<ARTICLE> 5
<LEGEND>
THE SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE HANOVER
DIRECT, INC AND SUBSIDIARIES CONDENSED CONSOLIDTAED BALANCE SHEETS AND
STATEMENTS OF INCOME FOR THE THREE MONTHS ENDED MARCH 29, 1997 AND IS QUALIFIED
IN ITS ENTIRETY, EXCEPT FOR GROSS ACCOUNTS RECEIVABLE AND THE ALLOWANCE FOR
DOUBTFUL ACCOUNTS, BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
       
                             
<PERIOD-TYPE>                   3-MOS
<FISCAL-YEAR-END>                          DEC-27-1997
<PERIOD-END>                               MAR-29-1997
<CASH>                                           1,510
<SECURITIES>                                         0
<RECEIVABLES>                                   14,984
<ALLOWANCES>                                   (5,239)
<INVENTORY>                                     63,852
<CURRENT-ASSETS>                               138,098
<PP&E>                                          74,785
<DEPRECIATION>                                (24,126)
<TOTAL-ASSETS>                                 223,334
<CURRENT-LIABILITIES>                          134,444
<BONDS>                                         61,973
<PREFERRED-MANDATORY>                            5,795
<PREFERRED>                                          0
<COMMON>                                        96,693
<OTHER-SE>                                     (4,227)
<TOTAL-LIABILITY-AND-EQUITY>                   223,334
<SALES>                                        129,725
<TOTAL-REVENUES>                               129,725
<CGS>                                           86,062
<TOTAL-COSTS>                                  134,064
<OTHER-EXPENSES>                                     0
<LOSS-PROVISION>                                     0
<INTEREST-EXPENSE>                               2,034
<INCOME-PRETAX>                                  (248)
<INCOME-TAX>                                         0
<INCOME-CONTINUING>                            (6,621)
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                   (6,621)
<EPS-PRIMARY>                                   (0.05)
<EPS-DILUTED>                                   (0.05)