<ARTICLE> 5 <LEGEND> THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE 1ST QUARTER OF 1998 FORM 10-Q OF THE SOUTHERN NEW ENGLAND TELEPHONE COMPANY AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. </LEGEND> <MULTIPLIER> 1,000 <PERIOD-TYPE> 3-MOS <FISCAL-YEAR-END> DEC-31-1998 <PERIOD-START> JAN-01-1998 <PERIOD-END> MAR-31-1998 <CASH> 31,500 <SECURITIES> 0 <RECEIVABLES> 314,000 <ALLOWANCES> 14,200 <INVENTORY> 13,300 <CURRENT-ASSETS> 399,200 <PP&E> 4,352,400 <DEPRECIATION> 2,980,400 <TOTAL-ASSETS> 1,861,800 <CURRENT-LIABILITIES> 499,300 <BONDS> 667,200 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 380,400 <OTHER-SE> 198,400 <TOTAL-LIABILITY-AND-EQUITY> 1,861,800 <SALES> 0 <TOTAL-REVENUES> 335,100 <CGS> 0 <TOTAL-COSTS> 266,800 <OTHER-EXPENSES> 2,000 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 10,900 <INCOME-PRETAX> 55,400 <INCOME-TAX> 20,400 <INCOME-CONTINUING> 35,000 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 35,000 <EPS-PRIMARY> 0 <EPS-DILUTED> 0