<ARTICLE> 5
<CIK> 0000724571
<NAME> FREDS, INC.
<MULTIPLIER> 1,000
       
                             
<PERIOD-TYPE>                   12-MOS
<FISCAL-YEAR-END>                          JAN-30-1999
<PERIOD-END>                               JAN-30-1999
<CASH>                                           2,406
<SECURITIES>                                         0
<RECEIVABLES>                                    9,575
<ALLOWANCES>                                       644
<INVENTORY>                                    126,577
<CURRENT-ASSETS>                               143,064
<PP&E>                                         141,968
<DEPRECIATION>                                  71,467
<TOTAL-ASSETS>                                 220,757
<CURRENT-LIABILITIES>                           70,283
<BONDS>                                         11,821
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<COMMON>                                        66,951
<OTHER-SE>                                      70,032
<TOTAL-LIABILITY-AND-EQUITY>                   220,757
<SALES>                                        600,902
<TOTAL-REVENUES>                               600,902
<CGS>                                          436,523
<TOTAL-COSTS>                                  436,523
<OTHER-EXPENSES>                               149,790
<LOSS-PROVISION>                                   122
<INTEREST-EXPENSE>                               1,106
<INCOME-PRETAX>                                 13,605
<INCOME-TAX>                                     4,775
<INCOME-CONTINUING>                              8,830
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                     8,830
<EPS-PRIMARY>                                    $0.75
<EPS-DILUTED>                                    $0.73