<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
FINANCIAL STATEMENTS OF SHONEY'S, INC. FOR THE PERIOD ENDED OCTOBER 27, 1996 AND
IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS
</LEGEND>
<MULTIPLIER> 1
       
                             
<PERIOD-TYPE>                   3-MOS
<FISCAL-YEAR-END>                          OCT-27-1996
<PERIOD-START>                             OCT-30-1995
<PERIOD-END>                               OCT-27-1996
<CASH>                                      13,968,882
<SECURITIES>                                         0
<RECEIVABLES>                               14,515,630
<ALLOWANCES>                                 1,503,470
<INVENTORY>                                 44,248,060
<CURRENT-ASSETS>                           109,725,260
<PP&E>                                     885,313,927
<DEPRECIATION>                             320,801,387
<TOTAL-ASSETS>                             747,081,441
<CURRENT-LIABILITIES>                      215,365,502
<BONDS>                                              0
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<COMMON>                                    48,458,231
<OTHER-SE>                                 (47,930,651)
<TOTAL-LIABILITY-AND-EQUITY>               747,081,441
<SALES>                                  1,066,049,153
<TOTAL-REVENUES>                         1,099,741,789
<CGS>                                      951,565,436
<TOTAL-COSTS>                            1,057,742,895
<OTHER-EXPENSES>                            68,226,580
<LOSS-PROVISION>                                     0
<INTEREST-EXPENSE>                          37,950,879
<INCOME-PRETAX>                             41,998,894
<INCOME-TAX>                                15,953,000
<INCOME-CONTINUING>                         26,045,894
<DISCONTINUED>                                 397,816
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                48,524,085
<EPS-PRIMARY>                                     1.14
<EPS-DILUTED>                                     1.10