     393            (50)
    Changes in assets and liabilities:
      Accounts receivable - net                                                 (35,681)      (127,271)
      Unamortized purchased gas adjustments                                      (6,305)        10,684
      Deferred purchased gas costs                                               48,197         17,115
      Delayed customer billings - net                                           (24,481)       (78,080)
      Accounts payable                                                            4,832         10,546
      Taxes accrued                                                              15,040         17,226
      Natural gas stored underground                                             56,452         75,757
      Other assets and liabilities                                                  318         (1,106)
                                                                              -------------------------
          Net cash provided by (used in) operating activities                  $ 86,070      $ (28,632)
                                                                              -------------------------


Investing Activities:
  Construction expenditures                                                     (22,727)       (21,214)
  Investments - non-utility                                                     (39,092)          (286)
  Employee benefit trusts                                                           125           (925)
  Other                                                                            (281)        (1,151)
                                                                              -------------------------
          Net cash used in investing activities                                $(61,975)     $ (23,576)
                                                                              -------------------------

Financing Activities:
  Issuance (Repayment) of short-term debt - net                                   1,350         68,700
  Dividends paid                                                                (12,685)       (12,692)
  Preferred stock reacquired and other                                             (395)           (27)
                                                                              -------------------------
          Net cash provided by (used in) financing activities                  $(11,730)     $  55,981
                                                                              -------------------------

Net Increase in Cash and Cash Equivalents                                      $ 12,365      $   3,773
Cash and Cash Equivalents at Beg. of Period                                       3,223          4,215
                                                                              -------------------------
Cash and Cash Equivalents at End of Period                                     $ 15,588      $   7,988
                                                                              =========================

Supplemental Disclosure of Cash Paid
 During the Period for:
    Interest                                                                   $ 10,863      $  14,984
    Income taxes                                                                 12,634         11,320


See notes to consolidated financial statements.
</TABLE>

                                     7


<PAGE>
<PAGE>

<TABLE>
                                          LACLEDE GAS COMPANY
                                   STATEMENTS OF CONSOLIDATED INCOME
                                              (UNAUDITED)

<CAPTION>
(In Thousands, Except Per Share Amounts)
                                                       Three Months Ended         Six Months Ended
                                                            March 31,                 March 31,
                                                       2002         2001         2002           2001
                                                       ----         ----         ----           ----
<S>                                                  <C>          <C>          <C>            <C>
Operating Revenues:
  Utility operating revenues                         $256,802     $417,392     $440,013       $739,948
  Other operating revenues                                596       25,350        1,203         47,819
                                                    ---------------------------------------------------
      Total Operating Revenues                        257,398      442,742      441,216        787,767
                                                    ---------------------------------------------------

Operating Expenses:
  Utility operating expenses
    Natural and propane gas                           156,115      310,823      271,709        542,913
    Other operation expenses                           28,804       26,808       55,080         53,833
    Maintenance                                         4,318        5,026        8,632          9,546
    Depreciation and amortization                       6,053        6,559       12,635         13,043
    Taxes, other than income taxes                     18,437       27,981       31,336         45,277
                                                    ---------------------------------------------------
      Total utility operating expenses                213,727      377,197      379,392        664,612
  Other operating expenses                                605       24,573        1,179         46,436
                                                    ---------------------------------------------------
      Total Operating Expenses                        214,332      401,770      380,571        711,048
                                                    ---------------------------------------------------
Operating Income                                       43,066       40,972       60,645         76,719
Other Income and Income Deductions - Net                 (208)         564          716          1,556
                                                    ---------------------------------------------------
Income Before Interest and Income Taxes                42,858       41,536       61,361         78,275
                                                    ---------------------------------------------------

Interest Charges:
  Interest on long-term debt                            5,205        4,377       10,410          8,754
  Other interest charges                                1,203        3,504        2,610          6,719
                                                    ---------------------------------------------------
      Total Interest Charges                            6,408        7,881       13,020         15,473
                                                    ---------------------------------------------------
Income Before Income Taxes                             36,450       33,655       48,341         62,802
Income Taxes                                           13,869       12,948       17,880         23,578
                                                    ---------------------------------------------------
Net Income                                             22,581       20,707       30,461         39,224
Dividends on Preferred Stock - Laclede Gas                 15           22           36             44
                                                    ---------------------------------------------------
Earnings Applicable to Common Stock                  $ 22,566     $ 20,685     $ 30,425       $ 39,180
                                                    ===================================================


See notes to consolidated financial statements.
</TABLE>


                                     8


<PAGE>
<PAGE>

<TABLE>
                                       LACLEDE GAS COMPANY
                                   CONSOLIDATED BALANCE SHEETS

<CAPTION>
                                                                              Mar. 31     Sept. 30
                                                                               2002         2001
                                                                              -------     --------
                                                                             (Thousands of Dollars)
                                                                            (UNAUDITED)
<S>                                                                          <C>          <C>
                        ASSETS
Utility Plant                                                                $968,963     $949,775
  Less: Accumulated depreciation and amortization                             389,061      380,135
                                                                            -----------------------
      Net Utility Plant                                                       579,902      569,640
                                                                            -----------------------

Other Property and Investments                                                 25,672       32,893
                                                                            -----------------------

Current Assets:
  Cash and cash equivalents                                                     3,620        3,223
  Accounts receivable                                                         117,048       87,707
    Less: Allowances for doubtful accounts                                     (5,820)      (9,216)
  Materials, supplies, and merchandise at avg. cost                             5,791        5,393
  Natural gas stored underground for current use at LIFO cost                  20,194       76,661
  Propane gas for current use at FIFO cost                                     14,724       14,213
  Prepayments and other                                                         4,063        3,999
  Delayed customer billings                                                    12,802            -
  Deferred income taxes                                                         6,738        8,556
                                                                            -----------------------
      Total Current Assets                                                    179,160      190,536
                                                                            -----------------------

Deferred Charges:
  Prepaid pension cost                                                        115,247      110,475
  Regulatory assets                                                            70,660       68,599
  Other                                                                         4,601        3,767
                                                                            -----------------------
      Total deferred charges                                                  190,508      182,841
                                                                            -----------------------
Total Assets                                                                 $975,242     $975,910
                                                                            =======================


See notes to consolidated financial statements.
</TABLE>

                                     9


<PAGE>
<PAGE>

<TABLE>
                                        LACLEDE GAS COMPANY
                               CONSOLIDATED BALANCE SHEETS (Continued)

