<ARTICLE> 5 <LEGEND> This schedule contains summary financial information extracted from the unaudited balance sheet of AT&T Corp. at September 30, 1996 and the unaudited consolidated statement of income for the nine-month period ended September 30, 1996 and is qualified in its entirety by reference to such financial statements. </LEGEND> <MULTIPLIER> 1,000,000 <PERIOD-TYPE> 9-MOS <FISCAL-YEAR-END> DEC-31-1996 <PERIOD-START> JAN-01-1996 <PERIOD-END> SEP-30-1996 <CASH> 362 <SECURITIES> 0 <RECEIVABLES> 10,092 <ALLOWANCES> 823 <INVENTORY> 0 <CURRENT-ASSETS> 17,709 <PP&E> 36,129 <DEPRECIATION> 18,462 <TOTAL-ASSETS> 56,303 <CURRENT-LIABILITIES> 16,068 <BONDS> 7,851 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 1,619 <OTHER-SE> 19,434 <TOTAL-LIABILITY-AND-EQUITY> 56,303 <SALES> 0 <TOTAL-REVENUES> 37,674 <CGS> 0 <TOTAL-COSTS> 30,821 <OTHER-EXPENSES> 0 <LOSS-PROVISION> 1,254 <INTEREST-EXPENSE> 300 <INCOME-PRETAX> 6,843 <INCOME-TAX> 2,515 <INCOME-CONTINUING> 4,328 <DISCONTINUED> (43) <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 4,285 <EPS-PRIMARY> 2.67 <EPS-DILUTED> 2.66