<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
CONSOLIDATED STATEMENTS OF OPERATIONS AND CONSOLIDATED BALANCE SHEETS OF
POLICY MANAGEMENT SYSTEMS CORPORATION AS OF AND FOR THE TWELVE MONTHS
ENDED DECEMBER 31, 1997 AND 1996, AND IS QUALIFIED IN ITS ENTIRETY BY
REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<RESTATED> 
<MULTIPLIER> 1000
       
                                                  
<PERIOD-TYPE>                   YEAR                    YEAR
<FISCAL-YEAR-END>                          DEC-31-1997             DEC-31-1996
<PERIOD-END>                               DEC-31-1997             DEC-31-1996
<CASH>                                           32179                   22121
<SECURITIES>                                      3280                    2234
<RECEIVABLES>                                    92548                   88160
<ALLOWANCES>                                      2628                     883
<INVENTORY>                                          0                       0
<CURRENT-ASSETS>                                185809                  160342
<PP&E>                                          255955                  238219
<DEPRECIATION>                                  139522                  122462
<TOTAL-ASSETS>                                  618406                  581386
<CURRENT-LIABILITIES>                            86213                  112636
<BONDS>                                              0                       0
<PREFERRED-MANDATORY>                                0                       0
<PREFERRED>                                          0                       0
<COMMON>                                           183                     182
<OTHER-SE>                                      410313                  363070
<TOTAL-LIABILITY-AND-EQUITY>                    618406                  581386
<SALES>                                              0                       0
<TOTAL-REVENUES>                                518171                  423310
<CGS>                                                0                       0
<TOTAL-COSTS>                                   429179                  347848
<OTHER-EXPENSES>                                  9799                    5897
<LOSS-PROVISION>                                     0                       0
<INTEREST-EXPENSE>                                5110                    4993
<INCOME-PRETAX>                                  76799                   66888
<INCOME-TAX>                                     28536                   23926
<INCOME-CONTINUING>                              48263                   42962
<DISCONTINUED>                                    1994                    3035
<EXTRAORDINARY>                                      0                       0
<CHANGES>                                            0                       0
<NET-INCOME>                                     50257                   45997
<EPS-PRIMARY>                                     1.38                    1.24
<EPS-DILUTED>                                     1.33                    1.22