<CAPTION>
                                                                              Mar. 31        Sept. 30
                                                                               2002            2001
                                                                              -------        --------
                                                                              (Thousands of Dollars)
                                                                            (UNAUDITED)
<S>                                                                          <C>            <C>
                 CAPITALIZATION AND LIABILITIES
Capitalization:
  Common stock and Paid-in capital (Mar. 31, 2002, 100 and
    Sept. 30, 2001, 20,743,625 shares issued)                                $ 82,579        $106,590
  Retained earnings                                                           203,546         205,512
  Treasury stock, at cost (1,865,638 shares held Sept. 30, 2001)                    -         (24,017)
                                                                            --------------------------
      Total common stock equity                                               286,125         288,085
  Redeemable preferred stock - Laclede Gas                                      1,266           1,588
  Long-term debt (less sinking fund requirements) - Laclede Gas               284,502         284,459
                                                                            --------------------------
      Total Capitalization                                                    571,893         574,132
                                                                            --------------------------

Current Liabilities:
  Notes payable                                                                75,600         117,050
  Accounts payable                                                             32,435          32,087
  Advance customer billings                                                         -          11,679
  Current portion of preferred stock                                                -              79
  Taxes accrued                                                                31,323          14,912
  Unamortized purchased gas adjustment                                          2,721           9,026
  Other                                                                        38,686          32,863
                                                                            --------------------------
      Total Current Liabilities                                               180,765         217,696
                                                                            --------------------------

Deferred Credits and Other Liabilities:
  Deferred income taxes                                                       130,278         142,515
  Unamortized investment tax credits                                            5,789           5,948
  Pension and postretirement benefit costs                                     21,009          15,847
  Regulatory liabilities                                                       46,274             304
  Other                                                                        19,234          19,468
                                                                            --------------------------
      Total Deferred Credits and Other Liabilities                            222,584         184,082
                                                                            --------------------------
Total Capitalization and Liabilities                                         $975,242        $975,910
                                                                            ==========================


See notes to consolidated financial statements.
</TABLE>

                                     10


<PAGE>
<PAGE>


<TABLE>
                                          LACLEDE GAS COMPANY
                                 STATEMENTS OF CONSOLIDATED CASH FLOWS
                                              (UNAUDITED)

<CAPTION>
                                                                                  Six Months Ended
                                                                                      March 31,
                                                                                  2002          2001
                                                                                  ----          ----
                                                                                (Thousands of Dollars)
<S>                                                                            <C>           <C>
Operating Activities:
 Net Income                                                                    $ 30,461      $  39,224
 Adjustments to reconcile net income
  to net cash provided by (used in) operating activities:
    Depreciation and amortization                                                12,635         13,148
    Deferred income taxes and investment
      tax credits                                                               (14,359)        (5,825)
    Other - net                                                                     393            (50)
    Changes in assets and liabilities:
      Accounts receivable - net                                                 (34,497)      (127,271)
      Unamortized purchased gas adjustments                                      (6,305)        10,684
      Deferred purchased gas costs                                               48,197         17,115
      Delayed customer billings - net                                           (24,481)       (78,080)
      Accounts payable                                                             (358)        10,546
      Taxes accrued                                                              15,761         17,226
      Natural gas stored underground                                             56,436         75,757
      Other assets and liabilities                                               (5,802)        (1,106)
                                                                              -------------------------
          Net cash provided by (used in) operating activities                  $ 78,081      $ (28,632)
                                                                              -------------------------

Investing Activities:
  Construction expenditures                                                     (22,273)       (21,214)
  Investments - non-utility                                                        (286)          (286)
  Employee benefit trusts                                                           125           (925)
  Other                                                                            (720)        (1,151)
                                                                              -------------------------
          Net cash used in investing activities                                $(23,154)     $ (23,576)
                                                                              -------------------------

Financing Activities:
  Issuance of short-term debt - net                                             (41,450)        68,700
  Dividends paid                                                                (12,685)       (12,692)
  Preferred stock reacquired and other                                             (395)           (27)
                                                                              -------------------------
          Net cash provided by (used in) financing activities                  $(54,530)     $  55,981
                                                                              -------------------------

Net Increase in Cash and Cash Equivalents                                      $    397      $   3,773
Cash and Cash Equivalents at Beg. of Period                                       3,223          4,215
                                                                              -------------------------
Cash and Cash Equivalents at End of Period                                     $  3,620      $   7,988
                                                                              =========================

Supplemental Disclosure of Cash Paid
 During the Period for:

    Interest                                                                   $ 10,863      $  14,984
    Income taxes                                                                 12,284         11,320

See notes to consolidated financial statements.
</TABLE>

                                     11


<PAGE>
<PAGE>


               THE LACLEDE GROUP, INC. AND LACLEDE GAS COMPANY
                 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


1.)      Effective October 1, 2001, Laclede Gas Company (Laclede Gas or the
         Utility) and its subsidiaries became subsidiaries of The Laclede
         Group, Inc. (Laclede Group or the Company), an exempt holding
         company under the Public Utility Holding Company Act of 1935. See
         the Company's Annual Report on Form 10-K for the year ended
         September 30, 2001 for additional details on this restructuring.

         This Quarterly Report on Form 10-Q is a combined report of Laclede
         Group and Laclede Gas. Consolidated Financial Statements included
         in this report are presented as follows:

                  Laclede Group - Presents the consolidated financial
                  position, results of operations and cash flows of Laclede
                  Group after the October 1, 2001 restructuring, as well as
                  the consolidated financial position, results of operations
                  and cash flows of Laclede Gas prior to restructuring. The
                  consolidated financial position, results of operations and
                  cash flows of Laclede Gas Company immediately before the
                  restructuring are essentially identical to the
                  consolidated financial position, results of operations and
                  cash flows of Laclede Group immediately after the
                  restructuring.

                  Laclede Gas - Presents the consolidated financial
                  position, results of operations and cash flows of Laclede
                  Gas throughout the reported periods, as well as the
                  consolidated financial position, results of operations and
                  cash flows of Laclede Gas' former subsidiaries prior to
                  the October 1, 2001 restructuring. In conjunction with the
                  October 1, 2001 restructuring, Laclede Gas dividended its
                  equity in its subsidiaries of $19.7 million to Laclede
                  Group. Also as of that same date, Laclede Gas cancelled
                  its treasury stock of $24.0 million.

         These notes are an integral part of the accompanying consolidated
         financial statements of Laclede Group and its subsidiaries,
         including Laclede Gas. Except where otherwise noted, these Notes to
         Consolidated Financial Statements apply equally to Laclede Group
         and Laclede Gas. In the opinion of Laclede Group and Laclede Gas,
         this interim report includes all adjustments (consisting of normal
         recurring accruals) necessary for the fair presentation of the
         results of operations for the periods presented. Certain
         prior-period amounts have been reclassified to conform to
         current-period presentation. This Form 10-Q should be read in
         conjunction with the Notes to Financial Statements contained in the
         Company's Fiscal 2001 Form 10-K.

