<ARTICLE> 5 <CIK> 0000891082 <NAME> TACO CABANA, INC. <MULTIPLIER> 1 <CURRENCY> U.S. DOLLARS <PERIOD-TYPE> 3-MOS <FISCAL-YEAR-END> DEC-29-1996 <PERIOD-START> JAN-01-1996 <PERIOD-END> MAR-31-1996 <EXCHANGE-RATE> 1 <CASH> (1,328,000) <SECURITIES> 4,168,000 <RECEIVABLES> 1,985,000 <ALLOWANCES> 517,000 <INVENTORY> 1,762,000 <CURRENT-ASSETS> 11,260,000 <PP&E> 103,640,000 <DEPRECIATION> 16,573,000 <TOTAL-ASSETS> 147,441,000 <CURRENT-LIABILITIES> 12,021,000 <BONDS> 10,288,000 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 157,000 <OTHER-SE> 112,910,000 <TOTAL-LIABILITY-AND-EQUITY> 147,441,000 <SALES> 31,119,000 <TOTAL-REVENUES> 31,264,000 <CGS> 9,702,000 <TOTAL-COSTS> 18,252,000 <OTHER-EXPENSES> 1,732,000 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 412,000 <INCOME-PRETAX> 1,166,000 <INCOME-TAX> 432,000 <INCOME-CONTINUING> 734,000 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 734,000 <EPS-PRIMARY> 0.05 <EPS-DILUTED> 0.05