WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.

  

                              EXHIBIT 27.1
<ARTICLE>                     5
<LEGEND>
This schedule  contains summary financial  information  extracted from the March
31,  1998  Financial  Statements  included  in the  Company's  Form  10-Q and is
qualified in its entirety by reference to such Form 10-Q.
</LEGEND>
<CIK>                         0000931584
<NAME>                        UNIVERSAL STAINLESS & ALLOY PRODUCTS, INC.
<MULTIPLIER>                                         1,000
       
                             
<PERIOD-TYPE>                                        3-MOS             
<FISCAL-YEAR-END>                              Dec-31-1998    
<PERIOD-START>                                 Jan-01-1998    
<PERIOD-END>                                   Mar-31-1998                                                
<CASH>                                              685    
<SECURITIES>                                          0    
<RECEIVABLES>                                    17,226    
<ALLOWANCES>                                       (313)
<INVENTORY>                                      16,246
<CURRENT-ASSETS>                                 34,831
<PP&E>                                           30,990
<DEPRECIATION>                                   (2,117)   
<TOTAL-ASSETS>                                   63,956   
<CURRENT-LIABILITIES>                            12,213   
<BONDS>                                           9,572 
<PREFERRED-MANDATORY>                                 0 
<PREFERRED>                                           0   
<COMMON>                                              6
<OTHER-SE>                                       39,782 
<TOTAL-LIABILITY-AND-EQUITY>                     63,956 
<SALES>                                          22,349       
<TOTAL-REVENUES>                                 22,349 
<CGS>                                            18,467 
<TOTAL-COSTS>                                    18,467        
<OTHER-EXPENSES>                                  1,140 
<LOSS-PROVISION>                                     15 
<INTEREST-EXPENSE>                                  162     
<INCOME-PRETAX>                                   2,875  
<INCOME-TAX>                                      1,064       
<INCOME-CONTINUING>                               1,811       
<DISCONTINUED>                                        0         
<EXTRAORDINARY>                                       0    
<CHANGES>                                             0 
<NET-INCOME>                                      1,811         
<EPS-PRIMARY>                                          .29   
<EPS-DILUTED>                                          .28