2.)      On January 28, 2002, Laclede Group completed its acquisition from
         NiSource, Inc. of 100% of the stock of SM&P Utility Resources, Inc.
         (SM&P), one of the nation's largest underground locating and
         marking service businesses. SM&P, a Carmel, Indiana-based company,
         performs over 10 million locates a year and currently generates
         approximately $130 million in revenues annually from the $1.3
         billion facility-locating industry. Its 2,000 employees operate
         across 10 centrally located states - Illinois, Indiana, Kansas,
         Michigan, Minnesota, Missouri, Ohio, Oklahoma, Texas and Wisconsin.
         Locators mark the placement of underground facilities for major
         providers of telephone, natural gas, electric, water, cable TV and
         fiber optic services so that construction work can be performed
         without damaging buried facilities. As a result of the acquisition,
         SM&P's earnings flow will not only diversify Laclede Group's
         earnings but also will be counter-seasonal to those of Laclede Gas.
         This acquisition was financed initially with conventional bank debt
         totaling $42.8 million. SM&P is a subsidiary of Laclede Group and
         will remain headquartered in Indiana.

         The following table summarizes the estimated fair values of the
         assets acquired and liabilities assumed at the date of acquisition.
         The allocation of the purchase price included in the consolidated
         statement of financial position is preliminary and may be revised
         up to one year from the date of acquisition due to refinements in
         the estimated fair value of the assets acquired and liabilities
         assumed. The goodwill recognized in this transaction is expected to
         be fully deductible for tax purposes.

                                     12


<PAGE>
<PAGE>

<TABLE>
<CAPTION>
                                                            At January 28, 2002
                                                            -------------------
                                                          (Thousands of Dollars)
<S>                                                              <C>
         Current assets                                          $21,034
         Property, plant, and equipment                            7,157
         Goodwill                                                 27,997
                                                                 -------
                  Total assets acquired                          $56,188
                                                                 -------

         Current liabilities                                     $13,067
                                                                 -------
                  Total liabilities assumed                      $13,067
                                                                 -------

                  Net assets acquired                            $43,121
                                                                 =======
</TABLE>

         The results of SM&P's operations since January 28, 2002 have been
         included in the consolidated financial statements. Goodwill has
         been included in Other Property and Investments on the consolidated
         balance sheets. SM&P's earnings are impacted by trends in the
         construction industry.

3.)      In June 2001, the Financial Accounting Standards Board (FASB) issued
         Statement of Financial Accounting Standards (SFAS) No. 141, "Business
         Combinations," which requires all business combinations in the scope
         of the Statement to be accounted for using the purchase method.
         The provisions of this Statement apply to all business combinations
         initiated after June 30, 2001. The Company has adopted the provisions
         of SFAS No. 141 with the acquisition of SM&P. As required by SFAS
         No. 141, the goodwill for SM&P is being accounted for consistent
         with the provisions of SFAS No. 142, "Goodwill and Other Intangible
         Assets."

4.)      The consolidated financial position, results of operations and cash
         flows of Laclede Group are comprised primarily from the consolidated
         financial position, results of operations and cash flows of Laclede
         Gas. Laclede Gas is a natural gas distribution utility having a
         material seasonal cycle. As a result, these interim statements of
         income for Laclede Group and Laclede Gas are not necessarily
         indicative of annual results or representative of succeeding quarters
         of the fiscal year. Due to the seasonal nature of the business of
         Laclede Gas, earnings are typically concentrated in the first six
         months of the fiscal year, which generally corresponds with the
         heating season. The Utility typically experiences losses over the
         last half of its fiscal year. This seasonal effect on Laclede Group
         is expected to be tempered somewhat by the addition of SM&P, whose
         operations tend to be counter-seasonal to those of Laclede Gas.

5.)      Settlement of Laclede Gas' 2001 rate case resulted in implementation
         of a general rate increase effective December 1, 2001, as approved
         by the Missouri Public Service Commission (MoPSC or the Commission).
         The settlement provided for an annual increase of about $12 million
         as well as an additional $3 million annually to cover the cost of
         initiating service to customers. The MoPSC also authorized the cost
         of removing retired utility plant to be recovered as an expense
         when incurred rather than being included in depreciation rates.
         Prior to December 1, 2001, the Utility's removal costs, less salvage,
         were charged to accumulated depreciation. Pursuant to the settlement,
         Laclede Gas instituted lower depreciation rates effective
         December 1, 2001 and began expensing all removal costs, net of
         salvage, as incurred. These costs are included in the Other Operation
         Expenses line on the income statement. The settlement also provided
         for the continued deferral of certain costs related to the Laclede
         Gas pipe replacement program as well as authorizing the recovery of
         costs previously deferred under that program. Previously deferred
         costs of $2,756,000 are being recovered and amortized on a straight-
         line basis over a ten-year period, without return on investment,
         effective with implementation of the new rates, in addition to
         certain amounts authorized previously.

6.)      Prior to the restructuring on October 1, 2001, Laclede Gas'
         consolidated financial statements included subsidiary tax
         obligations. Subsequent to the restructuring on October 1, 2001,
         Laclede Group's consolidated financial statements include the tax
         obligations of Laclede Gas and its other subsidiaries. Net
         provisions for income taxes were charged (credited) as follows
         during the periods set forth below:

                                     13


<PAGE>
<PAGE>

<TABLE>
<CAPTION>
                                       Laclede Group                                    Laclede Gas
                       -------------------------------------------       -------------------------------------------
                        Three Months Ended       Six Months Ended        Three Months Ended      Six Months Ended
                             March 31,               March 31,                March 31,              March 31,
                       -------------------       -----------------       ------------------      -------------------
                          2002        2001       2002         2001        2002        2001       2002         2001
                          ----        ----       ----         ----        ----        ----       ----         ----
                                   (Thousands of Dollars)                          (Thousands of Dollars)
<S>                     <C>         <C>        <C>          <C>         <C>         <C>        <C>          <C>
Federal
  Current               $ 3,623     $ 5,398    $ 26,611     $25,234     $ 4,571     $ 5,398    $ 27,632     $25,234
  Deferred                7,311       5,710     (12,347)     (5,067)      7,303       5,710     (12,363)     (5,067)
State and Local
  Current                   736         826       4,611       4,169         721         826       4,607       4,169
  Deferred                1,276       1,014      (1,993)       (758)      1,274       1,014      (1,996)       (758)
                       ---------------------------------------------   ---------------------------------------------
      Total             $12,946     $12,948    $ 16,882     $23,578     $13,869     $12,948    $ 17,880     $23,578
                       =============================================   =============================================
</TABLE>

7.)      Under the Gas Supply Incentive Plan (GSIP) of Laclede Gas, the Utility
         shared with its customers certain gains and losses related to the
         acquisition and management of its gas supply assets. The provisions of
         the GSIP extended through September 30, 2001. In September 2001,
         the MoPSC ruled that the GSIP should be allowed to expire. The
         Utility requested clarification and rehearing. On February 19, 2002,
         the MoPSC denied the Utility's application for rehearing. Laclede
         Gas has filed a petition for judicial review of the MoPSC's decision
         with the Cole County Circuit Court, together with a motion requesting
         that the MoPSC's decision be stayed.  That review is still pending.
         However, pursuant to the rate case settlement, the MoPSC authorized
         Laclede Gas to retain all income from releases of pipeline capacity
         effective December 1, 2001. Income from releases of pipeline capacity
         was previously shared with customers under the terms of the GSIP.
         Laclede Gas will continue to retain all income resulting from sales
         outside of its traditional service area, as previously authorized
         by the Commission. Income related to releases of pipeline capacity
         and sales made outside its traditional service area are volatile
         in nature and subject to market conditions.

