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





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

For the Quarterly Period ended June 30, 2001

             OR

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

For the Transition Period from  ________ to ________

Commission File Number 1-1822


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

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


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

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

     Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act
of 1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to
such filing requirements for the past 90 days.  Yes (X)   No ( )

     Indicate the number of shares outstanding of each of the issuer's
classes of common stock, as of the latest practicable date.


18,877,987 shares, Common Stock, par value $1 per share at 7/27/01.















                                 Page 1
<PAGE>
<PAGE>








                  LACLEDE GAS COMPANY AND SUBSIDIARY COMPANIES











                                     PART I

                             FINANCIAL INFORMATION





The interim financial statements included herein have been prepared by the
Company, without audit, pursuant to the rules and regulations of the
Securities and Exchange Commission.  These financial statements should be
read in conjunction with the financial statements and the notes thereto
included in the Company's Form 10-K for the year ended September 30, 2000.



























                                 Page 2

<PAGE>
<PAGE>
              LACLEDE GAS COMPANY AND SUBSIDIARY COMPANIES
                   STATEMENTS OF CONSOLIDATED INCOME
                              (UNAUDITED)
                (In Thousands, Except Per Share Amounts)

                                    Three Months Ended     Nine Months Ended
                                         June 30,              June 30,
                                     2001       2000       2001       2000
                                     ----       ----       ----       ----
Operating Revenues:
  Utility operating revenues      $109,462   $ 86,134   $851,052   $460,788
  Non-utility operating revenues    13,439      9,159     59,616     24,170
                                  -------------------   -------------------
    Total Operating Revenues       122,901     95,293    910,668    484,958
                                  -------------------   -------------------
Operating Expenses:
  Utility operating expenses
    Natural and propane gas         62,737     40,274    606,893    263,660
    Other operation expenses        24,806     21,007     78,655     66,049
    Maintenance                      4,849      4,296     14,414     13,947
    Depreciation and amortization    6,597      6,390     19,710     18,340
    Taxes, other than income taxes  11,553      8,786     56,845     35,282
                                  -------------------   -------------------
      Total utility operating
        expenses                   110,542     80,753    776,517    397,278
  Non-utility operating expenses    13,109      8,921     58,182     23,682
                                  -------------------   -------------------
      Total Operating Expenses     123,651     89,674    834,699    420,960
                                  -------------------   -------------------
Operating Income (Loss)               (750)     5,619     75,969     63,998
Other Income and Income
   Deductions - Net                   (100)         8      1,456        839
                                  -------------------   -------------------
Income (Loss) Before Interest
   and Income Taxes                   (850)     5,627     77,425     64,837
                                  -------------------   -------------------
Interest Charges:
  Interest on long-term debt         4,414      3,784     13,168     11,353
  Other interest charges             2,361      1,878      9,080      6,365
                                  -------------------   -------------------
      Total Interest Charges         6,775      5,662     22,248     17,718
                                  -------------------   -------------------
Income (Loss) Before Income Taxes   (7,625)       (35)    55,177     47,119
Income Tax Expense
  (Benefit)(Note 3)                 (3,952)      (357)    19,626     17,762
                                  -------------------   -------------------
Net Income (Loss)                   (3,673)       322     35,551     29,357
Dividends on Preferred Stock            22         22         66         70
                                  -------------------   -------------------
Earnings (Loss) Applicable to
   Common Stock                   $ (3,695)  $    300     35,485   $ 29,287
                                  ===================   ===================

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

Earnings (Loss) Per Share of
  Common Stock                       $(.20)      $.02      $1.88      $1.55

Dividends Declared Per Share
  of Common Stock                    $.335      $.335     $1.005     $1.005


               See notes to consolidated financial statements.
                                  Page 3                            
<PAGE>
<PAGE>
              LACLEDE GAS COMPANY AND SUBSIDIARY COMPANIES
                       CONSOLIDATED BALANCE SHEET

                                                 June 30    Sept. 30
                                                   2001       2000
                                                 -------    --------
                                               (Thousands of Dollars)
                                               (UNAUDITED)
                        ASSETS
Utility Plant                                   $ 944,514  $  921,378
   Less:  Accumulated depreciation and
    amortization                                  379,276     372,545
                                               ----------------------
   Net Utility Plant                              565,238     548,833
                                               ----------------------
Other Property and Investments                     27,721      26,546
                                               ----------------------
Current Assets:
   Cash and cash equivalents                        2,518       4,215
   Accounts receivable - net                       93,672      55,207
   Materials, supplies, and merchandise
    at avg cost                                     5,736       5,491
   Natural gas stored underground for
    current use at LIFO cost                       35,021      94,787
   Propane gas for current use at FIFO cost        14,889      12,201
   Prepayments and other                            3,317       3,303
   Unamortized purchased gas adjustments                -      14,907
   Delayed customer billings                       25,207           -
   Deferred income taxes                            9,784       2,485
                                               ----------------------
      Total Current Assets                        190,144     192,596
                                               ----------------------
Deferred Charges:
   Prepaid pension cost                           108,044      97,229
   Regulatory assets                               71,555      64,336
   Other                                            4,033       2,200
                                               ----------------------
      Total deferred charges                      183,632     163,765
                                               ----------------------
Total Assets                                    $ 966,735  $  931,740
                                               ======================



             See notes to consolidated financial statements.















