<ARTICLE> 5
<LEGEND>
This schedule contains summary financial information extracted from the
consolidated balance sheets and statements of income for Telos Corporation and
is qualified in its entirety by reference to such financial statements.
</LEGEND>
       
                             
<PERIOD-TYPE>                   9-MOS
<FISCAL-YEAR-END>                          DEC-31-1996
<PERIOD-END>                               SEP-30-1996
<CASH>                                         1284000
<SECURITIES>                                         0
<RECEIVABLES>                                 48072000
<ALLOWANCES>                                    434000
<INVENTORY>                                   14228000
<CURRENT-ASSETS>                              66382000
<PP&E>                                        35816000
<DEPRECIATION>                                19922000
<TOTAL-ASSETS>                               110671000
<CURRENT-LIABILITIES>                         83526000
<BONDS>                                       55185000
<PREFERRED-MANDATORY>                         37366000
<PREFERRED>                                          0
<COMMON>                                         78000
<OTHER-SE>                                  (41079000)
<TOTAL-LIABILITY-AND-EQUITY>                 110671000
<SALES>                                       53363000
<TOTAL-REVENUES>                             157005000
<CGS>                                         48237000
<TOTAL-COSTS>                                136190000
<OTHER-EXPENSES>                                346000
<LOSS-PROVISION>                                 31000
<INTEREST-EXPENSE>                             4994000
<INCOME-PRETAX>                              (8707000)
<INCOME-TAX>                                  (421000)
<INCOME-CONTINUING>                          (8286000)
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                 (8286000)
<EPS-PRIMARY>                                        0
<EPS-DILUTED>                                        0