<TABLE>
<CAPTION>
                                                       Three Months Ended               Six Months Ended
                                                             March 31,                      March 31,
                                                     -----------------------         -----------------------
                                                       2002           2001             2002           2001
                                                       ----           ----             ----           ----

                                                                      (Thousands of Dollars)
<S>                                                   <C>            <C>              <C>            <C>
Pre-Tax Income - GSIP/Capacity Release                $  411         $1,505           $  580         $3,812
Pre-Tax Income - Off System Sales                      1,954             65            3,103            775
                                                     -----------------------         -----------------------
Total Pre-Tax Income                                  $2,365         $1,570           $3,683         $4,587
                                                     =======================         =======================
</TABLE>


8.)      Laclede Gas and other subsidiaries of Laclede Group may engage in
         related party transactions during the ordinary course of business.
         All significant intercompany balances have been eliminated from the
         consolidated financial statements of Laclede Group. In addition,
         all such significant transactions between Laclede Gas and its
         affiliates that occurred prior to the October 1, 2001 restructuring
         have similarly been eliminated from the consolidated financial
         statements of Laclede Gas.

         In compliance with generally accepted accounting principles,
         transactions between Laclede Gas and its affiliates that occurred
         after the October 1, 2001 restructuring, as well as intercompany
         balances remaining on Laclede Gas' balance sheet on March 31, 2002,
         have not been eliminated from the Laclede Gas consolidated
         financial statements. These amounts are not disclosed on the face
         of the Laclede Gas consolidated financial statements, since they
         are not material.

         Laclede Gas provides administrative and general support to
         affiliates and has filed consolidated tax returns, which include
         affiliated company tax obligations. All such costs are billed to
         the appropriate affiliates and are reflected in accounts receivable
         on Laclede Gas' Consolidated Balance Sheet. Laclede Gas may also,
         on occasion, borrow funds from, or lend funds to, affiliated
         companies. At March 31, 2002, the Laclede Gas

                                     14


<PAGE>

         Consolidated Balance Sheet reflected a total of $2.7 million of
         intercompany receivables and $5.8 million intercompany payables.


9.)      The regulated utility segment consists of the regulated operations
         of Laclede Gas and is the core business segment of Laclede Group.
         Laclede Gas is a public utility engaged in the retail distribution
         of natural gas serving an area in eastern Missouri, with a population
         of approximately 2.0 million, including the City of St. Louis,
         St. Louis County, and parts of eight other counties. Non-regulated
         operations include the transportation of liquid propane, gas
         marketing, the sale of insurance related products, real estate
         development, the compression of natural gas, and financial investments
         in other enterprises. These operations are conducted through six
         wholly-owned subsidiaries. All of these subsidiaries became
         subsidiaries of Laclede Group as a result of the restructuring on
         October 1, 2001. On January 28, 2002, Laclede Group acquired 100%
         of the stock of SM&P, an underground locating and marking business
         operating in 10 Midwestern states. The results of SM&P's operations
         since January 28, 2002 are included in the consolidated financial
         statements.

<TABLE>
<CAPTION>
                                Regulated
                                   Gas         Utility        All Other
(Thousands of Dollars)           Utility      Services*    (Non-Regulated)   Eliminations   Consolidated
--------------------------------------------------------------------------------------------------------

<S>                            <C>             <C>             <C>            <C>            <C>
Three Months Ended
March 31, 2002
Operating revenues             $  256,802      $15,274         $15,387        $      -       $  287,463
Net income (loss)                  22,550       (2,033)            221               -           20,738
Total assets                      973,795       53,537          32,985         (11,160)       1,049,157

Six Months Ended
March 31, 2002
Operating revenues             $  440,013      $15,274         $26,820        $      -       $  482,107
Net income (loss)                  30,410       (2,033)             80               -           28,457
Total assets                      973,795       53,537          32,985         (11,160)       1,049,157

Three Months Ended
March 31, 2001
Operating revenues             $  417,392      $     -         $25,350        $      -       $  442,742
Net income (loss)                  20,339            -             346               -           20,685
Total assets                    1,051,606            -          31,822         (19,279)       1,064,149

Six Months Ended
March 31, 2001
Operating revenues             $  739,948      $     -         $47,819        $      -       $  787,767
Net income (loss)                  38,424            -             756               -           39,180
Total assets                    1,051,606            -          31,822         (19,279)       1,064,149

<FN>
*Includes the results of SM&P's operations since January 28, 2002.
</TABLE>

10.)     As previously reported, Laclede Gas is subject to various
         environmental laws and regulations that, to date, have not
         materially affected its financial position and results of
         operations. Laclede Gas is presently involved in the clean up or
         formal assessment of two former manufactured gas plant sites, the
         Shrewsbury site and the Carondelet City of St. Louis site.

         With regard to the Shrewsbury site, Laclede Gas and state and
         federal environmental regulators have agreed upon certain actions
         and those actions are nearing completion. Laclede Gas currently
         estimates the overall costs of these actions will be approximately
         $2,284,000. As of March 31, 2002, Laclede Gas has paid $1,898,000
         and reserved $386,000 for these actions. If regulators require
         additional actions, Laclede Gas will incur additional costs.

                                     15


<PAGE>
<PAGE>

         The Carondelet City of St. Louis site was placed into the Missouri
         Voluntary Cleanup Program (VCP). The VCP provides opportunities to
         minimize the scope and cost of site cleanup while maximizing
         possibilities for site development. The City of St. Louis is
         presently seeking developers and end-users for this site. If the
         City is unsuccessful, Laclede will submit a Remedial Action Plan
         (RAP) and work with the City to find a developer to implement the
         RAP and develop the site. Laclede Gas currently estimates that the
         cost of the site investigations, agency oversight and related legal
         and engineering consulting may be approximately $590,000.
         Currently, Laclede Gas has paid $509,000 and reserved an additional
         $81,000. Laclede has requested that other former site owners and
         operators participate in the cost of any site investigation. One
         former owner and operator agreed to participate in these costs and
         has reimbursed Laclede Gas to date for $159,000. Laclede Gas
         anticipates additional reimbursement from this party of
         approximately $69,000. Laclede Gas plans to seek proportionate
         reimbursement of all costs relative to this site from other
         potentially responsible parties if practicable.