                                 Page 4

<PAGE>
<PAGE>
              LACLEDE GAS COMPANY AND SUBSIDIARY COMPANIES
                 CONSOLIDATED BALANCE SHEET (Continued)

                                                 June 30     Sept. 30
                                                   2001        2000
                                                 -------     --------
                                                (Thousands of Dollars)
                                                (UNAUDITED)

                 CAPITALIZATION AND LIABILITIES
Capitalization:
   Common stock (20,743,625 shares issued)     $   20,744 $    20,744
   Paid-in capital                                 85,846      85,835
   Retained earnings                              216,936     200,423
   Accumulated other comprehensive income               -           -
   Treasury stock, at cost (1,865,638 shares
    held)                                         (24,017)    (24,017)
                                               ----------------------
       Total common stock equity                  299,509     282,985
   Redeemable preferred stock                       1,435       1,763
   Long-term debt (less sinking fund
    requirements)                                 284,437     234,408
                                               ----------------------
       Total Capitalization                       585,381     519,156
                                               ----------------------
 Current Liabilities:
   Notes payable                                   90,200     127,000
   Accounts payable                                46,279      45,660
   Advance customer billings                            -      15,290
   Current portion of preferred stock                 232          50
   Taxes accrued                                   24,335      12,044
   Unamortized purchased gas adjustments              252           -
   Other                                           28,639      31,060
                                               ----------------------
       Total Current Liabilities                  189,937     231,104
                                               ----------------------
Deferred Credits and Other Liabilities:
   Deferred income taxes                          142,269     134,944
   Unamortized investment tax credits               6,028       6,267
   Pension and postretirement benefit costs        19,370      20,261
   Regulatory liabilities                           4,292       1,223
   Other                                           19,458      18,785
                                               ----------------------
      Total Deferred Credits and Other
       Liabilities                                191,417     181,480
                                               ----------------------
Total Capitalization and Liabilities           $  966,735 $   931,740
                                               ======================



           See notes to consolidated financial statements.











                                 Page 5   
<PAGE>
<PAGE>
              LACLEDE GAS COMPANY AND SUBSIDIARY COMPANIES
                 STATEMENTS OF CONSOLIDATED CASH FLOWS
                             (UNAUDITED)
                                                   Nine Months Ended
                                                        June 30,
                                                   2001        2000
                                                   ----        ----
                                                (Thousands of Dollars)
Operating Activities:
 Net Income                                     $ 35,551    $ 29,357
 Adjustments to reconcile net income to
  net cash provided by operating activities:
   Depreciation and amortization                  19,795      18,407
   Deferred income taxes and investment
    tax credits                                   (3,672)     11,117
   Other - net                                    (1,061)        488
   Changes in assets and liabilities:
    Accounts receivable - net                    (38,465)    (10,517)
    Unamortized purchased gas adjustments         15,159      (6,541)
    Deferred purchased gas costs                   2,826      (1,076)
    Delayed customer billings - net              (40,497)    (18,595)
    Accounts payable                                 619       4,820
    Refunds due customers                           (343)     (1,258)
    Taxes accrued                                 12,291       9,211
    Natural gas stored underground                59,766      24,820
    Other assets and liabilities                 (20,484)    (18,008)
                                                --------------------
      Net cash provided by
         operating activities                   $ 41,485    $ 42,225
                                                --------------------
Investing Activities:
 Construction expenditures                       (33,649)    (36,826)
 Investments - non-utility                          (318)       (485)
 Employee benefit trusts                          (1,242)        (43)
 Other                                            (2,000)     (2,155)
                                                --------------------
      Net cash used in investing activities     $(37,209)   $(39,509)
                                                --------------------
Financing Activities:
 Issuance of first mortgage bonds                 50,000           -
 Issuance (Repayment) of short-term debt - net   (36,800)     11,300
 Dividends paid                                  (19,038)    (19,040)
 Preferred stock reacquired and other               (135)       (130)
                                                --------------------
  Net cash used in
     financing activities                       $ (5,973)   $ (7,870)
                                                --------------------
Net Decrease in Cash and Cash
 Equivalents                                    $ (1,697)   $ (5,154)
Cash and Cash Equivalents at Beg of Period         4,215       9,352
                                                --------------------
Cash and Cash Equivalents at End of Period      $  2,518    $  4,198
                                                ====================

Supplemental Disclosure of Cash Paid/(Refunded)
 During the Period for:
  Interest                                      $ 24,242    $ 20,351
  Income taxes                                    11,857      (3,295)

             See notes to consolidated financial statements.


