<ARTICLE> 5 <CIK> 0000916230 <NAME> PROTECTION ONE INC. <MULTIPLIER> 1,000 <PERIOD-TYPE> 6-MOS <FISCAL-YEAR-END> DEC-31-1998 <PERIOD-END> JUN-30-1998 <CASH> 17,449 <SECURITIES> 19,658 <RECEIVABLES> 50,399 <ALLOWANCES> 19,246 <INVENTORY> 4,957 <CURRENT-ASSETS> 139,116 <PP&E> 42,351 <DEPRECIATION> 11,943 <TOTAL-ASSETS> 2,121,658 <CURRENT-LIABILITIES> 506,806 <BONDS> 232,330 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 1,266 <OTHER-SE> 1,348,244 <TOTAL-LIABILITY-AND-EQUITY> 2,121,658 <SALES> 173,836 <TOTAL-REVENUES> 173,836 <CGS> 55,473 <TOTAL-COSTS> 55,473 <OTHER-EXPENSES> (13,414) <LOSS-PROVISION> 1,705 <INTEREST-EXPENSE> 24,902 <INCOME-PRETAX> 12,377 <INCOME-TAX> (6,808) <INCOME-CONTINUING> 5,569 <DISCONTINUED> 0 <EXTRAORDINARY> 1,591 <CHANGES> 0 <NET-INCOME> 7,160 <EPS-PRIMARY> 0.08 <EPS-DILUTED> 0.08