WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.

  

<ARTICLE> 5
<CIK> 0000352956
<NAME> FAFCO, INC.
<CURRENCY> U.S. DOLLARS
       
                             
<PERIOD-TYPE>                   3-MOS
<FISCAL-YEAR-END>                          DEC-31-1998
<PERIOD-START>                             JAN-01-1998
<PERIOD-END>                               MAR-31-1998
<CASH>                                           9,100
<SECURITIES>                                         0
<RECEIVABLES>                                3,289,900
<ALLOWANCES>                                   568,200
<INVENTORY>                                  1,125,000
<CURRENT-ASSETS>                             4,314,800
<PP&E>                                       2,673,400
<DEPRECIATION>                               2,264,400
<TOTAL-ASSETS>                               5,341,700
<CURRENT-LIABILITIES>                        2,320,400
<BONDS>                                        974,300
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<COMMON>                                       412,800
<OTHER-SE>                                   1,634,200
<TOTAL-LIABILITY-AND-EQUITY>                 5,341,700
<SALES>                                      2,699,500
<TOTAL-REVENUES>                             2,699,800
<CGS>                                        1,763,400
<TOTAL-COSTS>                                1,763,400
<OTHER-EXPENSES>                                     0
<LOSS-PROVISION>                                 2,800
<INTEREST-EXPENSE>                              35,100
<INCOME-PRETAX>                                  2,200
<INCOME-TAX>                                         0
<INCOME-CONTINUING>                              2,200
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                     2,200
<EPS-PRIMARY>                                     0.00
<EPS-DILUTED>                                     0.00