                                 Page 6
<PAGE>
<PAGE>
              LACLEDE GAS COMPANY AND SUBSIDIARY COMPANIES
               NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

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

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

3.  Net provisions for income taxes were charged (credited) as
    follows during the periods set forth below:

                        Three Months Ended      Nine Months Ended
                              June 30,               June 30,
                        ------------------     -----------------
                          2001       2000        2001       2000
                          ----       ----        ----       ----
                                  (Thousands of Dollars)
       Federal
          Current       $(2,865)  $(7,964)     $22,369   $ 5,505
          Deferred         (591)    7,567       (5,658)    9,545
       State and Local
          Current          (433)   (1,065)       3,736     1,140
          Deferred          (63)    1,105         (821)    1,572
                        -----------------      -----------------
            Total       $(3,952)  $  (357)     $19,626   $17,762
                        =================      =================


4.  The Missouri Public Service Commission extended the Company's Gas Supply
    Incentive Plan with specific modifications through September 30, 2001.
    Under the modified plan, the Company continues to share with its
    customers certain gains and losses related to the acquisition of its gas
    supply assets, but Laclede retains all income from sales made outside
    its service area.  Total pretax income derived from the sharing
    provision of the Plan, excluding income derived from off system sales,
    cannot exceed $9.0 million for fiscal 2001.  On November 17, 2000, the
    Company filed a proposal with the MoPSC to extend, add a fixed price
    component and make other modifications to the Plan.  A hearing on the
    proposal was held in June 2001, but, as of the date of this filing, an
    order has not yet been issued.












                                 Page 7
<PAGE>
<PAGE>
    Results of the Plan and off system sales activities are set forth
    below.  These results may not be representative of results in future
    periods due to the volatile and seasonal nature of these efforts.

                               Three Months Ended   Nine Months Ended
                                    June 30,            June 30,
                               ------------------   -----------------
                                 2001     2000       2001      2000
                                 ----     ----       ----      ----
                                        (Thousands of Dollars)
    Net Benefits to Customers
      and Shareholders         $11,124  $10,337     $29,252   $27,822
    -----------------------------------------------------------------
    Shareholder Benefits
    Off system and Incentive
      Plan Revenues            $ 8,660  $ 9,254     $24,308   $38,696
    Off system and Incentive
      Plan Expense               5,481    6,276      16,542    30,492
                               -------  -------     -------   -------
    Company Share -
         Pretax Income         $ 3,179  $ 2,978     $ 7,766   $ 8,204
                               =======  =======     =======   =======




5.  Laclede Gas Company is a public utility engaged in the retail
    distribution of natural gas.  The Company has also made investments in
    some non-utility businesses as part of a diversification program, none
    of which are reportable segments.  These non-regulated operations are
    primarily conducted through five wholly-owned subsidiaries.  There are
    no material intersegment revenues.

                           Gas      All Other
    (Thousands of Dollars) Utility  (Non-Utility) Eliminations Consolidated
    -----------------------------------------------------------------------
    Three Months Ended
    June 30, 2001
    Operating revenues   $  109,462    $ 13,439    $        -   $  122,901
    Net income (loss)        (3,928)        255             -       (3,673)
    Total assets            962,462      22,838       (18,565)     966,735

    Nine Months Ended
    June 30, 2001
    Operating revenues   $  851,052    $ 59,616    $        -   $  910,668
    Net income (loss)        34,526       1,025             -       35,551
    Total assets            962,462      22,838       (18,565)     966,735

    Three Months Ended
    June 30, 2000
    Operating revenues   $   86,134    $  9,159    $        -   $   95,293
    Net income (loss)           190         132             -          322
    Total assets            852,487      17,173       (13,836)     855,824

    Nine Months Ended
    June 30, 2000
    Operating revenues   $  460,788    $ 24,170    $        -   $  484,958
    Net income (loss)        29,217         140             -       29,357
    Total assets            852,487      17,173       (13,836)     855,824




                                 Page 8


<PAGE>
6.  The Company is subject to various environmental laws and regulations.
    To date they have not materially affected the Company's financial
    position and results of operations.  In the past, the Company operated
    various manufactured gas plants that produced certain by-products and
    residuals.  Environmental efforts are underway at two of the sites.