         Costs incurred are charged to expense or capitalized in accordance
         with generally accepted accounting principles. A predetermined
         level of expense is included in Laclede Gas' rates.

         Laclede Gas has been advised that a third former manufactured gas
         plant site previously operated, but no longer owned by Laclede Gas,
         is believed to contain gas plant waste that may require
         remediation. Laclede Gas is working to determine the nature and
         extent of such waste, if any, and Laclede Gas' responsibility, if
         any, for any remediation costs.

         While the scope of costs relative to the Shrewsbury site will not
         be significant, the scope of costs relative to the other sites are
         unknown and may be material. Laclede Gas has notified its insurers
         that it intends to seek reimbursement of its costs at the sites.
         The majority of insurers have reserved their rights. While some of
         the insurers have denied coverage, Laclede Gas continues to seek
         reimbursement from them. With regard to the Shrewsbury site,
         denials of coverage will not have any significant impact on the
         financial position and results of operations of Laclede Gas. With
         regard to the other sites, since the scope of costs relative to
         these sites are unknown and may be material, denials of coverage
         may have a material impact on the financial position and results of
         operations of Laclede Gas. Such costs, if incurred, have typically
         been subject to recovery in rates.

11.)     The legal proceedings item for the Form 10-K for the year ended
         September 30, 2001 included disclosure of a class action lawsuit
         filed in August 2001 against Laclede Gas. Laclede Gas filed a
         motion to dismiss the lawsuit that was granted by the Court on
         February 22, 2002. The plaintiff did not file an amended petition
         within the time granted by the Court but filed an appeal on April
         3, 2002. The Utility will continue to contest this action.

12.)     On March 15, 2002, the Staff of the MoPSC filed its recommendation
         in the proceeding established to review Laclede Gas' gas costs for
         fiscal 2000. In its recommendation, the Staff has proposed to
         disallow the recovery of approximately $2.6 million in gas costs
         on the alleged grounds that Laclede Gas has slightly more
         transportation capacity than it needs to serve its customers.
         Laclede Gas believes that staff's recommendation is without merit
         and unsupported by the facts and intends to vigorously oppose the
         adjustment in proceedings before the MoPSC.

                                     16


<PAGE>
<PAGE>

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

Certain matters discussed in this report, excluding historical information,
include forward-looking statements. Certain words, such as "anticipate,"
"believe," estimate," "expect," "intend," "plan," "seek," and similar words
and expressions identify forward-looking statements that involve
uncertainties and risks. Future developments may not be in accordance with
our expectations or beliefs and the effect of future developments may not be
those anticipated. Among the factors that may cause results to differ
materially from those contemplated in any forward-looking statement are:

         o  weather conditions and catastrophic events;
         o  economic, competitive, political and regulatory conditions;
         o  legislative, regulatory and judicial mandates and decisions, some
            of which may be retroactive, including those affecting
            o  allowed rates of return
            o  incentive regulation
            o  industry and rate structures
            o  purchased gas adjustment provisions
            o  franchise renewals
            o  environmental or safety matters
            o  taxes
            o  accounting standards;
         o  the results of litigation;
         o  retention, ability to attract, ability to collect from and
            conservation efforts of customers;
         o  capital and energy commodity market conditions including the
            ability to obtain funds for necessary capital expenditures and
            the terms and conditions imposed for obtaining sufficient gas
            supply; and
         o  employee workforce issues.

Readers are urged to consider the risks, uncertainties and other factors
that could affect our business as described in this report. All
forward-looking statements made in this report rely upon the safe harbor
protections provided under the Private Securities Litigation Reform Act of
1995. We do not, by including this statement, assume any obligation to
review or revise any particular forward-looking statement in light of
future events.

The Management's Discussion and Analysis of Financial Condition and Results
of Operations should be read in conjunction with the Company's Consolidated
Financial Statements and the combined notes thereto.

                                     17


<PAGE>
<PAGE>


THE LACLEDE GROUP, INC.


RESULTS OF OPERATIONS

Quarter Ended March 31, 2002

Laclede Group's earnings for the quarter ended March 31, 2002 were primarily
derived from the regulated activities of its largest subsidiary, Laclede Gas
Company, Missouri's largest natural gas distribution company. Those utility
earnings are generated by the sale of heating energy, which is heavily
influenced by the weather. Temperatures in Laclede Gas' service area during
the quarter ended March 31, 2002 were 15% warmer than the same quarter last
year.

Laclede Group's earnings were $1.10 per share for the quarter ended March
31, 2002, the same as the earnings per share reported for the quarter ended
March 31, 2001. The earnings of Laclede Gas improved over the same quarter
last year primarily due to: the impact of a $15 million annual general rate
increase (implemented December 1, 2001), nearly $4.9 million of income
produced by the Utility's Price Stabilization Program (PSP) and higher
income from off system sales. Laclede Gas had previously offered to include
the aforementioned PSP revenues in a continuation of the program, but the
program was allowed to expire on March 31, 2002. These factors were
partially offset by the impact of lower gas sales resulting from the warmer
weather, and the adverse effect of the Missouri Public Service Commission's
(MoPSC's) decision allowing the Utility's highly successful Gas Supply
Incentive Plan (GSIP) to expire on September 30, 2001 despite the
significant benefits derived for customers and shareholders during the past
five years the program was in effect. The increase in the earnings of
Laclede Gas was essentially offset by an expected seasonal loss recorded
this quarter from the operations of Laclede Group's newly-acquired
subsidiary, SM&P Utility Resources, Inc. (SM&P), a wholly-owned facility
locating and marking business acquired on January 28, 2002. SM&P `s earnings
are impacted by trends in the construction industry and as a result SM&P
normally experiences losses during the slow construction season in the
winter months. However, the acquisition of SM&P is expected to be accretive
to earnings for the entire fiscal year.

Utility operating revenues for the quarter ended March 31, 2002 were $256.8
million, or $160.6 million less than the same period last year. The decrease
was primarily attributable to reduced wholesale natural gas prices that are
passed on to Utility customers, subject to prudence review, under the
Purchased Gas Adjustment (PGA) Clause and lower gas sales levels resulting
from the warmer weather. These factors were partially offset by higher off
system sales revenues and the general rate increase. System therms sold and
transported decreased by 37.2 million therms, or 8.1%, below the quarter
ended March 31, 2001.

Laclede Group's non-utility operating revenues for this quarter increased
$5.3 million, or 21.0%, from those revenues for the same quarter last year
mainly due to additional revenues recorded this year resulting from the
recent acquisition of SM&P, partially offset by lower gas marketing sales by
Laclede Energy Resources, Inc. Laclede Gas' other operating revenues
decreased $24.8 million reflecting exclusion of subsidiary revenues in the
presentation of this year's amounts subsequent to the October 1, 2001
restructuring.

