<ARTICLE> 5 <CIK> 0000740670 <NAME> MICHAELS STORES, INC. <MULTIPLIER> 1,000 <PERIOD-TYPE> 9-MOS <FISCAL-YEAR-END> JAN-28-1996 <PERIOD-END> OCT-29-1995 <CASH> 3,685 <SECURITIES> 0 <RECEIVABLES> 0 <ALLOWANCES> 0 <INVENTORY> 456,429 <CURRENT-ASSETS> 510,741 <PP&E> 262,564 <DEPRECIATION> 90,942 <TOTAL-ASSETS> 835,609 <CURRENT-LIABILITIES> 279,643 <BONDS> 0 <COMMON> 2,135 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <OTHER-SE> 328,485 <TOTAL-LIABILITY-AND-EQUITY> 835,609 <SALES> 838,153 <TOTAL-REVENUES> 838,153 <CGS> 610,912 <TOTAL-COSTS> 864,785 <OTHER-EXPENSES> 1,707 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 12,777 <INCOME-PRETAX> (41,116) <INCOME-TAX> (18,555) <INCOME-CONTINUING> (22,561) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (22,561) <EPS-PRIMARY> (1.06) <EPS-DILUTED> (1.06)