EXHIBIT 18

January 15, 1998


Mr. Lawrence A. Weinbach
Chairman, President and Chief Executive Officer
Unisys Corporation
P.O. Box 500
M.S. A-1
Blue Bell, PA 19424

Dear Mr. Weinbach:

Note 3 to the Consolidated Financial Statements of Unisys Corporation (the 
"Company") included in its 1997 Annual Report to Stockholders, to be 
incorporated by reference in its Form 10-K for the year ended December 31, 
1997, describes a change in the method of accounting for measuring goodwill 
impairment.  Prior to the change, when impairment indicators existed, goodwill 
was evaluated for impairment and any impairment would have been measured based 
on comparing the unamortized goodwill to projected undiscounted operating 
results.  Under the Company's new accounting method, any impairment of 
goodwill indicated by such comparison would be measured by discounting 
projected cash flows using a discount rate commensurate with the risks 
involved. You have advised us that you believe that the change is to a 
preferable method in your circumstances because when a goodwill impairment 
must be recognized, the discounted cash flow method is a better measurement of 
the remaining value of goodwill, particularly considering the rapid changes 
that continue to occur in the marketplace away from the proprietary technology 
and maintenance businesses, and the continuing declines in revenue and margins 
in these businesses.  

There are no authoritative criteria for determining a `preferable' method of 
measuring the impairment of goodwill based on the particular circumstances; 
however, we conclude that the change in the method of measuring the impairment 
of goodwill by discounting projected cash flows is to an acceptable 
alternative method which, based on your business judgment to make this change 
for the reasons cited above, is preferable in your circumstances. 

Very truly yours,

/s/ Ernst & Young LLP
Philadelphia, Pennsylvania