Utility operating expenses for the quarter ended March 31, 2002 decreased
$163.5 million from the same quarter last year. Natural and propane gas
expense decreased $154.7 million below last year's level primarily due to
decreased rates charged by suppliers and lower volumes purchased for sendout
arising from warmer weather, partially offset by higher off system gas
expense. Other operation and maintenance expenses increased $1.3 million, or
4.0%, primarily due to higher group insurance charges, lower net pension
credits, higher wage rates, increased insurance premiums and costs to remove
retired utility plant, partially offset by lower maintenance expenses.
Depreciation and amortization expense decreased $.5 million primarily due to
the net effect of lower depreciation rates instituted December 1, 2001
(reflecting elimination of a provision for removal costs), as authorized by
the MoPSC, partially offset by additional depreciable property. Taxes, other
than income, decreased $9.5 million, or 34.1%, primarily due to lower gross
receipts taxes (reflecting the decreased revenues).

Laclede Group's non-utility operating expenses increased $8.7 million this
quarter mainly due to the operating expenses of recently-acquired SM&P,
partially offset by lower gas expense associated with gas marketing sales by
Laclede Energy Resources, Inc. Laclede Gas' other operating expenses
decreased $24.0 million reflecting exclusion of subsidiary expenses in the
presentation of this year's amounts subsequent to the October 1, 2001
restructuring.

                                     18


<PAGE>
<PAGE>

The $1.3 million decrease in interest expense was primarily due to decreased
short-term interest expense (reflecting lower rates and reduced average
borrowings) partially offset by higher interest on long-term debt resulting
from the issuance of $50 million of 6 5/8% first mortgage bonds in June 2001.


Six Months Ended March 31, 2002

Due to the seasonal nature of Laclede Gas' business, earnings are typically
concentrated in the first six months of the fiscal year, which generally
corresponds with the heating season. The Utility typically experiences
losses over the last half of its fiscal year. This seasonal effect on
Laclede Group is expected to be tempered somewhat by the acquisition of SM&P
on January 28, 2002, whose operations tend to be counter-seasonal to those
of Laclede Gas.

Laclede Group's earnings were $1.51 per share for the six months ended
March 31, 2002 compared with $2.08 per share for the same period last year.
Earnings were primarily comprised of those of Laclede Gas, which were
adversely affected by lower gas sales arising from temperatures in its
service area that were significantly warmer than last year and the
expiration of the GSIP. Temperatures for the six-month period ended
March 31, 2002 were 16% warmer than normal and 26% warmer than the same period
last year. These reductions to earnings were only partially offset by the
benefit of the general rate increase put into effect by Laclede Gas on
December 1, 2001, the PSP income recorded this year as previously discussed,
and higher income from off system sales. Laclede Group's earnings were also
adversely impacted by normal operating losses recorded by SM&P in the winter
months since its acquisition on January 28, 2002 and lower income recorded
by Laclede Energy Resources, Inc.

Utility operating revenues for the six months ended March 31, 2002 were
$440.0 million, or $299.9 million less than the same period last year. The
decrease was primarily attributable to reduced wholesale natural gas prices
that are passed on to Utility customers, subject to prudence review, under
the PGA Clause and lower gas sales levels resulting from the warmer weather.
These factors were partially offset by higher off system sales and the
general rate increase. System therms sold and transported decreased by
173.7 million therms, or 20.0%, below the six months ended March 31, 2001.

Laclede Group's non-utility operating revenues for this period decreased
$5.7 million, or 12.0%, from those revenues for the same period last year
mainly attributable to lower gas marketing sales by Laclede Energy
Resources, Inc., partially offset by revenues recorded this year due to
the recent acquisition of SM&P. Laclede Gas' other operating revenues
decreased $46.6 million reflecting exclusion of subsidiary revenues in the
presentation of this year's amounts subsequent to the October 1, 2001
restructuring.

Utility operating expenses for the six months ended March 31, 2002 decreased
$285.2 million from the same period last year. Natural and propane gas
expense decreased $271.2 million below last year's level primarily
attributable to decreased rates charged by suppliers and lower volumes
purchased for sendout due to the warmer weather, partially offset by higher
off system gas expense. Other operation and maintenance expenses increased
$.3 million, or .5%, primarily due to lower net pension credits, higher
wage rates, increased insurance premiums, higher group insurance charges,
and costs to remove retired utility plant, largely offset by a lower
provision for uncollectible accounts and reduced distribution and
maintenance charges. Depreciation and amortization expense decreased
$.4 million primarily due to the net effect of lower depreciation rates
instituted December 1, 2001 (reflecting elimination of a provision for
removal costs), as authorized by the MoPSC and increased depreciable
property. Taxes, other than income, decreased $13.9 million, or 30.8%,
primarily due to lower gross receipts taxes (reflecting the decreased
revenues).

Laclede Group's non-utility operating expenses decreased $1.5 million for
the six months ended March 31, 2002 mainly due to lower gas expense
associated with gas marketing sales by Laclede Energy Resources, Inc.,
partially offset by the operating expenses of the newly-acquired SM&P.
Laclede Gas' other operating expenses decreased $45.3 million reflecting
exclusion of subsidiary expenses in the presentation of this year's amounts
subsequent to the October 1, 2001 restructuring.

The $2.3 million decrease in interest expense was primarily due to decreased
short-term interest expense (reflecting lower rates and reduced average
borrowings) partially offset by higher interest on long-term debt resulting
from the issuance of $50 million of 6 5/8% first mortgage bonds in June 2001.

                                     19


<PAGE>
<PAGE>

The decrease in income taxes is mainly due to lower pre-tax income.


Regulatory Matters
------------------

On January 25, 2002, Laclede filed a request with the Missouri Public
Service Commission (MoPSC or Commission) 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. As part of this rate increase filing, the Utility is proposing a
Weather Mitigation Plan (Plan) that would protect its customers from
weather-related fluctuations in their bills and help stabilize its annual
revenues in that regard. The Plan, as filed, would mitigate the volatile
effects of weather by basing a portion of customers' winter bills on usage
associated with normal weather and adjusting to offset the impact of
temperatures that are colder or warmer than normal. Currently, revenues of
Laclede Gas increase or decrease depending on colder- or warmer-than-normal
weather. The weather adjustment would apply to the distribution costs of
Laclede Gas, that portion of a customer's bill that covers the cost of
operating and maintaining the distribution system and storage facilities. It
would not affect increases and decreases in wholesale gas costs that are
passed on to customers in accordance with the Purchased Gas Adjustment (PGA)
Clause. By stabilizing weather-related revenues, the Plan would allow
Laclede Gas to cover what are primarily fixed costs that do not fluctuate
with the weather while still providing a fair return on investment. On
January 31, 2002, the Commission issued an order suspending the general rate
increase 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 $36.1 million and increase a typical
residential heating customer's bill by an average of about $4.40 a month.
Historically, the MoPSC has not granted Laclede's rate increase requests
in full.

