<ARTICLE> 5 <LEGEND> THIS SCHEDULE CONTAINS DATA EXTRACTED FROM THE CONSOLIDATED BALANCE SHEETS AND THE CONSOLIDATED STATEMENTS OF OPERATIONS AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. </LEGEND> <CIK> 0000717422 <NAME> LINCOLN LOGS LTD. <PERIOD-TYPE> 3-MOS <FISCAL-YEAR-END> JAN-31-1997 <PERIOD-START> FEB-01-1996 <PERIOD-END> APR-30-1996 <CASH> 440,170 <SECURITIES> 0 <RECEIVABLES> 305,572 <ALLOWANCES> 9,000 <INVENTORY> 731,696 <CURRENT-ASSETS> 1,845,434 <PP&E> 4,910,392 <DEPRECIATION> 3,056,576 <TOTAL-ASSETS> 3,882,526 <CURRENT-LIABILITIES> 3,622,428 <BONDS> 740,608 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 13,561 <OTHER-SE> (494,071) <TOTAL-LIABILITY-AND-EQUITY> 3,882,526 <SALES> 864,504 <TOTAL-REVENUES> 864,504 <CGS> 612,807 <TOTAL-COSTS> 612,807 <OTHER-EXPENSES> 0 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 46,966 <INCOME-PRETAX> (412,003) <INCOME-TAX> 0 <INCOME-CONTINUING> (412,003) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (412,003) <EPS-PRIMARY> (.44) <EPS-DILUTED> (.44)