<ARTICLE> 5 <LEGEND> This schedule contains summary financial information extracted from the consolidated balance sheet and statements of income of Paul-Son Gaming Corporation, as of and for the quarter ended August 31, 1998, and is qualified in its entirety by reference to such financial statements. </LEGEND> <MULTIPLIER> 1,000 <PERIOD-TYPE> 3-MOS <FISCAL-YEAR-END> MAY-31-1999 <PERIOD-END> AUG-31-1998 <CASH> 127 <SECURITIES> 0 <RECEIVABLES> 3,498 <ALLOWANCES> 435 <INVENTORY> 4,921 <CURRENT-ASSETS> 9,710 <PP&E> 14,130 <DEPRECIATION> 4,939 <TOTAL-ASSETS> 19,769 <CURRENT-LIABILITIES> 2,919 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 35 <OTHER-SE> 15,061 <TOTAL-LIABILITY-AND-EQUITY> 19,769 <SALES> 5,698 <TOTAL-REVENUES> 5,698 <CGS> 4,393 <TOTAL-COSTS> 4,393 <OTHER-EXPENSES> 1,732 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 51 <INCOME-PRETAX> (459) <INCOME-TAX> 161 <INCOME-CONTINUING> (298) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (298) <EPS-PRIMARY> (.09) <EPS-DILUTED> (.09)