In late February, the MoPSC approved Laclede Gas' filing that was made to
revise its PGA Clause to permit the adjustment of the gas cost component of
its rates more frequently to recover its costs. Under the new tariffs
approved by the MoPSC, scheduled gas cost adjustments will be implemented in
November, January, March and June, thereby enabling Laclede Gas to more
closely recover its costs of gas, especially during the high-volume winter
months. As part of the same ruling, the MoPSC also clarified that costs and
cost reductions associated with the Utility's use of natural gas financial
instruments (except as provided for previously under the PSP) are gas costs
and are recoverable through the PGA mechanism, including carrying costs.

Under the GSIP of Laclede Gas, the Utility shared with its customers certain
gains and losses related to the acquisition and management of its gas supply
assets. The provisions of the GSIP extended through September 30, 2001. In
September, 2001, the MoPSC ruled that the GSIP should be allowed to expire.
On February 19, 2002, the MoPSC denied Laclede Gas' application for
rehearing. Laclede Gas filed a petition for judicial review of the MoPSC's
decision with the Cole County Circuit Court, together with a motion
requesting that the MoPSC's decision be stayed. That review is still
pending. However, pursuant to the rate case settlement approved by the MoPSC
in November 2001, the MoPSC authorized Laclede Gas to retain all income from
releases of pipeline capacity effective December 1, 2001. Income from
releases of pipeline capacity was previously shared with customers under the
GSIP. Laclede Gas will continue to retain all income resulting from sales
outside of its traditional service area, as previously authorized by the
MoPSC. Income related to releases of pipeline capacity and sales made
outside its traditional service area are volatile in nature and subject to
market conditions.

On March 8, 2002, Laclede Gas filed an application requesting that the MoPSC
issue an Accounting Authority Order (AAO) that would allow Laclede to defer
for future recovery consideration unrecovered costs due solely to the
negative impact of the extraordinarily warm weather experienced in the
Utility's service area this past winter. The MoPSC Staff and Office of
Public Counsel have opposed the AAO request. The Commission has not yet
ruled on the matter. There were no costs relative to this request deferred
on the Utility's books at March 31, 2002.

On March 15, 2002, the Staff of the MoPSC filed its recommendation in the
proceeding established to review Laclede Gas' gas costs for fiscal 2000. In
its recommendation, the Staff has proposed to disallow the recovery of
approximately $2.6 million in gas costs on the alleged grounds that Laclede
Gas has slightly more transportation capacity than it needs to

                                     20


<PAGE>
<PAGE>

serve its customers. Laclede Gas believes that staff's recommendation is
without merit and unsupported by the facts and intends to vigorously oppose
the adjustment in proceedings before the MoPSC.


Critical Accounting Policies
----------------------------

Laclede Gas accounts for its regulated operations in accordance with
Statement of Financial Accounting Standards (SFAS) No. 71, "Accounting for
the Effects of Certain Types of Regulation." This statement sets forth the
application of accounting principles generally accepted in the United States
of America for those companies whose rates are established by or are subject
to approval by an independent third-party regulator. The provisions of SFAS
No. 71 require, among other things, that financial statements of a regulated
enterprise reflect the actions of regulators, where appropriate. These
actions may result in the recognition of revenues and expenses in time
periods that are different than non-regulated enterprises. When this occurs,
costs are deferred as assets in the balance sheet (regulatory assets) and
recorded as expenses when those amounts are reflected in rates. Also,
regulators can impose liabilities upon a regulated company for amounts
previously collected from customers and for recovery of costs that are
expected to be incurred in the future (regulatory liabilities).


Accounting Pronouncements
-------------------------

In June 2001, the Financial Accounting Standards Board (FASB) issued
Statement of Financial Accounting Standards (SFAS) No. 141, "Business
Combinations," which requires all business combinations in the scope of the
Statement to be accounted for using the purchase method. The provisions of
this Statement apply to all business combinations initiated after June 30,
2001. The Company has adopted the provisions of SFAS No. 141 with the
acquisition of SM&P. As required by SFAS No. 141, the goodwill for SM&P is
being accounted for consistent with the provisions of SFAS No. 142,
"Goodwill and Other Intangible Assets."


Liquidity and Capital Resources
-------------------------------

The Company's short-term borrowing requirements typically peak during colder
months when Laclede Gas borrows money to cover the gap between when it
purchases its natural gas and when its customers pay for that gas. These
short-term cash requirements have traditionally been met through the
Utility's sale of commercial paper supported by lines of credit with banks.
Laclede Gas currently has a primary line of credit for $135 million
extending through September 30, 2002. Laclede Gas also has various
supplemental lines of credit that bring the total credit lines to
$170 million currently, with $20 million expiring in September 2002 and
$15 million expiring in January 2003. During fiscal 2002 to date, the Utility
sold commercial paper aggregating to a maximum of $139.7 million at any one
time, but did not borrow from the banks under the aforementioned lines of
credit. Commercial paper amounted to $75.6 million at March 31, 2002.
Laclede Group held conventional bank debt amounting to $42.8 million at
March 31, 2002 related to the financing of the SM&P acquisition.

On April 22, 2002, Laclede Group filed a registration statement on Form S-3
with the Securities and Exchange Commission (SEC) in connection with the
sale of up to $500 million of equity securities, other than preferred stock,
and debt securities. As of the date of this filing, this registration
statement has not yet been declared effective by the SEC. The amount, timing
and type of financing to be issued under this shelf registration, after it
becomes effective, will depend on cash requirements and market conditions.

Utility construction expenditures were $22.3 million for the six months
ended March 31, 2002, compared with $21.2 million for the same period last
year. Non-utility construction expenditures were $.4 million for the same
period this year.

Consolidated capitalization at March 31, 2002 increased $15.5 million since
September 30, 2001 and consisted of 51.5% Laclede Group common stock equity,
..2% Laclede Gas preferred stock equity and 48.3% Laclede Gas long-term debt.

The seasonal nature of Laclede Gas' sales affects the comparison of certain
balance sheet items at March 31, 2002 and at September 30, 2001 such as
Accounts Receivable - Net, Gas Stored Underground, Notes Payable, Accounts
Payable, Regulatory Liabilities, and Advance and Delayed Customer Billings.