    The actions relative to the site in Shrewsbury, Missouri with the state
    and federal environmental regulatory agencies are nearing completion.
    In the process of grading, some manufactured gas wastes were released
    into an adjacent stream, which the Company contained.  The Company and
    the agencies have tentatively agreed on a work plan that will restore
    the integrity of the stream bank and prevent a recurrence of any such
    release.  The current estimate for the overall costs of actions for this
    site is $1,844,000.  As of June 30, 2001, the Company has paid
    $1,283,000 and reserved $561,000 for these actions.

    With regard to the site in the City of St. Louis, Missouri, the Company
    placed it in the Missouri Voluntary Cleanup Program, which provides
    opportunities to contain costs while maximizing possibilities for
    development.  Laclede sold this site in 1950 and the subsequent owners
    operated a coke manufacturing facility on it.  The Company submitted a
    site characterization report to the Missouri Department of Natural
    Resources that it accepted subject to the Company's development of a
    remedial action plan by the end of August 2001.  The Company's current
    estimate of the cost of the site investigation, agency oversight and
    related legal and engineering consulting fees is $590,000.  As of June
    30, 2001, the Company has paid $476,000 and reserved an additional
    $114,000.  The Company requested that other former site owners and
    operators share the costs of the investigation and any actions, and one
    former owner has reimbursed the Company for some of the costs.  The
    Company plans to seek proportionate reimbursement of all costs relative
    to this site from any other potentially responsible parties, if
    practicable.

    The costs relative to the Shrewsbury site are not believed to be
    significant, but the scope of costs relative to the City of St. Louis
    site are unknown and may be material.  The Company has notified its
    insurers that it intends to seek reimbursement from them of its costs at
    both these sites; none of the insurers have agreed that its insurance
    covers such costs and a majority have sent letters reserving their
    rights with respect to these issues.  The denial of coverage relative to
    the Shrewsbury site is not expected to have a significant impact on the
    Company, but the denial of coverage relative to the City of St. Louis
    site, since the scope of those costs are unknown and may be material,
    may have a material impact on the Company.

7.  Certain prior-period amounts have been reclassified to conform to
    current-period presentation.  These reclassifications did not affect
    consolidated net income for the periods presented.

8.  This Form 10-Q should be read in conjunction with the Notes to
    Consolidated Financial Statements contained in the Company's Fiscal 2000
    Form 10-K.










                                 Page 9


<PAGE>
                MANAGEMENT'S DISCUSSION AND ANALYSIS OF
             FINANCIAL CONDITION AND RESULTS OF OPERATIONS

RESULTS OF OPERATIONS

Quarter Ended June 30, 2001
-------------------------------

Due to the seasonal nature of the Company's core gas distribution business,
earnings are typically concentrated in the first six months of the fiscal
year, the period that corresponds with the heating season.  In the remaining
warm spring and summer months, gas sales volumes are low, and revenues and
earnings generally decline.  During the quarter ended June 30, 2001, the
Company experienced a loss of $.20 per share compared with a gain of $.02
per share for the quarter ended June 30, 2000.  The decrease in earnings was
primarily attributable to the negative impact of lower sales levels
resulting from weather experienced this quarter that was 41% warmer than
normal and 37% warmer than the same quarter last year.  Earnings also
decreased due to higher costs of doing business and increased interest
expense.

Utility operating revenues for the quarter ended June 30, 2001 were $23.3
million, or 27.1%, above those for the same quarter last year.  The increase
was primarily due to higher wholesale gas costs that are passed on to
Laclede's customers in accordance with the Company's Purchased Gas
Adjustment Clause, partially offset by reduced sales volumes reflecting the
warmer weather.  System therms sold and transported decreased by 16.7
million therms, or 12.6%, below the quarter ended June 30, 2000.

Non-utility operating revenues for this quarter increased $4.3 million from
those revenues for the same quarter last year mainly due to increased gas
marketing sales by Laclede Energy Resources, Inc., a wholly-owned non-
utility subsidiary.

Utility operating expenses for the quarter ended June 30, 2001 increased
$29.8 million or 36.9%, above those for the same period last year.  Natural
and propane gas expense this quarter increased $22.5 million above last
year's level primarily due to higher rates charged by the Company's
suppliers, partially offset by decreased volumes purchased for sendout
mainly because of warmer weather.  Other operation and maintenance expenses
increased $4.4 million, or 17.2%, due to higher wage rates, lower net
pension credits, reduced gains on lump sum pension settlements, and higher
distribution and maintenance expenses.  Depreciation and amortization
expense increased slightly.  Taxes, other than income taxes, increased $2.8
million primarily due to higher gross receipts taxes (reflecting the
increased revenues)and higher real estate and personal property taxes.

