<ARTICLE> 9
<MULTIPLIER> 1,000,000
<CURRENCY> U.S. DOLLARS
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> DEC-31-1998
<PERIOD-START> JAN-01-1998
<PERIOD-END> DEC-31-1998
<EXCHANGE-RATE> 1
<CASH> 1,203
<INT-BEARING-DEPOSITS> 2,371
<FED-FUNDS-SOLD> 31,731<F1>
<TRADING-ASSETS> 113,896
<INVESTMENTS-HELD-FOR-SALE> 36,787
<INVESTMENTS-CARRYING> 0
<INVESTMENTS-MARKET> 0
<LOANS> 25,495
<ALLOWANCE> 470
<TOTAL-ASSETS> 261,067
<DEPOSITS> 55,028
<SHORT-TERM> 82,520<F2>
<LIABILITIES-OTHER> 84,651<F3>
<LONG-TERM> 27,607
<PREFERRED-MANDATORY> 0
<PREFERRED> 694
<COMMON> 502
<OTHER-SE> 10,065
<TOTAL-LIABILITIES-AND-EQUITY> 261,067
<INTEREST-LOAN> 2,109
<INTEREST-INVEST> 1,456
<INTEREST-OTHER> 9,076
<INTEREST-TOTAL> 12,641
<INTEREST-DEPOSIT> 2,823
<INTEREST-EXPENSE> 11,360
<INTEREST-INCOME-NET> 1,281
<LOAN-LOSSES> 50<F4>
<SECURITIES-GAINS> 205<F5>
<EXPENSE-OTHER> 5,538<F6>
<INCOME-PRETAX> 1,417
<INCOME-PRE-EXTRAORDINARY> 963
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 963
<EPS-PRIMARY> 5.08<F7>
<EPS-DILUTED> 4.71<F7>
<YIELD-ACTUAL> 0.66
<LOANS-NON> 122
<LOANS-PAST> 0
<LOANS-TROUBLED> 0
<LOANS-PROBLEM> 0
<ALLOWANCE-OPEN> 731<F8>
<CHARGE-OFFS> 155<F8>
<RECOVERIES> 19<F8>
<ALLOWANCE-CLOSE> 595<F8>
<ALLOWANCE-DOMESTIC> 30<F8>
<ALLOWANCE-FOREIGN> 7<F8>
<ALLOWANCE-UNALLOCATED> 558<F8>
<FN>
<F1>INCLUDES SECURITIES PURCHASED UNDER AGREEMENTS TO RESELL AND/OR FEDERAL FUNDS
SOLD.
<F2>INCLUDES SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE AND FEDERAL FUNDS
PURCHASED, COMMERCIAL PAPER, AND OTHER LIABILITIES FOR BORROWED MONEY.
<F3>INCLUDES TRADING ACCOUNT LIABILITIES, ACCOUNTS PAYABLE AND ACCRUED EXPENSES,
OTHER LIABILITIES, AND COMPANY-OBLIGATED MANDATORILY REDEEMABLE PREFERRED
SECURITIES OF SUBSIDIARIES.
<F4>INCLUDES $110 MILLION PROVISION FOR LOAN LOSSES AND A NEGATIVE PROVISION OF
($60) MILLION FOR CREDIT LOSSES FOR OFF-BALANCE-SHEET INSTRUMENTS RECORDED IN
OTHER REVENUE. IN PRIOR PERIODS, CHANGES IN THE CREDIT ADJUSTMENT FOR IMPAIRED
DERIVATIVES, WHICH WAS FORMERLY CATEGORIZED AS THE TRADING ALLOWANCE, WERE
INCLUDED IN THIS CAPTION.
<F5>INCLUDES GAINS AND LOSSES ON DEBT AND EQUITY INVESTMENT SECURITIES,
OTHER-THAN-TEMPORARY IMPAIRMENTS OR WRITE-DOWNS IN VALUE, AND RELATED
DIVIDEND INCOME.
<F6>INCLUDES EMPLOYEE COMPENSATION AND BENEFITS, NET OCCUPANCY, TECHNOLOGY AND
COMMUNICATIONS, AND OTHER EXPENSES.
<F7>PRIMARY EPS REPRESENTS BASIC EPS UNDER STATEMENT OF FINANCIAL ACCOUNTING
STANDARDS NO. 128, EARNINGS PER SHARE.
<F8>AMOUNTS RELATE TO THE FIRM'S ALLOWANCE FOR LOAN LOSSES AND ALLOWANCE FOR
OFF-BALANCE-SHEET INSTRUMENTS SUCH AS COMMITMENTS AND STANDBY LETTERS OF
CREDIT AND GUARANTEES. IN PREVIOUS FINANCIAL STATEMENTS, THE CREDIT ADJUSTMENT
FOR IMPAIRED DERIVATIVES, WHICH WAS FORMERLY CATEGORIZED AS THE TRADING
ALLOWANCE, WAS INCLUDED IN THIS CAPTION. THIS ADJUSTMENT IS INCLUDED IN TRADING
ACCOUNT ASSETS AND IS NEEDED TO APPROPRIATELY REFLECT DERIVATIVES PORTFOLIO AT
FAIR VALUE.
</FN>