                                     21


<PAGE>
<PAGE>

Market Risk
-----------

The management of Laclede Gas has adopted a risk management policy that
provides for the purchase of natural gas financial instruments for the
purpose of managing price risk associated with purchasing natural gas on
behalf of its customers. This policy prohibits speculation. Costs and cost
reductions associated with the Utility's use of natural gas financial
instruments (except as provided for previously under the PSP) are allowed to
be passed on to the Utility's customers through the operation of its
Purchased Gas Adjustment Clause, through which the MoPSC provides for the
Utility to recover gas supply costs. Accordingly, Laclede Gas does not
expect any earnings impact as a result of the use of these financial
instruments. There were no financial instruments held at March 31, 2002.


Environmental Matters
---------------------

As previously reported, Laclede Gas is subject to various environmental laws
and regulations that, to date, have not materially affected its financial
position and results of operations. Laclede Gas is presently involved in the
clean up or formal assessment of two former manufactured gas plant sites,
the Shrewsbury site and the Carondelet City of St. Louis site.

With regard to the Shrewsbury site, Laclede Gas and state and federal
environmental regulators have agreed upon certain actions and those actions
are nearing completion. Laclede Gas currently estimates the overall costs of
these actions will be approximately $2,284,000. As of March 31, 2002,
Laclede Gas has paid $1,898,000 and reserved $386,000 for these actions. If
regulators require additional actions, Laclede Gas will incur additional
costs.

The Carondelet City of St. Louis site was placed into the Missouri Voluntary
Cleanup Program (VCP). The VCP provides opportunities to minimize the scope
and cost of site cleanup while maximizing possibilities for site
development. The City of St. Louis is presently seeking developers and
end-users for this site. If the City is unsuccessful, Laclede will submit a
Remedial Action Plan (RAP) and work with the City to find a developer to
implement the RAP and develop the site. Laclede Gas currently estimates that
the cost of the site investigations, agency oversight and related legal and
engineering consulting may be approximately $590,000. Currently, Laclede Gas
has paid $509,000 and reserved an additional $81,000. Laclede has requested
that other former site owners and operators participate in the cost of any
site investigation. One former owner and operator agreed to participate in
these costs and has reimbursed Laclede Gas to date for $159,000. Laclede Gas
anticipates additional reimbursement from this party of approximately
$69,000. Laclede Gas plans to seek proportionate reimbursement of all costs
relative to this site from other potentially responsible parties if
practicable.

Costs incurred are charged to expense or capitalized in accordance with
generally accepted accounting principles. A predetermined level of expense
is included in Laclede Gas' rates.

Laclede Gas has been advised that a third former manufactured gas plant site
previously operated, but no longer owned by Laclede Gas, is believed to
contain gas plant waste that may require remediation. Laclede Gas is working
to determine the nature and extent of such waste, if any, and Laclede Gas'
responsibility, if any, for any remediation costs.

While the scope of costs relative to the Shrewsbury site will not be
significant, the scope of costs relative to the other sites are unknown and
may be material. Laclede Gas has notified its insurers that it intends to
seek reimbursement of its costs at the sites. The majority of insurers have
reserved their rights. While some of the insurers have denied coverage,
Laclede Gas continues to seek reimbursement from them. With regard to the
Shrewsbury site, denials of coverage will not have any significant impact on
the financial position and results of operations of Laclede Gas. With regard
to the other sites, since the scope of costs relative to these sites are
unknown and may be material, denials of coverage may have a material impact
on the financial position and results of operations of Laclede Gas. Such
costs, if incurred, have typically been subject to recovery in rates.

                                     22


<PAGE>
<PAGE>

PART II. OTHER INFORMATION

Item 1. Legal Proceedings

        For a description of environmental matters see Note 10 to the
        unaudited Notes to Consolidated Financial Statements, page 15. For a
        description of Laclede Gas' pending regulatory matters, see the
        Management's Discussion and Analysis, Regulatory Matters, page 20.

        The legal proceedings item for the Form 10-K for the year ended
        September 30, 2001 included disclosure of a class action lawsuit
        filed in August 2001 against Laclede Gas. Laclede Gas filed a motion
        to dismiss the lawsuit that was granted by the Court on February 22,
        2002. The plaintiff did not file an amended petition within the time
        granted by the Court but filed an appeal on April 3, 2002. The
        Utility will continue to contest this action.


Item 4. Submission of Matter to a Vote of Security Holders

        The Annual Meeting of Shareholders of The Laclede Group, Inc. was
        held on January 24, 2002 for the purpose of electing three
        directors to the Board of Directors and ratifying the appointment
        of independent auditors. Management's three nominees for directors
        listed in the proxy statement were unopposed and were elected upon
        the following votes:
<TABLE>
<CAPTION>
                                                        Shares                          Shares
                  Director Nominee                     Voted For                    Voted Withheld
                  ----------------                     ---------                    --------------
<S>                                                   <C>                               <C>
                  Robert C. Jaudes                    15,056,436                        191,679
                  W. Stephen Maritz                   14,821,775                        426,340
                  Robert P. Stupp                     15,014,953                        233,162
</TABLE>

        The proposal to ratify the appointment of Deloitte & Touche LLP,
        Certified Public Accountants, to audit the accounts of the Company
        for the fiscal year ending September 30, 2002 was passed upon the
        following vote:

<TABLE>
<CAPTION>
                    Shares voted                     Shares voted                     Shares voted
                  For the proposal               Against the proposal                   Abstain
                  ----------------               --------------------                   -------
                     <S>                               <C>                              <C>
                     15,058,425                        115,184                          74,506
</TABLE>


Item 6. Exhibits and Reports on Form 8-K

(a)  See Exhibit Index

(b)  Reports on Form 8-K

During the quarter, Laclede Group filed two reports on Form 8-K:

1.      Form 8-K with report date of January 24, 2002, reporting under
        Item 9 the issuance of a press release, attached as exhibit 1 to the
        report, announcing the results for the fiscal quarter ended
        December 31, 2001.
2.      Form 8-K with report date of February 20, 2002 reporting under
        Item 9 the issuance of a press release, attached as exhibit 1 to the
        report, announcing Laclede Gas' challenge to the Missouri Public
        Service Commission's order allowing the Gas Supply Incentive Plan
        to expire.

                                     23


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<PAGE>

                                 Signatures

Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrants have duly caused this report to be signed on their behalf by the
undersigned thereunto duly authorized.

                                                  The Laclede Group, Inc.
                                                  Laclede Gas Company
                                                  (Co-Registrants)



                                                  By: /s/ Gerald T. McNeive Jr.
                                                      -------------------------
Dated: April 24, 2002                                 Gerald T. McNeive Jr.
       --------------                                 Senior Vice President
                                                      (Authorized Signatory and
                                                      Chief Financial Officer)


                                     24


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<PAGE>

                              Index to Exhibits


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

10.1     Line of credit (noncommitted) with UMB Bank, n.a.
         dated January 24, 2002                                    26

10.2     Line of credit (committed) with UMB Bank, n.a.
         dated January 24, 2002                                    28


                                     25