Non-utility operating expenses increased $4.2 million this quarter mainly
due to increased gas expense associated with gas marketing sales by Laclede
Energy Resources, Inc.












                                 Page 10

<PAGE>
<PAGE>
The $1.1 million increase in interest expense is due to increased
short-term interest expense (primarily attributable to higher average
borrowings) and to higher interest on long-term debt resulting mainly from
the issuance of $30 million of 7.90% first mortgage bonds in September 2000.



Nine Months Ended June 30, 2001
-------------------------------

Temperatures for the nine months ended June 30, 2001 were 9% colder than
normal.  In contrast, the same period last year was the third warmest
comparable period for the century.  As a result, the nine months ended June
30, 2001 was 30% colder than the comparable period last year, resulting in a
substantial increase in the earnings level achieved this year as compared
with the same period last year.

Earnings were $1.88 per share for the nine months ended June 30, 2001
compared with $1.55 per share for the nine-month period ended June 30, 2000.
In addition to the favorable impact of higher sales levels resulting from
colder weather, earnings also increased due to the benefit of the general
rate increase effective December 27, 1999.  These factors were partially
offset by a higher provision for uncollectible accounts reflecting a
significant increase in accounts receivable balances due to higher revenues
compared with last year, higher carrying costs on natural gas purchased in
the wholesale market prior to receiving payment from customers, and higher
costs of doing business.

A dramatic rise across the nation this past winter in the wholesale cost of
natural gas, coupled with the significantly higher sales levels arising from
the colder weather, resulted in utility operating revenues for the nine
months ended June 30, 2001 of $851.1 million compared with $460.8 million
for the same period last year. Increases or decreases in the wholesale cost
of natural gas are passed on to Laclede's customers in accordance with the
Company's Purchased Gas Adjustment Clause.  System therms sold and
transported increased by 163.0 million therms, or 19.9%, above the nine
months ended June 30, 2000.

Non-utility operating revenues for this period increased $35.4 million from
those revenues for the same period last year mainly due to increased gas
marketing sales by Laclede Energy Resources, Inc., a wholly-owned non-
utility subsidiary.

Utility operating expenses for the nine months ended June 30, 2001 were
$776.5 million compared with $397.3 million for the same period last year -
mainly the result of the increase in the wholesale cost of natural gas and
the colder weather.  Natural and propane gas expense increased $343.2
million above last year's level primarily due to the higher rates charged by
the Company's suppliers and increased volumes purchased for sendout mainly
because of colder weather.  Other operation and maintenance expenses
increased $13.1 million, or 16.3%, principally due to a higher provision for
uncollectible accounts, higher wage rates, lower gains on lump sum pension
settlements, lower net pension credits, higher distribution and maintenance
expenses and higher group insurance charges.  Depreciation and amortization







                                  Page 11




<PAGE>
expense increased $1.4 million due to additional depreciable property and an
increased proportion of amortization related to shorter-lived property.
Taxes, other than income taxes, increased $21.6 million primarily due to
higher gross receipts taxes (reflecting the increased revenues), and to a
lesser extent, increased real estate and personal property taxes.

Non-utility operating expenses increased $34.5 million this period mainly
due to increased gas expense associated with gas marketing sales by Laclede
Energy Resources, Inc.

Other Income and Income Deductions - Net increased $.6 million primarily due
to higher interest income, partially offset by expenses related to the
holding company formation and strategic planning initiatives.

The $4.5 million increase in interest expense is due to increased
short-term interest expense (primarily attributable to higher average
borrowings) and to higher interest on long-term debt resulting mainly from
the issuance of $30 million of 7.90% first mortgage bonds in September 2000.

The increase in income taxes is mainly due to higher pre-tax income.


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

On May 18, 2001, 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.  On June
7, 2001, 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 $39.8 million and increase a typical residential heating
customer's bill by an average of about $4.90 a month.  Historically, the
MoPSC has not granted Laclede's rate increase requests in full.

The MoPSC previously approved an extension of the Company's Gas Supply
Incentive Plan (GSIP) with modifications through September 30, 2001.  Under
the GSIP, Laclede shares certain gains and losses related to the acquisition
and management of its gas supply assets, but the Company retains all income
resulting from sales made outside of its traditional service area.  During
the quarter ended June 30, 2001, these activities (the GSIP and off system
sales) produced savings of $7.9 million for Laclede customers and $3.2
million in pretax income to its shareholders.  For the nine months ended
June 30, 2001, these activities produced savings of $21.5 million for
Laclede customers and $7.8 million in pretax income to its shareholders.  On
November 17, 2000, the Company filed a proposal with the MoPSC to extend,
add a fixed price component, and make other modifications to the GSIP.  The
MoPSC held a hearing on the matter in June 2001, but as of the date of this
filing, an order has not yet been issued.

