<ARTICLE>                                           UT
<LEGEND>
     This schedule  contains summary  financial  information  extracted from the
     balance sheet, income statement,  and cash flow statement of Illinois Power
     Company and is qualified in its entirety by reference to the balance sheet,
     imcome statement, and cash flow statement of Illinois Power Company.
</LEGEND>
<CIK>       0000049816                  
<NAME>      Illinois Power Company                  
<SUBSIDIARY>
   <NUMBER>  0                 
   <NAME>    0                 
<MULTIPLIER>                                   1,000,000
<CURRENCY>                                     Default
       
                             
<PERIOD-TYPE>                   3-MOS
<FISCAL-YEAR-END>                              DEC-31-1998
<PERIOD-START>                                 JAN-01-1998
<PERIOD-END>                                   MAR-31-1998
<EXCHANGE-RATE>                                1
<BOOK-VALUE>                                   PER-BOOK
<TOTAL-NET-UTILITY-PLANT>                      4682
<OTHER-PROPERTY-AND-INVEST>                    6
<TOTAL-CURRENT-ASSETS>                         451
<TOTAL-DEFERRED-CHARGES>                       202
<OTHER-ASSETS>                                 0
<TOTAL-ASSETS>                                 5341
<COMMON>                                       1210
<CAPITAL-SURPLUS-PAID-IN>                      0
<RETAINED-EARNINGS>                            115
<TOTAL-COMMON-STOCKHOLDERS-EQ>                 1325
<PREFERRED-MANDATORY>                          197
<PREFERRED>                                    57
<LONG-TERM-DEBT-NET>                           1562
<SHORT-TERM-NOTES>                             106
<LONG-TERM-NOTES-PAYABLE>                      0
<COMMERCIAL-PAPER-OBLIGATIONS>                 194
<LONG-TERM-DEBT-CURRENT-PORT>                  69
<PREFERRED-STOCK-CURRENT>                      0
<CAPITAL-LEASE-OBLIGATIONS>                    99
<LEASES-CURRENT>                               29
<OTHER-ITEMS-CAPITAL-AND-LIAB>                 1703
<TOT-CAPITALIZATION-AND-LIAB>                  5341
<GROSS-OPERATING-REVENUE>                      490
<INCOME-TAX-EXPENSE>                           11
<OTHER-OPERATING-EXPENSES>                     417
<TOTAL-OPERATING-EXPENSES>                     428
<OPERATING-INCOME-LOSS>                        62
<OTHER-INCOME-NET>                             1
<INCOME-BEFORE-INTEREST-EXPEN>                 62
<TOTAL-INTEREST-EXPENSE>                       32
<NET-INCOME>                                   30
<PREFERRED-STOCK-DIVIDENDS>                    5
<EARNINGS-AVAILABLE-FOR-COMM>                  26
<COMMON-STOCK-DIVIDENDS>                       22
<TOTAL-INTEREST-ON-BONDS>                      27
<CASH-FLOW-OPERATIONS>                         140
<EPS-PRIMARY>                                  0
<EPS-DILUTED>                                  0