WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE. <ARTICLE> 5 <CIK> <NAME> MICROTEL INTERNATIONAL, INC. <PERIOD-TYPE> 6-MOS <FISCAL-YEAR-END> DEC-31-1997 <PERIOD-END> JUN-30-1997 <CASH> 1,304,000 <SECURITIES> 0 <RECEIVABLES> 7,945,000 <ALLOWANCES> 224,000 <INVENTORY> 8,011,000 <CURRENT-ASSETS> 18,067,000 <PP&E> 10,813,000 <DEPRECIATION> 5,679,000 <TOTAL-ASSETS> 32,908,000 <CURRENT-LIABILITIES> 14,776,000 <BONDS> 3,213,000 <PREFERRED-MANDATORY> 686,000 <PREFERRED> 0 <COMMON> 38,000 <OTHER-SE> 12,704,000 <TOTAL-LIABILITY-AND-EQUITY> 32,908,000 <SALES> 19,736,000 <TOTAL-REVENUES> 19,736,000 <CGS> 14,972,000 <TOTAL-COSTS> 14,972,000 <OTHER-EXPENSES> 0 <LOSS-PROVISION> 16,000 <INTEREST-EXPENSE> 460,000 <INCOME-PRETAX> (2,036,000) <INCOME-TAX> 2,000 <INCOME-CONTINUING> (2,038,000) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (2,038,000) <EPS-PRIMARY> (0.24) <EPS-DILUTED> (0.24)