The Company's Purchased Gas Adjustment (PGA) Clause, through which the
Company flows through to customers the cost of purchased gas supplies,
allows two scheduled PGA filings each year, one for the summer months and
another for the winter period, plus one unscheduled winter filing if certain
conditions are met.  The significant increase in natural gas prices from
last spring through this past winter necessitated an unscheduled filing that
increased PGA rates in January 2001.  However, the MoPSC approved an

                                 Page 12




<PAGE>
additional unscheduled filing in February 2001 which reduced PGA rates in
response to declining wholesale gas prices and to flow through a portion of
the gains made by the Company on its purchases and sales of financial
instruments under the Company's Price Stabilization Program.  The Company's
spring PGA filing, effective April 18, 2001, further reduced PGA rates.

The Price Stabilization Program (PSP) authorizes the Company to purchase
certain financial instruments in an effort to hedge against significant
increases in the cost of natural gas.  The cost of such financial
instruments, however, like the cost of natural gas itself, increased
significantly from last spring through this past winter.  As a result, the
MoPSC granted the Company's request to reduce the amount of natural gas
purchases required to be covered by such financial instruments for this past
heating season.  In February of this year, the MoPSC approved modifications
to the PSP, including that $4 million in supplemental funding be added to
the PSP for the purchase of financial instruments for the next heating
season.  The Company relinquished a claim on $4 million arising from gains
realized from the purchase and sale of such instruments during the recent
heating season and has offered to utilize a similar amount to provide
funding for such instruments in the 2002-2003 program year.  The MoPSC has
also approved modifications to the PSP to reduce the 2001-2002 percentage of
gas requirements covered by the PSP.  The Company is pursuing an extension
of the PSP.

On May 11, 2000, the Company appealed to the Circuit Court of Cole County,
Missouri the MoPSC's decision on one of the contested issues in the
Company's 1999 rate case relating to the calculation of the Company's
depreciation rates.  On December 1, 2000, the court remanded this decision
to the MoPSC based on inadequate findings of fact.  On June 28, 2001, the
MoPSC issued an Order that upheld its previous Order.  This decision has no
adverse impact on the $11.24 million increase in rates, which became
effective December 27, 1999, or the Company's earnings.  On July 6, 2001,
the Company filed an Application for Rehearing of the Commission's second
Order.  The Company believes a favorable decision, when recognized in the
Company's rates, would be expected to benefit the Company's cash flows.

In response to recent price increases in the commodity cost of natural gas
that have led to significant increases in the prices paid by customers of
local distribution companies, like Laclede, the MoPSC established a case and
task force to investigate the process for the recovery of natural gas
commodity cost increases by such companies from their customers.  Meetings
of the task force have been scheduled throughout this spring and summer in
which Laclede has participated.

On April 20, 2001, the Company filed with the MoPSC a Weather Mitigation
Plan (Plan) that would protect Laclede's customers from weather-related
fluctuations in their bills and help stabilize the Company's 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, the Company's revenues
increase or decrease depending on colder- or warmer-than-normal weather.
The weather adjustment, if approved by the Commission, would apply to the
Company's distribution costs, that portion of a customer's bill that covers
Laclede's costs of operating and maintaining its 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
Company's Purchased Gas Adjustment Clause.  By stabilizing the Company's
weather-related revenues, the Plan would allow Laclede to cover what are
primarily fixed costs that do not fluctuate with the weather while still
providing the Company's shareholders with a fair return on investment.
On July 12, 2001, the MoPSC suspended the Company's tariff filing in
response to motions filed by the Commission's Staff and Public Counsel.  A
prehearing conference was held on July 23, 2001.
                                Page 13
<PAGE>
Accounting Pronouncements
-------------------------

On October 1, 2000, the Company adopted Statements of Financial Accounting
Standards (SFAS) No. 133 and 138.  SFAS No. 133 "Accounting for
Derivative Instruments and Hedging Activities" establishes accounting and
reporting standards for derivative instruments, including certain derivative
instruments embedded in other contracts, and for hedge accounting.  It
requires that an entity recognize all derivatives as either assets or
liabilities in the statement of financial position and measure those
instruments at fair value.  SFAS 133 requires that changes in the fair value
of a derivative be recognized currently in earnings, unless specific hedge
accounting criteria are met.  SFAS No. 138, "Accounting for Certain
Derivative Instruments and Certain Hedging Activities" amends portions of
SFAS No. 133.  Among other things, SFAS No. 138 provides an exception for
contracts intended for the normal purchase and normal sale of something
other than a financial instrument or derivative instrument, for which
physical delivery is probable.  Some of the Company's gas supply and
transportation contracts are derivative instruments as defined under SFAS
No. 133; however, all of these contracts qualify for the normal purchases
and normal sales exception provided by SFAS No. 138.  The financial
instruments purchased by Laclede under its Price Stabilization Program are
derivative instruments under SFAS No. 133.  These financial instruments are
purchased as hedges against significant increases in the price of natural
gas, as approved by the MoPSC, and are accounted for in accordance with the
Company's Purchased Gas Adjustment Clause.  The effect of the Company's
adoption of these statements on October 1, 2000 has not had a significant
impact on the Company's financial position and results of operations.



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

The Company's short-term borrowing requirements typically peak during colder
months when the Company borrows money to cover the gap between when the
Company purchases its natural gas and when the Company's customers pay for
that gas.  These short-term cash requirements have traditionally been met
through the sale of commercial paper supported by lines of credit with
banks.  The Company currently has a primary line of credit totaling $150
million extending through November 29, 2001.  The Company also had various
supplemental lines of credit of up to $100 million that provided for
aggregate credit lines of up to $250 million during various periods of the
heating season.  On April 30, 2001, the aggregate credit lines were reduced
to $185 million through September 13, 2001.  During fiscal 2001 to date, the
Company sold commercial paper aggregating to a maximum of $234.8 million at
any one time, but did not borrow from the banks under the aforementioned
lines of credit.  Short-term borrowings amounted to $90.2 million at June
30, 2001.

On June 26, 2001, the Company issued $50 million of first mortgage bonds
with an interest rate of 6 5/8%, at an overall cost to the Company of
6.968%.  The bonds were dated June 15, 2001 and mature June 15, 2016.  The
proceeds were used to repay short-term debt.  These bonds were issued under
the Company's registration statement on Form S-3 filed last year with the
Securities and Exchange Commission relative to the sale of up to $350
million of first mortgage bonds, debt securities and common stock.  $270
million of such securities remains registered with the SEC and authorized by
the MoPSC for future issuance.

Construction expenditures for utility purposes for the nine months ended
June 30, 2001 were $33.6 million compared with $36.8 million for the same
period last year.
                                 Page 14


<PAGE>
Capitalization at June 30, 2001 increased $66.2 million since September
30, 2000 and consisted of 51.2% common stock equity, .2% preferred stock
equity and 48.6% long-term debt.

The seasonal nature of the Company's sales affects the comparison of certain
balance sheet items at June 30, 2001 and at September 30, 2000 such as
Accounts Receivable - Net, Gas Stored Underground, Notes Payable, Accounts
Payable, Regulatory Liabilities, and Advance and Delayed Customer Billings.



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

The Company is subject to various environmental laws and regulations.
To date they have not materially affected the Company's financial
position and results of operations.  In the past, the Company operated
various manufactured gas plants that produced certain by-products and
residuals.  Environmental efforts are underway at two of the sites.

The actions relative to the site in Shrewsbury, Missouri with the state
and federal environmental regulatory agencies are nearing completion.
In the process of grading, some manufactured gas wastes were released
into an adjacent stream, which the Company contained.  The Company and
the agencies have tentatively agreed on a work plan that will restore
the integrity of the stream bank and prevent a recurrence of any such
release.  The current estimate for the overall costs of actions for this
site is $1,844,000.  As of June 30, 2001, the Company has paid $1,283,000
and reserved $561,000 for these actions.

With regard to the site in the City of St. Louis, Missouri, the Company
placed it in the Missouri Voluntary Cleanup Program, which provides
opportunities to contain costs while maximizing possibilities for
development.  Laclede sold this site in 1950 and the subsequent owners
operated a coke manufacturing facility on it.  The Company submitted a
site characterization report to the Missouri Department of Natural
Resources that it accepted subject to the Company's development of a
remedial action plan by the end of August 2001.  The Company's current
estimate of the cost of the site investigation, agency oversight and
related legal and engineering consulting fees is $590,000.  As of June
30, 2001, the Company has paid $476,000 and reserved an additional
$114,000.  The Company requested that other former site owners and
operators share the costs of the investigation and any actions, and one
former owner has reimbursed the Company for some of the costs.  The
Company plans to seek proportionate reimbursement of all costs relative
to this site from any other potentially responsible parties, if
practicable.

The costs relative to the Shrewsbury site are not believed to be
significant, but the scope of costs relative to the City of St. Louis
site are unknown and may be material.  The Company has notified its
insurers that it intends to seek reimbursement from them of its costs at
both these sites; none of the insurers have agreed that its insurance
covers such costs and a majority have sent letters reserving their
rights with respect to these issues.  The denial of coverage relative to
the Shrewsbury site is not expected to have a significant impact on the
Company, but the denial of coverage relative to the City of St. Louis
site, since the scope of those costs are unknown and may be material,
may have a material impact on the Company.




                                 Page 15


<PAGE>

Other Matters
-------------

On October 26, 2000, the Company announced its intention, subject to receipt
of the necessary approvals, to reorganize its corporate structure to form a
holding company known as The Laclede Group, Inc.  As a result of the
reorganization, The Laclede Group, Inc. would become a holding company under
the Public Utility Holding Company Act of 1935 but would be exempt from all
provisions of the Act except Section 9(a)(2) thereof.  At the January 25,
2001 annual meeting, Laclede Gas shareholders voted and approved the
reorganization.  In December 2000, the Company filed an application with the
MoPSC requesting its approval of the proposal.  On July 9, 2001, the parties
to the case before the MoPSC filed a Unanimous Stipulation and Agreement
recommending approval of the Company's application with certain conditions,
but an order has not yet been issued as of the date of this filing.




Forward-Looking Statements
--------------------------

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

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

                                 Page 16
<PAGE>
<PAGE>









               LACLEDE GAS COMPANY AND SUBSIDIARY COMPANIES









                                Part II


                           OTHER INFORMATION








































                                Page 17


<PAGE>
         LACLEDE GAS COMPANY AND SUBSIDIARY COMPANIES

Item 1.  Legal Proceedings

         For a description of the Company's environmental matters, see
         Note 6 to the unaudited Notes to Consolidated Financial
         Statements on page 9.  For a description of the Company's
         pending regulatory matters, see "Updated Regulatory Matters"
         and "Other Matters" in the "Management's Discussion and
         Analysis" section on pages 12 and 16.


Item 6.  Exhibits and Reports on Form 8-K

         (a) Exhibits - None

         (b) Reports on Form 8-K

             The Company filed four Form 8-K's during the quarter ended
         June 30, 2001.

         Items reported:

         On April 20, 2001, the Company filed an 8-K (with a report date of
         April 20, 2001) with the press release announcing the filing with
         the Missouri Public Service Commission seeking approval of a
         weather mitigation plan.

         On April 26, 2001, the Company filed an 8-K (with a report date of
         April 26, 2001) with its press release announcing its financial
         results for the quarter and six months ended March 31, 2001.

         On May 18, 2001, the Company filed an 8-K (with a report date of
         May 18, 2001) with its press release announcing its filing with the
         Missouri Public Service Commission for rate recovery of increases
         in its distribution costs.

         On June 22, 2001, the Company filed an 8-K (with a report date of
         June 21, 2001) reporting that it executed an underwriting agreement
         for the sale of $50 million principal amount of its first mortgage
         bonds, 6 5/8% series due June 15, 2016.  It also incorporated by
         reference the consolidated audited financial statements of Ambac
         Assurance Corporation and subsidiaries as of December 31, 2000 and
         December 31, 1999 and for each of the three years in the period
         ended December 31, 2000 included in the current report on form 8-K
         of Ambac Financial Group, Inc. and the consolidated unaudited
         financial statements of Ambac Assurance and subsidiaries as of
         March 31, 2001 and for the periods ended March 31, 2001 and 2000,
         into the Company's June 22, 2001 Form 8-K, the Company's
         registration statement on Form S-3 (Registration Statement No. 333-
         40362) and the prospectus supplement dated June 21, 2001 relating
         to the bonds filed pursuant to Rule 424 (b) under the Securities
         Act.  The consent of KPMG LLP, independent accountants for Ambac
         Assurance, insurer of the bonds, to the incorporation by reference
         of its report dated January 22, 2001 on the audited financial
         statements of Ambac Assurance and to the use of its name in the
         prospectus supplement, was filed as Exhibit 23.01 to the Company's
         June 22, 2001 8-K.





                                 Page 18

<PAGE>




              LACLEDE GAS COMPANY AND SUBSIDIARY COMPANIES


                               SIGNATURES




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





                                                  LACLEDE GAS COMPANY



Date: July 27, 2001
                                                /s/ G. T. McNeive, Jr.
                                             ------------------------------
                                                   G. T. McNeive, Jr.
                                              Sr. Vice President - Finance
                                                  and General Counsel
                                              (Authorized Signatory and
                                                Chief Financial Officer)































                                 Page 19